A third of NSW small businesses surveyed by the NSW Business Chamber are unaware of the Fair Work Act that was introduced last year, the company says.
Though the final effects of modern awards under the Fair Work Act start to apply from 1 July 2010, the independent survey of 400 NSW businesses with five to 50 employees found that of those aware of the Fair Work Act, 10 per cent say they are still not compliant.
The independent survey conducted last month was commissioned by the NSW Business Chamber.
“The Fair Work Act was introduced in July 2009 and employers are taking huge risks by not doing their due diligence, understanding their obligations and making the required changes. It is a challenging time for employers. They should seek advice on this complex issue and ensure they are compliant,” said NSW Business Chamber chief executive officer, Stephen Cartwright.
Those not yet compliant with the Act cited they hadn’t had the time or the opportunity to look at what is required. More than a third of those not compliant stated they were in the process of making the appropriate changes to their business.
The introduction of the Fair Work Act saw many hundreds of federal and state industrial awards consolidated into 122 modern awards. Modern awards came into effect from 1 January 2010, with most having transitional arrangements which allow the phasing of wages, penalties, and loadings from July 2010 until mid 2014.
Only half of the businesses in the survey that said they are compliant had taken steps to review the modern awards that apply to their business. The Fair Work Australia and Fair Work Ombudsman’s websites were stated as a source of information by 40 per cent of respondents.