News | 13 September

In today’s uncertain commercial climate, civil construction businesses face various HR challenges including those associated with downsizing and redundancies.

As a proud associate member of the Civil Contractors Federation Victoria (CCF Victoria), Ridgeline HR has worked alongside our members to help navigate these complex issues.

We recently spoke with Peter Maguire of Ridgeline HR to gain insights into the key concerns affecting businesses right now.

One of the most common inquiries Ridgeline HR is receiving relates to redundancies and the processes employers must follow.

Peter highlights three critical requirements for ensuring a redundancy is considered to be legally fair according to the Fair Work Act 2009:

  1. The role is genuinely no longer required.
  2. No reasonable redeployment options exist within the company or any related entity.
  3. The employer has adhered to the consultation provisions prescribed in any relevant award or enterprise agreement.

The Building and Construction Industry General On-site Award 2020 applies to most construction workers not covered by an enterprise agreement. It has an Industry-Specific Redundancy Scheme which applies in lieu of the National Employment Standards that covers most other employees like engineers and clerical staff. 

The key differences are that, with award-covered construction workers:

  1. There is no exemption for small businesses;
  2. Pro rata entitlements apply in the first year of employment, and;
  3. An employee with at least 12 months of service may be entitled to redundancy pay even if they resign or are terminated for reasons other than misconduct or neglect of duty.

Given the complexity of these legal requirements, it’s crucial to stay informed and seek expert advice.

CCF Victoria members can access free phone advice from Ridgeline HR by calling 1300 108 488 or emailing enquiries@ridgelinehr.com.au.

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