Classification translation principles

From 1 January 2010, modern awards commenced operating and replaced thousands of pre-existing instruments. The following principles provide guidance on how individual employee classifications translate into modern award classification structures.

Principles

1. Employees will be covered by a modern award classification that appropriately covers their work
   • A classification will apply if it clearly covers the employee’s occupation, skills, competency and level of responsibility.
   • Some modern awards list indicative tasks which each classification is expected to perform. The indicative tasks provide helpful guidance, but should also be considered in conjunction with a classification’s required skills, competency or responsibility level.
   • A modern award classification should be equivalent or comparable to the required duties and skills under an employee’s pre existing classification.
     
     
2. A modern award classification structure may not be identical to that in the pre-existing instrument
   • The translation of each pre-existing classification will need to be considered individually.
     
     
3. There may be more than one modern award classification that covers elements of an employee’s job.
   • In these situations, it may be appropriate to consider one or more of the following factors:
     • the primary purpose of an employee’s job
     • an employee’s expected level of competency or skill
     • an employee’s degree of responsibility, judgement, autonomy and accountability
     • an employee’s required level of supervision
     • whether the employee is required to supervise other staff
     • an employee’s required qualifications, experience or level of knowledge.

   See Example 1

   Example 1 - Manufacturing Employee in New South Wales

   Alice works in a factory located in NSW that manufactures bicycle parts.

   Her employment was previously covered by the Metal, Engineering and Associated Industries Award 1998 [AP789529]. From 1 January 2010, her employment is covered under the scope of the Manufacturing and Associated Industries and Occupations Award 2010 [MA000010].

   Alice has many years of experience and an Engineering Production Certificate II, and in addition to operating machinery, she assists her employer in training new staff, is responsible for quality assurance of her own work, and co-ordinates the work of others. Alice consistently meets the expectations of her employer in the performance of her duties.

   What is Alice’s classification under the modern award?

   Translation

   Under the modern award, Alice fits within the following classification:

   Wage Group: C11

   (a) Engineering/Production Employee-Level IV

   (i)  An Engineering/Production Employee-Level IV is an employee who has completed an Engineering Production Certificate II or Certificate II in Engineering-Production Technology or equivalent so as to enable the employee to perform work within the scope of this level.

   (ii)  An employee at this level performs work above and beyond the skills of an employee at the C12 level and to the level of their skills, competence and training:

   • works from complex instructions and procedures
   • assists in the provision of on-the-job training
   • co-ordinates work in a team environment or works individually under general supervision
   • is responsible for assuring the quality of their own work.  

   There are elements of Alice’s position in lower classifications, such as:

   • a degree of quality assurance, as well as assistance with training within Wage Group C12, and
   • working in accordance with standard operating procedures, and having completed three months training within Wage Group C13.  

   However, based on Alice’s qualification and experience, her competency in performing her job, her level of responsibility and the primary purpose of her job, in addition to her duties, the appropriate classification level for Alice is Wage Group C11.

4. Employees may not always be covered by the modern award classification which provides the closest wage rate to their pre-existing wage rate.
   • An employee’s modern award classification should not be selected by comparing wage rates
   • An employee’s classification should always be identified based on the work they do.
     
     
5. There may be multiple translations to or from a single classification
   • A pre-existing classification may translate into more than one modern award classification
   • More than one pre-existing classification may translate into a single modern award classification.

   See Example 2

   Example 2 – Clerical Employee in Victoria John is based in Victoria and employs a number of people to perform basic clerical duties. John’s employees were always classified as a ‘Grade 1’ under the Clerical and Administrative Employees (Victoria) Award 1999 [AP773032]. Under that instrument, the employees’ particular classification and wage rate was determined based on the following lengths of experience at that level: less than 6 months’ experience between 6 and 12 months experience more than 12 months’ experience.   From 1 January 2010, John knows that his employees are covered by the Clerks - Private Sector Award 2010 [MA000002]. John quickly identified that the work of a ‘Level 1’ employee under the modern award is comparable to that of a ‘Grade 1’ under his pre-existing instrument. However, the classifications and wage rates in the modern award are based on different lengths of experience, being: up to one year’s experience between one and two years’ experience more than two years’ experience.   How will John’s pre-existing employee classifications translate into the modern award classifications? Translation Grade 1 employees with less than 6 months’ experience and between 6 and 12 months’ experience will both translate into the same modern award classification. That is, the Level 1 modern award classification for employees with less than one year’s experience. The classification for a Grade 1 employee with more than 12 months’ experience will translate into two modern award classifications. That is, those employees may move to the Level 1 modern award classification for employees with between one and two years’ experience or for employees with more than two years experience. Existing instrument classification   Modern award classification       Grade 1, less than 6 months  Level 1, Year 1      Grade 1, between 6 to 12 months  Level 1, Year 2      Grade 1, more than 12 months  Level 1, Year 3