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And for the record....

Fear of a Fair Work Ombudsman (FWO) inspection sits in the pit of the stomach of many small business owners. The very thought of Inspectors rifling through business records and finding erroneous processes can send shivers down the spine of any employer. The Ombudsman means business when it comes to adequate recording keeping and is not afraid to dish out fines or commence court action.

FWO Inspectors can knock on your door without a specific complaint from your workforce and without significant notice. They can require you to supply time-and-wages records in order to determine if your staff are being paid correctly and if you are complying with workplace laws.

If your record keeping is not up to scratch you may just be asking for them to launch a wider investigation. This is one of the key reasons it is wise to maintain good record keeping practices. Equally, maintaining robust employee documentation is, in itself, a good habit to develop and will minimise exposure to potential employee claims.

However, even the most organised business, may have let some of the legislative requirements slide, especially given the rate of change in workplace law in recent years. So here are a few tips to make sure you don't get stung for poor record keeping practices.

Many of the Fair Work Act 2009 requirements are the same as under the Workplace Relations Act 1996. There are, however, some new requirements. For example, from 1 January 2010, businesses need to make sure that an employee record (including payslips) contains their Australian Business Number.

Pay slips must be issued to all employees within one working day of pay day, even if an employee is on leave and can be in either electronic form or hard copy.

The legislative requirement to keep all employee records for 7 years stays the same.

All employee records have to be easily accessible by a FWO Inspector and written in English.

Under the Act, businesses must keep 'all' employee records. An 'employee record' includes a record of personal information relating to the employment of an employee including:

So far the FWO has been supportive toward business, particularly small business. Unless they suspect deliberate deviation of the rules, they do provide employers the opportunity to rectify errors before heading down the path of issuing fines. You don't want to find out first hand though!

Take a good look at your record keeping systems - do you think you would pass a FWO inspection? Do a self audit and if you're still not sure, get some help.

A Hot Topic for Tots: Parental Leave

There's been much in the press in the last week or so about proposed national Paid Parental Leave schemes. Regardless of what you make of the proposals and the politics(!), I thought it might be timely to talk about the recent changes to unpaid parental leave that commenced on 1 January 2010 and apply to most Australian workplaces right now.

In addition to the provisions for more flexibility in working arrangements when parents return to work after baby (see last blog), the new laws also provide for an extended period of unpaid time off at the birth (or adoption).

Previously, parents were entitled to receive up to 12 months of unpaid parental leave combined. The National Employment Standards (NES) extends this by giving both parents the right to separate periods of up to 12 months unpaid leave. Alternatively, if only one parent wishes to take leave, they will have the right to request an additional 12 months of leave. What this means, effectively, is that the maximum total leave period for an employee couple is two years, in whatever combination they might seek to take it.

To be entitled to unpaid parental leave, a full time or part time employee must have completed at least 12 months continuous service. In the case of casual employees, they will only be entitled to unpaid parental leave if they have been employed on a regular and systematic basis for at least 12 months and, but for the birth or adoption, would have a reasonable expectation of continuing employment.

You can only reject an employee request for an extended period of leave if you have 'reasonable business grounds' for doing so. The same considerations in assessing requests for extended periods of parental leave should apply as for requests for flexible work arrangements. These include:

Clearly, the reasonableness of any refusal will depend on the particular circumstances of the situation.

Other recent changes include increasing the amount of leave that can be taken concurrently by both parents (up from one week to three), extending the entitlement to same sex couples, and extending parental leave to apply in cases of adoption for a child under the age of 16 years (up from 5 years).

So there you have it - that pretty much has you updated and able to participate in an intelligent conversation on this topic in the future, as/if/when you are approached by an employee who is heading in the 'family' direction.

And one other thing, just in case you get the question.

Parental leave only applies to human children. Puppies, kittens, foals etc do not fit the definition.

(Don't laugh - the question has seriously been put to me. And on more than one occasion).

Flexible Work Arrangements - New Rights

So here we are - 2010. Happy New Year!

Here at Hunter People Solutions we think it is going to be a great year - a year of new adventures and bigger challenges with a good dose of change management thrown in to the mix. And this isn't just because we both have our first-borns off to big school (although that's a part of it!) - it's due to the workplace impacts that will occur as a result of the final pieces of the Fair Work Act (2009) coming into effect.

Do you know if your business is sufficiently prepared for these changes? Or are you thinking you are just going to 'wing it'?

You're no doubt aware that a big component of the new laws is the introduction of the National Employment Standard (NES). There are 10 standards and they form part of the safety net that applies to all employees who are covered in the federal system. The piece of the NES that we believe has the most potential to impact businesses is the right for employees to request a change in their working arrangements.

The right is available only to employees who are parents of, or have responsibility for the care of a child who is under school age (or, if the child is under 18 years of age, who has a disability). And the change in working arrangements must be for the purpose of assisting the employee to care for the child.

So, what sort of flexible 'changes in arrangements' are we talking about here?

While not being specific, the new laws suggest this might include changes in hours of work, in patterns of work or in working location. So the sort of requests that should be expected will probably include switching to part time work by working fewer days per week or fewer hours across each day as well as requests to work from home or moving to another more convenient office location.

To be eligible to make such a request under the NES, employees must have completed at least 12 months continuous service. They have to put their request in writing and set out the details and reason for the change.

If and when you receive such a request, the new laws require you to do a number of things:

Which leads us to the curliest question so far. What constitutes 'reasonable business grounds'?

While not being specific (again!), the new laws suggest such grounds might include:

Clearly, the reasonableness of any refusal will depend on the particular circumstances of the situation.

Most importantly in this new workplace relations area, it is imperative that you understand and adhere to your obligations as an employer when faced with requests for flexible work arrangments. If you don't, for example, because you forgot to appropriately respond to a request within 21 days, you may face a claim for breaching the NES. And a maximum penalty of $33,000 applies (ouch!).

Our advice?

'Winging it' is probably not the best option. Understand your obligations so you can be on the front foot with your employees. We suspect this new right will soon be as commonly understood as the existing right to 12 months unpaid maternity leave that we all take for granted. And ask for help if you need it. An independant ear and some professional advice can really make the difference to making a solid robust decision or a dodgy, fishy one.

Oh...and stay tuned to the Blog. We'll keep you posted as to how this new workplace right plays out as requests start coming through in Australian workplaces......

Tis the season to be jolly...

With Christmas and end of year fast approaching we hope that you are giving some thought to how you reward your team for their contribution for 2009. What are you doing for your people?

No matter who you are, everyone likes a thank you especially if there is a gift attached. Many employees give out cash rewards and bonuses at this time of year. Employees really like this as it helps with the never-ending cost of Christmas expenses.

I was always a big fan of the Christmas Ham we received at a previous work place. Each year we would line up with our vouchers and pick up our leg of ham from the on-site canteen. Extreme temperatures and a few bouts of 'not so good hams' ruined it for everyone so reluctantly we went to the Coles/Myers vouchers.It wasn't the same though. I never bought ham with the voucher. Actually I think my husband bought a case of beer with it so I guess it was good for him.

Anyway, there are many things you can do to say thanks - some of which won't cost you the earth and won't kill your employees with food poisoning.

The vouchers are a nice idea. But it can get costly if you have a big team and then you have to consider whether you give the same amount to everyone and if not - How will you explain why he got $100 and she only got $50? There's always a catch isn't there?

You may opt for the end of year celebration or Christmas party. I love Christmas parties but they are always fraught with scandal. I don't think I've been to Christmas party where there wasn't a drama to sort out in the new year. Whether its a fight that has broken out or a hook up that shouldn't have happened - HR hates open bars.....

As employers though, you must remember your responsibility to provide a safe environment for you employees even at these after hours functions. This means keeping tabs on the alcohol consumption particularly for young workers and providing transport if necessary. It doesn't hurt to remind your employees that they are representing the Company and as such should maintain a decent standard of behavior.

Some employers give their people half a day off on Christmas eve. Also a nice idea if you're business can manage it. Unless you're in retail, most workplaces are fairly unproductive anyway so you may as well send everyone home and look like the good guy.

A manager I once worked with, every year, gave his team a bundle of rocky road that his wife had made. It was really special and everyone looked forward to it. His wife had meticulously wrapped big chunks of rocky road in cellophane and Christmas ribbon and he handed to every one personally and said have a good Christmas. I usually had eaten mine by morning tea. I was a big fan of the rocky road.

The individual Christmas gifts are a nightmare. Don't go there. Last time I did this I didn't know what to buy 2 of the male employees in my team. I went to David Jones in the gift section and kept getting drawn to the nose and ear trimmers. I don't know why because neither of them were particularly hairy. Its just that they were in the price range and the guys weren't really the golf-accessory type. Don't worry, I think I ended up buying them diaries.

So you don't have to spend a lot of money but make sure you thank your team for their hard work. A little appreciation goes a long way. Tell them what's in store for 2010. Make the effort to find out how everyone will be spending Christmas day. Try to remember their kids names.

Good luck with it and feel free to call us if you're stuck for inspiration.

Merry Christmas from the gals at Hunter People Solutions.

November 2009

Sometimes it's hard to explain to people what we do for a living. My father-in-law thinks we're a recruitment company, my dad thinks we're trainers, and my daughter thinks I just go to meetings. We do all of those things but it doesn't seem to encapsulate what we are really about.

Funnily enough, I found a very good description of what we do on our Company's public liability policy statement. It says that we provide people management systems and policies for small to medium size business.

And we do. We provide systems and policies to help managers manage their people. We believe that by giving managers the right systems and tools they will have the confidence to lead their people to get their very best performance.

Even with the very best HR systems in place, leading people is always the hardest part of any manager's job. People issues are time consuming, stressful and take you away from your everyday job of running your business. Most managers will admit that regardless of how long you've been in the job, people are unpredictable and need lots of attention. Some say it gets easier with time (or age) and some say it never gets any easier.

Regardless of your business type, if you employ staff there will come a time when you will come across one of those uncomfortable situations with your people. Whether it's over performance, attitude or a personal issue - having the "conversation" is always difficult.

Don't just take my word for it. We have asked our favourite managers to talk about their most valuable learning experience. We hope that by sharing the experience of others you will gain an insight into different leadership styles and learn from the war stories of some really great managers. We hope you enjoy the read...

Brad Hume - Project Director (Aerospace Industry)

The best lesson I've learnt as a manager is that Leadership is not an easy thing to do. There are a lot of textbooks and training espousing the techniques and styles of well known Leaders. What a lot of these fail to get across is that Leadership is tough and requires constant vigilance. It takes courage to make decisions which can affect staff you have worked with for many years, it requires you to be consistent in your dealings with staff, and to model the behaviours that you expect of others. One of the most valuable takeaways is the knowledge that you will make mistakes and it is 'Ok' to admit them and fix it up. Staff respect Leaders who are willing to admit mistakes and it helps build a level of trust.

Michelle Zoetemeyer, Operations Manager (Heavy Industry)

How many managers have you had that seemed to go out of their way to make others around them look stupid, or who were always first to blame one of their team when things went wrong in the hope that this will somehow make them look more competent? Go on, admit it, you're thinking of someone right now, aren't you? That's alright, I don't need names to know that they exist. I have been fortunate to have had one myself, so I have a name imprinted on my brain right now also.

Sounds more like misfortune, I know, but I don't see it that way. Well, actually, at the time I thought I'd rather sit at my desk stapling my eyelids closed than work another day for this moron......but, luckily for me, in time (and not before high-tailing it out of there) I did begin to see things in a different light. As unpleasant as it was at the time, the experience was one of the best management lessons I have learned. Why? Because I knew exactly what a good manager wasn't.

We hear all too often what we need in order to be good managers, but not often enough about what we shouldn't be. Another manager of mine told me once that if you want to look good as a manager, you need to surround yourself with good people. I never understood the significance of his advice until I worked for a manager who thought the opposite. More importantly, it never really hit home until I became a manager myself. For those of you who have competent high-performing team members who you can count on, you'll know exactly where I'm coming from. Life becomes easy, stress levels reduce significantly, all of a sudden you feel like you can achieve anything, and you do! Put simply, good people makes good sense.

So, if it sounds that simple, why aren't more people doing it?

I believe that there are two main reasons why people aren't (you probably know many more). Firstly, good people are like numbats; there not as common as they sound. Finding good people takes time and effort and requires you to be clear about what you are looking for and what you need. In other words, you have to put a whole lot of effort in yourself. Secondly, having good people around you means that you actually have to let go of your ego and allow them the room to shine. As harsh as it might seem, it is not all about you. Put your hand up if you've ever thought that something was easier for you to do yourself than it was to show someone else how to do it. Or, if you ever wondered if you were the only person around here that knows how to fix this (I better stop with the questions; I can't type one-handed very well). If these thoughts are familiar to you then I suggest you have not yet got yourself totally surrounded, which really means you still have a whole bunch of work to do (in more ways than one).

Gavin Heydon, Major Projects (Civil/Industrial Construction Industry)

When you start working your way up the management tree you want people who work for you to be just like you, doing things your way, working to your priorities, staying back when required, formatting documents and spreadsheets in a certain way etc. After a while of being continually frustrated at your staff's performance and working a lot of additional hours to make up for their 'shortcomings' you realise that maybe, just maybe, the one that needs to change might be you. I learnt this lesson when my team and I were putting together a major project and two weeks before the deadline I came down with a horror flu and couldn't go to work for a week. Upon my return it was evident that the team did know what they were doing, in their own way, and that my way wasn't the only way. The project came in on time.

From that moment on I learnt that all people have something to offer and it is your job as a manager to identify their strengths and the things that motivate them. Getting work done through people is one of the most rewarding parts of my job.

Kylie Daniels, Area Manager (Banking and Finance)

An effective manager needs to form good management habits. As a manager, you can spend so much of your day putting out spot fires. Within the first year of my management role I found myself overwhelmed with how much my staff (who were managing staff of their own) needed me to 'help'. What I finally understood they needed was not for me to sweep in and 'fix it', but rather, to provide clear direction and support for them to find their own fix.

Geraldine, General Manager (Utilities Industry)

One of the things that gives me most satisfaction as a leader is helping and watching people grow and develop. It is an important leadership accountability and capability to be able to spot the talent in others, even when they may not see this in themselves. As a leader, your role is to challenge them to step outside their comfort zone to take on new challenges, engender self belief, provide guidance and support, offer a safety net if they occasionally stumble and encourage perseverance. Witnessing the delight that people take in their own success, large or small, provides enormous satisfaction and validation that you are making a positive difference to individuals and your organisation.

Chris Puslednik, Senior Project Manager, Rail Industry

The biggest thing that I have learnt since becoming a manager is that people are different and you need to treat them differently. Sounds pretty simple - you'd think that I already knew that before I got to be a Manager!

What I mean though, is that I grew up being told that I needed to treat other people the same way I liked to be treated. So that's what really underpinned the essence of my management approach.

But I very quickly learned that I needed to treat people, particularly those I was leading or managing, the way they liked to be treated. And this meant I really needed to know them and understand their preferences. Did giving them a big picture view about where we needed to head leave them excited and inspired about would could be OR nervous about the fact that they didn't have enough detail to be comfortable about planning for the future? Were they happy to wing it in a presentation to a client OR were they going to perform much better if I gave them plenty of time to develop a winning strategy? Did they thrive on very public recognition and appreciation when they nailed something at work OR would this be the source of near fatal embarassment? Well, I didn't know any of this up front - but I knew quick smart, it was my job to find out.

So here I am. I don't know everything about the people I work with. But I know a lot and I keep learning and insomuch make better judgements and have more effective interactions with my team all the time.

Brett Masterson, Area Manager (Retail Industry)

The best lesson I've learnt as a manager is that you need to know your stuff as far as OHS, HR issues and you're own people management skill goes. I've learnt in the past you can come unstuck very quickly if you don't know what you're on about. The thing they don't tell you when you become a manager is you need to have a good grasp of people principles and practices in your organisation, because you're the person your staff come looking to for all the employment stuff that concerns them - it becomes very embarrassing fairly quickly if you don't know yourself. My most rewarding moments as a manager are seeing the people underneath me better themselves and get promoted due to there own hard work and the effort I have put in to them as a manager in teaching and coaching them along the way.

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