New pay secrecy and job ad laws now in force

The new laws include giving employees the right to share (or not share) information about their pay, banning pay secrecy terms in employment contracts and other workplace instruments, and prohibiting job ads with pay rates lower than the legal minimum entitlements that apply to the job.

The Fair Work Commission (FWC) has been given more power to enforce the new legislations.

The new workplace laws give the FWC much broader powers to arbitrate enterprise agreements where bargaining has been protracted, and there is no reasonable prospect of reaching agreement shifting the bargaining power away from employers.

The act also influences how Australian businesses structure and manage their workforces and hire new employees. For instance, the legislation includes new prohibitions on the operation of fixed-term contracts in certain circumstances.

The act also amends the Fair Work Act to prohibit employers from advertising employment at a rate of pay that would contravene the Fair Work Act or a fair work instrument. Before advertising for a position, businesses should ensure that the rate of pay and other workplace conditions offered comply with the Fair Work Act or other fair work instruments, including Modern Awards and Enterprise Agreements.

The FWC website now includes a job advertisement template with guidance to help employers meet the new requirements. Find it and other resources on the FWC Templates page.