Records keeping obligation under the Fair Work legislation

Employers are required to keep employee records for all their employees under the Fair Work Act 2009 (Cth). These records are not to be altered, false, or misleading and must also be readily accessible to a Fair Work inspector. Records are to be kept for 7 years. Failure to maintain the required employee records may result in significant penalties being imposed not only on the company but also on individuals who are found to have taken part in the contravention.

The Fair Work Regulations 2009 (Cth) (Regulations), requires an employer to make and keep records of employees’ information including, but not limited to:

• name of the employer and employee;
• employment type (full time, part time, casual) and if it is permanent, temporary or casual;

• employment starts date;
• termination of employment;
• rate of remuneration;
• loadings, allowances and or penalty rates; and
• overtime hours worked where a penalty rate is applicable.

Payslip

An employer must issue a pay slip to each employee within one working day of the day the employee was paid. This can be issues electronically or paper form. A payslip must include:

• employer’s name and ABN;
• employee’s name;
• date of payment and pay period;
• gross and net amount of payment;
• any loadings (including casual loading), monetary allowances, bonuses, incentive-based payments, penalty rates, or other separately identifiable entitlement paid;
• hourly rate of pay and the number of hours worked if the employee is paid ay an hourly rate of pay, or the rate as at the last day in the pay period if the employee is paid an annual salary;
• any permitted deductions; and
• amount of superannuation contribution made during the period and the name of the super fund to which the contribution is made.

If you have questions about what your record keeping obligations are under the Fair Work legislation, please each out to the Workplace Relations and Legal Team on 02 6175 5950.