Banking, Finance, and Insurance Award employment types, rostering, and breaks
The Banking, Finance and Insurance Award 2020 outlines the employment structures and workplace conditions within Australia's financial sector. This award encompasses a wide range of professionals, including those working in banking, financial services, and insurance roles.
Employers should familiarise themselves with the different employment types specified in this award and adhere to the detailed regulations it provides for rostering and scheduling work hours. The award includes specific provisions for breaks and rest periods, which are vital for maintaining compliance and fostering the well-being and productivity of employees in the banking, finance, and insurance industries. This article can guide you in understanding the precise expectations and requirements, with a particular focus on banking, finance, and insurance award rostering.
Note: The information provided in this article is accurate as of 04/09/2024. As award conditions and rates are subject to change, please refer to the latest version of the Banking, Finance, and Insurance Award for the most current information.
Banking, Finance, and Insurance Award employment types
Comprehending the various employment types within the Banking, Finance, and Insurance Award 2020 is essential for effective workforce management and legal compliance. This award organises employees based on their contract types and work hours, offering clear guidelines for different employment scenarios and regulations.
The Banking, Finance, and Insurance Award defines three main types of employment:
- Full-time: These individuals have permanent contracts and usually work a consistent 38-hour week, offering them stability and predictable schedules.
- Part-time: These individuals are contracted for fewer hours than full-time staff, with their specific hours outlined in their agreements. They receive benefits that are proportionate to their agreed-upon work hours.
- Casual: These staff members are employed on an as-needed basis, without guaranteed hours. To account for the lack of regular hours and job security, they receive a higher hourly rate, known as casual loading.
The award also covers:
- On-hire employees: These individuals are hired through recruitment agencies to work in financial services settings. Their employment classification (casual, part-time, or full-time) is based on their working hours and the terms agreed with the agency.
- Trainees: These employees participate in training programs that combine hands-on work experience with formal education. The conditions of their training agreements determine their status as either full-time or part-time.
Ordinary hours under the Banking, Finance, and Insurance Award
Ordinary hours are the regular, agreed-upon working hours, not including any overtime.
The Banking, Finance, and Insurance Award provides explicit rules regarding the ordinary working hours for different categories of employees in the financial sector. These rules ensure that employers comply with the established standard hours, promoting consistency and equity across the industry.
Employment type
Ordinary hours
Notes
Full-time
38 hours a week
Ordinary hours of work exclusive of meal breaks will be an average of 38 per week to be worked on one of the following bases: (a) 38 hours within a work cycle of one week; (b) 76 hours within a work cycle of two weeks; (c) 114 hours within a work cycle of three weeks; or (d) 152 hours within a work cycle of four weeks.
A ‘week’ means any five consecutive days to be worked Monday to Friday, or five and a half consecutive days, Monday to Saturday.
Part-time
Less than 38 hours a week
Hours and availability must be agreed upon in writing.
Casual
Up to 38 hours per week
Minimum engagement period is two consecutive hours.
On-hire
As per the contract with the hire agency
Conditions should be equivalent to those of directly employed staff performing similar roles.
Apprentice/trainee
Generally follows full-time or part-time hours
Employment terms defined by training agreements.
Shiftworker
38 hours a week
Definitions include afternoon shift (finishing between 6:00 PM and midnight), early morning shift (starting between 4:00 AM and 7:00 AM), and night shift (finishing between midnight and 8:00 AM).
The Banking, Finance, and Insurance Award 2020 provides additional ordinary hours conditions for full-time and part-time employees:
- Span of hours: Ordinary hours for non-shift workers are between 7:00 AM and 7:00 PM Monday through Friday and 8:00 AM and 12 noon on Saturday. On one night per week, which must be specified in advance, ordinary hours can extend up to 9:00 PM.
Tips for effective management of work hours
To enhance productivity and ensure compliance with the Banking, Finance, and Insurance Award, consider these approaches:
- Track work hours: Use accurate tracking systems to monitor employee hours, ensuring they don’t exceed or fall under the stipulated ordinary hours. This helps maintain compliance across all employment categories.
- Flexible scheduling: Offer flexible work schedules to meet both operational requirements and employee needs. This flexibility supports a healthier work-life balance for staff.
- Regular audits: Periodically review work-hour records to detect and address irregularities. Adjust schedules proactively to avoid compliance issues and balance operational needs with employee well-being.
- Open communication: Foster an environment where employees feel comfortable discussing their schedules. Keep communication lines open regarding any changes to ensure transparency and mutual agreement.
Banking, Finance, and Insurance Award rostering
Rostering involves scheduling employees' shifts and hours.
The Banking, Finance, and Insurance Award provides specific guidelines for creating and managing employee rosters to ensure fairness and compliance. These guidelines include detailed requirements to ensure that rostering practices adhere to the award's stipulations, promoting fair work distribution and adherence to the standards set forth in the Banking, Finance, and Insurance Award rostering provisions.
Roster management
Notes
Regular and predictable hours
The ordinary hours of work for full-time and part-time employees should be regular, predictable, and agreed upon in writing before the commencement of the role.
Notice periods
The award doesn’t explicitly stipulate notice periods for roster changes. General advice suggests providing at least seven days’ notice for any changes, unless there are unforeseen operational requirements or mutual agreement.
Roster flexibility
Starting and finishing times within the span of hours may be staggered by the employer to improve operational efficiency.
Flexible working requests
Employees have the right to request flexible working arrangements for various reasons, such as family obligations. The award mandates that employers carefully consider these requests in line with the National Employment Standards (NES), allowing rejection only on reasonable business grounds.
Make-up time
Employees may elect, with employer consent, to work make-up time by taking time off during ordinary hours and working those hours later.
Shiftworkers can work make-up time at the applicable shiftwork rate.
Rostered days off
Employees, with employer consent, can take rostered days off, take them in part-day amounts, or accrue them to create a bank to be used at mutually agreed times.
The terms of any rostered days off system must be recorded in the time and wages records.
Strategies for effective roster management
Balancing operational demands with employee needs in the banking, finance, and insurance sectors requires effective roster management. Below, you can find some strategies to consider:
- Plan ahead: Prepare rosters in advance to ensure sufficient staffing and minimise disruptions, providing predictability and balanced workloads.
- Employee input: Include employees in the rostering process, discussing their preferred working times and accommodating personal requests when possible. This promotes job satisfaction and retention.
- Award flexibility: Leverage the flexibility of the award to adjust shifts and schedules, managing unexpected workload changes or covering staff shortages effectively.
- Regular reviews: Regularly evaluate rosters to ensure they align with operational needs and employee well-being. Make necessary adjustments to maintain efficiency and satisfaction.
- Clear communication: Maintain clear and ongoing communication about rostering policies. Document and communicate any roster changes promptly to all affected employees, ensuring they can prepare accordingly.
- Training for managers: Provide managers with comprehensive training on Banking, Finance, and Insurance Award rostering. This includes understanding the specifics of the award, managing work hours, handling change requests, and ensuring compliance with all relevant regulations.
Banking, Finance, and Insurance Award breaks and rest periods
During a work shift, breaks are designated times for employees to rest, eat, or attend to personal needs. This section outlines the entitlements and regulations concerning rest and meal breaks for employees under the Banking, Finance, and Insurance Award 2020, ensuring they receive proper rest and that work schedules comply with the award's standards.
Type of break
Details
Notes
Unpaid meal breaks
Employees who work five or more hours are entitled to an unpaid meal break of at least 30 minutes.
If the shift is six hours or less, employees can work without a break by agreement.
In emergencies, meal breaks can be deferred by mutual agreement.
Meal breaks don’t count as time worked.
Rest breaks
All employees are allowed rest breaks during the workday at times agreed upon with the employer. If no agreement is reached, the employer sets the rest breaks.
Rest breaks are unpaid unless otherwise agreed.
Unpaid meal breaks for shiftworkers
Shiftworkers must have a meal break as part of their shift, usually 30 minutes.
Shiftworkers' meal breaks are determined by the specific needs of their shifts.
Meal breaks don’t count as time worked.
Unpaid meal breaks for overtime
Employees working overtime are entitled to meal breaks. The specifics depend on the duration and timing of the overtime worked.
Meal breaks don’t count as time worked.
Advice on scheduling breaks to enhance employee well-being and compliance
Effective break management is essential for compliance and significantly boosts employee satisfaction and productivity within the banking, finance, and insurance industries. Here are some practical strategies:
- Promote full break utilisation: Encourage employees to take their designated breaks. Highlight the benefits of rest for mental and physical well-being, which is essential for maintaining productivity and service quality.
- Enhance communication: Establish clear communication channels for employees to discuss their break preferences or concerns. Flexibility within the award's guidelines can improve break usage and job satisfaction.
- Regular review: Monitor break schedules regularly to ensure compliance. Address any deviations promptly to maintain adherence to award requirements.
- Educate staff: Provide ongoing training for employees and managers on break entitlements under the Banking, Finance, and Insurance Award 2020. Keeping everyone informed supports effective break management and compliance.
Banking, Finance, and Insurance Award practical application: Example
‘FinCorp,’ a mid-sized financial services company, faced challenges in complying with the Banking, Finance, and Insurance Award 2020, particularly regarding ordinary hours, rostering, and break management. The company operates with a diverse workforce, including customer service representatives, financial advisors, and administrative staff.
Challenges
Ordinary hours compliance:
- FinCorp needed to ensure that ordinary hours didn’t exceed 38 hours per week.
- Managing different start and finish times for various roles created complexities.
- Ensuring part-time employees' hours were consistent with their contracts without exceeding the award’s limits.
Rostering issues:
- Creating rosters that met both operational needs and employees’ preferences was challenging.
- The need to provide rosters in advance often conflicted with sudden business demands.
- Avoiding excessive overtime and ensuring adequate staffing during peak periods.
Break management:
- Ensuring employees received the required meal and rest breaks.
- Managing break schedules to maintain continuous service, especially in customer-facing roles.
- Handling non-compliance issues where employees missed their breaks because of workload
Resolution
Ordinary hours compliance:
- Software integration: FinCorp integrated a workforce management software that tracked working hours in real-time. This software alerted managers if an employee was nearing their ordinary hours limit.
- Flexible work arrangements: The company introduced flexible working hours and remote work options, allowing employees to better manage their hours without exceeding limits.
- Regular audits: Weekly audits of working hours were conducted to ensure compliance and address any discrepancies promptly.
Rostering solutions:
- Advanced planning: FinCorp adopted a rolling roster system, planning schedules three weeks in advance to balance employee preferences with business needs.
- Shift swapping: An internal portal was introduced where employees could swap shifts with colleagues, provided it didn’t lead to overtime or non-compliance.
- Peak period staffing: The company identified peak periods and scheduled additional staff in advance, reducing the need for last-minute changes and overtime.
Break management:
- Automated break alerts: The workforce management software included automated alerts for breaks, ensuring employees took their required breaks on time.
- Break compliance monitoring: Supervisors received training to monitor and enforce break compliance, ensuring employees adhered to their break schedules.
- Flexible breaks: Implementing staggered break times allowed continuous service without compromising on break requirements. Employees could take breaks in shifts, ensuring someone was always available for customer service.
Outcome
By implementing these solutions, FinCorp improved compliance with the Banking, Finance, and Insurance Award. Employee satisfaction increased because of better work-life balance and more predictable schedules. The company also saw a reduction in overtime costs and improved overall efficiency in managing ordinary hours, rostering, and breaks.
Key takeaways recap
In summary, here are the essential points and recommendations to ensure compliance with the Banking, Finance, and Insurance Award 2020:
- Coverage: The Banking, Finance, and Insurance Award encompasses a wide range of professionals within the financial sector, including employees in banking, financial services, and insurance roles. It also includes on-hire employees sourced through recruitment agencies and trainees who participate in training programs combining hands-on work experience with formal education.
- Employment types: The award recognises various employment types, including full-time, part-time, casual, on-hire, and trainees.
- Ordinary hours: Full-time employees work an average of 38 hours per week, which can be distributed across various work cycles. Part-time and casual employees must have their hours clearly defined and agreed upon in writing. For on-hire workers, their working hours depend on the contracts with their recruitment agencies.
- Span of hours: The span of hours for non-shift workers is between 7:00 AM and 7:00 PM from Monday to Friday and from 8:00 AM to 12 noon on Saturday, with one night per week allowed to extend to 9:00 PM. For shiftworkers, the span of hours includes afternoon shifts (finishing between 6:00 PM and midnight), early morning shifts (starting between 4:00 AM and 7:00 AM), and night shifts (finishing between midnight and 8:00 AM).
- Breaks and rest periods: Employees are entitled to unpaid meal breaks of at least 30 minutes after working five hours. Shift workers and those working overtime have specific entitlements to ensure they receive adequate rest. Rest breaks are unpaid unless otherwise agreed upon and must be scheduled to meet both operational requirements and the needs of employees. Ensuring proper break management not only complies with the award but also enhances employee satisfaction and productivity.
- Rostering rules: Employers must ensure that full-time and part-time employees have regular and predictable hours, agreed upon in writing before the commencement of their roles. While the award does not explicitly stipulate notice periods for roster changes, it is generally advised to provide at least seven days' notice unless there are unforeseen operational requirements or mutual agreement. Employers must also consider flexible working requests in line with the National Employment Standards (NES), allowing rejections only on reasonable business grounds.
Simplifying Banking, Finance, and Insurance Award ordinary hours, rostering, and break management
Understanding ordinary hours, along with effective rostering and break management, is essential for compliance with modern awards. Rippling's centralised platform provides powerful tools to simplify scheduling, track hours, and manage breaks. Key features include:
- Smart rostering: Create compliant rosters with a fair distribution of shifts and required rest periods.
- Automated time tracking: Automatically track employee hours from clock-in to payslip, eliminating manual data entry.
- Break tracking: Automatically track meal and rest period entitlements.
- Hours monitoring: Accurately monitor and record employee working hours.
- Compliance reporting: Generate reports on hours worked, breaks taken, and rostering patterns.
With Rippling, you can do more than just meet award compliance requirements; you can exceed them.
Disclaimer: Rippling and its affiliates do not provide tax, accounting, or legal advice. This material has been prepared for informational purposes only, and is not intended to provide or be relied on for tax, accounting, or legal advice. You should consult your own tax, accounting, and legal advisors before engaging in any related activities or transactions.
