In February 2022, the Fair Work Commission decided to vary the Horticulture Award 2020 to ensure pieceworkers receive at least their minimum hourly rate for each hour worked. These changes come into effect on 28 April 2022.
Employers must fix piece rates at least 15% more per hour than the minimum hourly rate. To earn piece rates, pieceworkers must now meet the average productivity of a competent pieceworker.
A competent pieceworker means a pieceworker who has at least 76 hours’ experience performing the task eg picking apples, picking strawberries or pruning grape vines.
The average productivity of a competent pieceworker is calculated by dividing the total output of the pieceworkers over that period by the total hours worked on the piecework task over that period. If a pieceworker does not meet the average productivity, they must be paid at least the minimum hourly rate for their classification for each hour worked on a particular day.
Before commencing a piecework task, the employer must provide the pieceworker with a piecework record. A piecework record can cover more than one piecework task. If there is a change to the piecework rate, the employer must provide a further piecework record with the new rate.
Employers must keep a copy of each piecework record and record all hours worked by the pieceworker and the applicable pieceworker rate. A copy of a piecework record is to be provided to the pieceworker if requested.
Any businesses seeking assistance understanding these provisions should contact the Business Advice Hotline on 8300 0000 (select option one).