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Section : Averaging of hours of work for award/agreement-free employees
Domain : Human Resource Management
Classification : Not Identified
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Employers and award/agreement-free employees may agree in writing to an averaging arrangement to average their ordinary hours of work over a period of multiple weeks. However, the maximum averaging period is 26 weeks. Fair Work Infoline: 13 13 94 The average weekly hours over the period must not exceed the following, unless those additional hours are considered reasonable:
- for a full-time employee, 38 hours or
- for an employee other than a full-time employee, the lesser of:
- -38 hours
- -the employee's ordinary hours of work in a week. Alternatively, the agreement can provide for average weekly hours that are greater than the hours above if those additional hours are considered reasonable. Under the Fair Work Act (FW Act) award/agreementfree employees are not entitled to a higher rate of pay for working overtime. Therefore it may be appropriate to consider whether the employee's pay is sufficient to compensate for the additional hours when determining if these arrangements are reasonable.