Are you a new business owner? Even if you’re a seasoned employer, it’s good to brush up on your obligations as an employer to make sure you’re compliant.
We cover a few key considerations here from tax obligations to the code of conduct. Recent changes are something to keep your eye out for, but rest assured knowing that any major changes to the way you do business will be highlighted for you by your team here at Glance Consultants.
It is our duty to ensure that our clients are operating at the best of their abilities and to provide them with up-to-date resources and support.
You need to withhold tax from your employees’ wages and pay it to the ATO on their behalf. Single Touch Payroll (STP) has been implemented these past years to make this process as seamless as possible. You can find out everything you need to know about this on the ATO’s website, or get in touch with our team for additional information and support.
You need to process Superannuation Guarantee (SG) contributions at a minimum of 10% of your employees’ ordinary earnings. This is to eligible employees only, who are adults (18 – 69 years old) that are paid more than $450 per week. For those under 18, they need to be working for more than 30 hours each week (this applies till the 30th of June 2022). Contractors are exempt, except for in certain conditions.
Wages and Payslips
You must pay at least the minimum wage dictated by the Fair Work Commission. This is reviewed yearly on the 1st July. A payslip needs to be issued within a day of payment and it must include certain information.
Contracts and Documents
Don’t forget that a contract is designed to protect both the employee and the business! Make sure you take the time to draft a complete and compliant contract. Before commencing employment, every employee should receive the ‘Fair Work Information Statement’ as well as their contract. You also need to provide them with information regarding their health and safety on the job.
Employees are entitled to leave. This could be for holidays, because they are sick, for maternity, a bereavement or stress. Employees except casual employees are entitled to at least 4 weeks of paid leave each year.
This is by no means an exhaustive list. There are several pieces of regulation that you need to be aware of in regards to the welfare of your employee. Do make sure you familiarise yourself with these, and others, on the relevant governmental websites.