Effective from 12 December 2018, the Fair Work Act includes an entitlement to Family and Domestic Violence Leave as part of the National Employment Standards.
The entitlements consist of 5 days unpaid per year and applies to all employees (full time, part time and casual). Click here to access further information on this new leave entitlement.
As a result, a new leave category for Family and Domestic Violence Leave has been added as part of the default leave categories provided in the system. The settings have been configured as follows:
Depending on your circumstances, you may need to update some existing business settings to ensure employee leave settings are fully updated for this new leave category. Instructions on completing the setup are as follows:
Scenario 1: Adding a new business to your account
The new leave category will be available as part of the default setup. Additionally, the default Leave Allowance Templates provided - ie 'Permanent Leave - No Loading'; 'Permanent Leave - No Loading (10 PCL days)', 'Permanent Leave - With Loading', 'Permanent Leave - With Loading (10 PCL days)' and 'Casual Leave' - will incorporate this new leave category. Basically, you won't need to do any additional work to set up the leave category.
We have also added a work type (as part of the existing default work types set up) called 'Family and Domestic Violence Leave Taken'. Work types are handy when employees are required to submit timesheets and/or convert leave requests into timesheets. If you do not use work types in the business you can either remove the work type completely or switch off the automatic enable rules.
To delete the work type, hover your mouse over the work type where you will then see a red 'x'. Click on the 'x' to start the delete process:
The work type is set up to be automatically enabled for all full time, part time and casual employees. To switch off the automatic enable rules, click on the name of the work type to expand the settings.
Untick the checkboxes (that are ticked by default) and click on 'Save'. This will result in no employee being able to view or access this work type. If you want only specific employees to have this work type made available to them you will need to activate the work type via their employee file.
Scenario 2: Existing business with Award(s) installed
As you would be aware, the entitlement to Family and Domestic Violence Leave came into effect from 1 August 2018 for all Award employees. As such, the new leave category is already set up in your business and no further configuration is required for your Award employees.
If you have employees in the business however that are not Award covered, you will need to ensure that any Leave Allowance Templates used for non-Award employees are updated. To do this, click on the relevant leave allowance template name to expand the settings. You will notice that the Family and Domestic Violence Leave leave category is not activated:
To activate click on the left of the toggle and then click on 'Save'. If there are employees already attached to the leave allowance template, the following pop up will appear:
You must click "OK" so that the existing leave settings for employees are also updated.
Scenario 3: Existing business with no Award(s) installed
The new leave category has now been added to your business as well as the work type. If the business does not require the work type, it can either be removed or disabled. Instructions on both options can be found in the Scenario 1: When adding a new business section.
You will need to ensure that the settings for any Leave Allowance Templates are updated to incorporate the new leave category. Instructions on how to do this can be found in the Scenario 2: Existing business with Award(s) installed.
Hiding Leave Category Names in the Employee Portal Calendar
In case you're not aware, if your employees have access to the employee portal and have allowed employees to see other employees' approved leave through the calendar, you can choose to hide the leave category names from the calendar. This means that employees will only know that a certain employee is off on leave but not know what type of leave has been taken. To read more information on this and how it works, click here.
How the system manages the accrual of this new "rolling" leave type
This type of leave has to accrue in one hit / in advance / and no balance is carried over.
Part of the way we manage this type of leave includes only considering a FULL pay period to be the first pay period of an employee's leave year.
This means that unless an employee's start date lines up with the pay cycle exactly, the first pay run a new employee is paid in will be considered a partial pay. This being the case, the system effectively treats this first/partial pay run as the last pay of the employee's "previous" leave year.
In practice, what happens is all new employees will receive a 5 day balance in their first pay run.
If the employee's start date is not the start date of the first pay period then, in the employee's second pay run (which is the first FULL pay of the employee's new leave year) the system will perform the normal/annual rollover process, i.e:
- negate the unused portion of leave (using a negative leave adjustment)
- add a fresh allocation of 5 days (leave accrued).
Unless an employee actually "takes" this type of leave, their Family and Domestic Violence leave balance should always be 5 days - and if you let the system manage the leave accruals (as described above, without interference) this will be the result.
If you have any questions, please do not hesitate to contact us via email@example.com.