Maximum Weekly Hours on Salary

vince088 on 09/03/2023 - 23:03

Hi guys, I recent changed jobs last year.
Old job was on hourly rate, new job I'm on salary.

My contract states I work from x time to x time Monday to Friday totaling 40 hours not including breaks.
Recently only found out from xmas break that I also don't get AL loading, just normal pay rate when I take AL.
I'm on salary now so my pay slips shows 40 hours x $ hourly rate every single week(does not change), I don't do overtime.

My old job I worked 40 hours but get an RDO every month to make up the extra 2 hours I work every week.
In this current workplace, employees that work under me get to leave 2 hours early on Fridays so they work 38 hours.

My question is this 40 hour week contract enforceable? Also not having AL loading is this legal?
Fair work states 38 hours Maximum Weekly Hours

Education & Work

Comments

  • grog on 09/03/2023 - 23:05

    Your union will be able to advise you on this matter.

    • vince088 on 09/03/2023 - 23:12

      not in a union :(

      • WoodYouLikeSomeCash on 09/03/2023 - 23:24

        Ask Fairwork.

      • cookie2 on 09/03/2023 - 23:26

        You can always join. Anyway call fair work. Normally above 38 is overtime and "reasonable" overtime is often built into salary contracts. Complete bs imo but it is what it is. Worth checking if you can get additional allowance for the extra 2 hrs or acrue rdos. Leave loading I thought was just standard.

        • eek on 10/03/2023 - 10:17

          I've always wondered about this term "reasonable". Is it scalable based on your remuneration amount? Say someone with a $300k/y salary should be doing more unpaid overtime compared to someone on $100k/y? It's very subjective.

          • Summoner on 10/03/2023 - 15:09

            @eek: No. It's never scalable. You can have 40 hours employment contract with salary which include 38 hours plus 2 hours overtime. If you are asked to work more than 40 hours per week and if you agreed, you will be paid for the extra overtime.

      • JIMB0 on 10/03/2023 - 08:30
        +2

        Maybe it would pay to join.

        • cupcake on 13/03/2023 - 13:40

          The OP should really consider joining his/her union if there is one.
          Yes, there will be union fees but the benefits will be worth it.
          You can fight for better pay and conditions in a group with other members.
          There may be in-house solicitors who can help you or direct you if legal matters arise or just for some general advice.
          The OP should ring and find out what benefits he/she will get if they join.
          Some unions have a panel of solicitors to use, offer free Wills to members and their families etc.

  • Donaldhump on 09/03/2023 - 23:32
    +9

    My question is this 40 hour week contract enforceable? (ring fairwork)
    Also not having AL loading is this legal? (yes and more common than not)
    Fair work states 38 hours Maximum Weekly Hours (ring fairwork)

    why did you sign contract if you didn't like conditions?

    • vince088 on 09/03/2023 - 23:33

      Hated my old job and it was a decent pay bump… now im just wondering about the extra 2 hours and AL loading

      • Donaldhump on 09/03/2023 - 23:40
        +13

        so you signed contract for 40 hours because better pay and job, now you are complaining against what you signed.

        why did you sign it / agree to it if you didn't want to work 40 hours a week

      • p1 ama on 09/03/2023 - 23:43
        +7

        now im just wondering about the extra 2 hours

        Is your job literally "punch in, punch out" on an assembly line?

        If it's an "office" job, then whatever on the contract is just moot. You're not going to be supervised 24/7. Take initiative and just take a 30 min lunch break each day.

        FWIW - just my 2c on the whole tone of your post - on some level, you need to just take initiative. Most employers will just work you as hard as you allow yourself to be worked. I'm not advocating for being a lazy bum, but remember that you don't get any rewards for being a "good worker" who clocks exactly 40 hours per week. You'll be paid the same as the guy next to you who takes a 1 hour break every day.

        • vince088 on 09/03/2023 - 23:50

          Thanks appreciate the message

      • Seraphin7 on 10/03/2023 - 14:17

        One would assume the "decent pay bump" would cover the two hours and the AL loading.

        Fair dinkum.

  • freefall101 on 09/03/2023 - 23:33
    +2

    Welcome to the world of salaries, where the details of the contract matter. As far as fair work are concerned, so long as your pay is "a level of remuneration that reflects an expectation of working additional hours" then you signed the contract at a rate that's for 40 hours, so they can do it

    2 hours a week is generally considered reasonable overtime. The key bit comes back to the award hourly rates - if your current salary is high enough to pay for 38 hours regular + 2 hours overtime then they're not doing anything wrong.

    AL loading is similar, it's 17.5% on top of the minimum wage you're owed. So long as you're being paid 17.5% more than the award rate then they're generally fine not paying it, so long as they've put it into the contract.

    • Chandler on 10/03/2023 - 17:40

      2 hours a week is generally considered reasonable overtime.

      Personally I don't call 2-hours a week every week reasonable, but as you say it's probably covered between the contract wording and the pay rate.

  • Vancomycin 1000mg on 09/03/2023 - 23:47
    +2

    R.I.P, i know a lot of people who worked for Woolies or Coles on Salary got (profanity) all. Most were staying back working for free.

    Dont do this. Take your break and go home on time. (profanity) the corporates.

  • Settero on 10/03/2023 - 02:33
    +2

    Why would you get loading when taking leave ?

    • kerfuffle on 10/03/2023 - 04:02
      +2

      As an incentive to take leave, otherwise if you're a workaholic, why would you take leave?

      To be fair, I was also surprised too when I moved from shift work in retail on part-time wages to a full-time role with a salary and found annual leave loading wasn't a thing in the role.

      • onetwothreefour on 10/03/2023 - 07:36
        +2

        why would you take leave?

        We get forced to take leave if we have accrued over 20 days of leave.

    • brendanm on 10/03/2023 - 08:13
      +1

      Why would you not?

    • JIMB0 on 10/03/2023 - 08:31
      +4

      Extra money to spend while on holiday was the original idea.

    • Zephyrus on 10/03/2023 - 10:34
      +4

      It's meant to be for people where overtime and penalties are expected. e.g. if you always work on Sunday, you'd get some extra money from that, so just being paid your base wage is a paycut.

      You get the loading to make up for it.

      https://www.fairwork.gov.au/tools-and-resources/library/K600…

    • md333 on 10/03/2023 - 12:08
      +1

      I think it was brought in to compensate for not being able to work overtime on leave.
      Makes sense to not have leave loading when the job doesn't have paid overtime.

  • JimmyF on 10/03/2023 - 09:44
    +2

    My question is this 40 hour week contract enforceable?

    Yes, 8 hour working days are very common.

    Also not having AL loading is this legal?

    Yes.

    I don't do overtime.

    There is generally no overtime on a 'salary' as you are paid to do a job. So if you have to work an extra hour one day to do your job, then so be it, but no payment for that hour.

  • Youfah Mizzum on 10/03/2023 - 09:50
    +1

    Not having annual leave loading is not a legal thing.

    Some large corporations had (have) it as a hangover from the olden days. It was originally put in place for those roles where overtime was pretty much a given but when you take leave (and therefore are just paid your base salary) then peoples pay was vastly reduced. So someone came up with the 17.5% AL loading.

    I left a corporate gig in 1998 where leave loading was a thing.

    Since then (so the last 24+ years) I have never had a job with leave loading. Just my salary & that's it whether I was working or on hols. It's very normal. AL loading is pretty much unheard of these days AFAIK. Oh, and I work well in excess of the 38 hours on my payslip. Closer to 50 to 60 hours a week.

    • brendanm on 10/03/2023 - 11:33
      +2

      I currently get AL loading and have at every job I've worked.

    • JimB on 10/03/2023 - 15:28

      50 to 60 hours a week.

      That's crazy, especially if unpaid!

      I hope you're well paid for it.

      • brendanm on 10/03/2023 - 23:00

        Wow I missed that bit, who the hell would want to work that much.

  • cupcake on 10/03/2023 - 09:59

    You need to speak to an accredited specialist in industrial and employment law.
    Contact your state Law Society and they can refer you to one.
    Don't compare your old job to your new job as conditions are different.
    The average 38 hours paid per week never includes a lunch break.
    If you are not doing overtime, what are you complaining about?!
    Are you whinging because others below you are doing two hours less a week?
    Jeebus.

    • vince088 on 10/03/2023 - 10:10
      +2

      Yes i realised im probably complaining like a spoiled brat. Thanks for info

      • cupcake on 10/03/2023 - 15:49

        No worries.
        Your payslip shows you are being paid for 40 hours. No dramas there.
        If you have concerns, speak to your employer.

  • AustriaBargain on 10/03/2023 - 10:01

    I wouldn't work unpaid extra. If I were you and worked 42 hours one week, I'd work 38 hours the next week to balance it out. If I couldn't do it that week I'd do it the week after. 50 hours one week? Maybe 35 hours the next two weeks. My understanding is that they will try to pressure you into working overtime for free, but your contract says 2,000 hours a year so go by what the contract says, not what your manager just says out of their mouth.

    • vince088 on 10/03/2023 - 10:12

      Yep understand

    • cupcake on 10/03/2023 - 13:23

      The OP states he doesn't work overtime…

      • AustriaBargain on 10/03/2023 - 13:39

        If he's never even asked or expected to work more than 40 hours a week then that's great, sounds like the employer respects OP and the agreement they have with him.

  • djsweet on 10/03/2023 - 10:21
    +1

    AL loading is not a requirement. The rest depends on how much you are getting paid. If you are getting paid more than minimum wage, 2 hours pw "overtime" baked into your contract is probably going to be legal. If you are getting paid $200k per year, your company can essentially expect you to "get the job done" no matter how long it takes you (50 hours pw for instance). If you are getting paid $60k - then I wouldn't even consider working 30 mins extra.

    • AustriaBargain on 10/03/2023 - 10:32

      If I got paid 200k a year I'd probably happily do some "unpaid" overtime. I'd probably make my workspace as comfortable and enjoyable to be in as possible. Minifridge by my foot, TV mounted somewhere in the room, foot massager, etc.

  • Jugganautx on 10/03/2023 - 10:50
    -3

    People are getting lazier and lazier. Try working 84 hour weeks. Damn.

  • Drakesy on 10/03/2023 - 11:05

    40 hours is definitely enforceable if its on your contract ;)
    If you have callings under you then in many cases the escalated pay would factor in some reasonable overtime.

    38 hours is no longer the norm (especially for managers/supervisors).

  • JIMB0 on 10/03/2023 - 12:55
    +2

    On the bright side at least all your over time is tax free.

  • lostgoat on 10/03/2023 - 13:42

    Cool they got you . I'd miss double Sunday pay and even more the holiday loading .
    You could always be a casual somewhere to grab it though in the right Industry .

  • ifyareckon on 10/03/2023 - 15:52

    The extra 2 hours a week and no leave loading is most likely part of why you are getting a higher salary compared to your previous job. If the contract you signed says 40 hours, that's what your getting paid for. Those under you are likely on 38 hours contracts and are getting paid accordingly.

  • vince088 on 10/03/2023 - 16:02
    +1

    Thanks for the messages guys

  • ddilrat on 29/03/2023 - 23:28

    What is Annual Leave loading?

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