It’s important to check your employee classifications regularly. To ensure that you’re not underpaying your workers and exposing yourself and your business to costly fines & penalties, backpay orders and damage to your reputation through wage theft claims.
What is an award classification?
Award classifications (also known as levels or grades) are descriptions of roles and types of work. They’re usually found towards the end of a modern award, often in Schedule A.
Classification descriptions include information about:
- the types of duties an employee may be expected to perform
- whether the employee supervises other employees
- the level of experience or qualifications an employee needs to work at that level.
When can classifications change?
Classifications can change if an employee’s role changes.
For example, an employee is likely to change classification if they take on more responsibility.
Employers should review their award’s classifications when an employee:
- changes duties, such as becoming a supervisor
- completes relevant training
- obtains a new qualification.
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