Individual Flexibility Agreements (IFAs)
Posted
Recently, the IR & Legal Team have taken a number of calls from members seeking advice on paying an ‘inclusive rate of pay’ to their employee/s.
Clause 5 of the Building and Construction General On-Site Award 2020 [MA000020] provided that an individual flexibility arrangement can be entered into between an employer and employee relating to certain terms of the Award:
(a) Arrangements for when work is performed;
(b) Overtime rates;
(c) Penalty rates;
(d) Allowances; or
(e) Annual leave loading.
When making an IFA, it is crucial that the agreement is made AFTER an individual employee has commenced employment with the employer and that the agreement is genuinely made.
An IFA must result in the employee being better off overall under the Agreement than they would be under the Award.
Please reach out to the IR & Legal Team on 6175 5900 if you have any queries relating to IFAs or where you would like some assistance in preparing these agreements.
