Hi, I am hoping someone can provide clarification
Our employees are on an award that has the ordinary of hours work defined as an average of 38hrs/wk. This award only clarifies overtimes as any time worked in excess of 12 hour per day. There is no provision for overtime if the employee works in excess of 38 hours per week.
Due to the nature of our business employees work their 38 hours over 4 days. We have some employee requests to work "additional reasonable hours" as they would like the extra money for their personal circumstances. They understand that this is voluntary and paid at their regular hourly rate (which is above award). If working an additional day the employee's hours total 47.5 per week.
Our question is: do we pay the SG on all hours worked (47.5hrs) or just on the ordinary hours of work (38hrs)?
We have consulted an employment lawyer with this question however they were unable to provide clarity.
Superannuation is payable on OTE, which is defined in the award. Overtime is not included in the definition of OTE. Ordinary hours within the restraints of the relevant industrial instrument are considered part of OTE and attract superannuation. We are not certain that Additional hours which are not within the definition of ordinary hours in our underlying Award would attract superannuation. Additional hours are not "ordinary hours", but are in effect overtime hours paid at ordinary hours rates.
Thank you in advance :)