Recent Updates to the SCHADS Award: What You Need to Know

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Stay compliant with the latest SCHADS Award updates

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The Fair Work Commission recently made some important changes to the Social, Community, Home Care and Disability Services Industry Award (MA000100), which took effect from 25 September 2024. 

If you're an employer or HR practitioner in this industry, you must understand these updates to ensure you remain compliant. 

In this article, we'll break down the key changes and what they mean for your organisation.

 

It covers a wide range of roles, from support workers and coordinators to case managers and social workers. 

The award specifies things like minimum wages, allowances, overtime rates, and leave entitlements that employers must provide.

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  1. The classification descriptions for Social and community services employees at levels 1 and 2 were amended. These now refer to both social and community services as well as disability services. This change helps to clarify the scope of these classifications and ensures that employees in disability services are appropriately classified and paid.

  2. The coverage of the award was updated to include therapeutic carers. This means that employees who provide therapeutic care services are now explicitly covered by the SCHADS Award and entitled to its minimum pay rates and conditions.

These changes aim to better reflect the evolving nature of work in the social and community services sector and ensure that employees are properly classified and remunerated.

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This includes checking that:

  • Employees in social and community services and disability services roles are classified correctly at levels 1 and 2 based on the amended descriptions
  • Therapeutic carers are identified and paid according to the Award pay rates
  • Any other relevant allowances, loadings or entitlements are applied correctly

Failing to pay employees their correct entitlements can lead to costly underpayment claims and reputational damage. With the Fair Work Ombudsman cracking down on wage theft in recent years, it's more important than ever to prioritise award compliance.

It's also worth keeping an eye out for other relevant changes to workplace laws. 

For example, the Australian Government recently passed the Secure Jobs, Better Pay bill, which includes changes to enterprise bargaining, flexible work, and gender equity. While not all provisions will apply to the SCHADS sector, it's good practice to stay informed about the evolving industrial relations landscape.

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  • Review your payroll system: Work with your payroll software provider or internal team to update pay rules, classifications, and other settings in line with the new award provisions.
  • Audit your workforce: Review your employee records to identify any staff impacted by the classification or coverage changes. Ensure they are moved to the correct classification and pay rate if necessary.
  • Communicate with staff: Let your employees know about any changes to their pay or conditions as a result of the award update. This can help to build trust and avoid confusion down the line.
  • Train your HR and payroll teams: Make sure your people leaders are across the Award changes and how to apply them in practice. Consider running refresher training on award interpretation and payroll processes.
  • Seek expert advice: If you're unsure about how the changes impact your business, don't hesitate to reach out to a workplace relations specialist.
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  • The Fair Work Ombudsman has updated its Pay and Conditions Tool with the new award provisions. You can use this to calculate pay rates and entitlements for your employees.
  • Download our FREE eBook summary.

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  • The Fair Work Commission updated the SCHADS Award in September 2024 with changes to classification descriptions and coverage for therapeutic carers.
  • Employers need to review their payroll systems and processes to ensure employees are classified and paid correctly under the new provisions.
  • Conducting a workforce audit, communicating with staff, and training HR/payroll teams can help to ensure a smooth transition.

If staying on top of the changes manually is all too much work, find out how automated payroll software can help your business stay compliant. 

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