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The new Workplace Relations Act is now in place. Are your employee records up to scratch?

From 27 March 2007, all businesses covered by the Workplace Relations Act 1996 are legally obliged to keep accurate employment records. The obligations are very similar to those that existed before WorkChoices under the various State and Federal systems and are designed to ensure employees receive their correct entitlements.

Whilst records must be kept for all employees, regardless of their state of employment, the recent changes specifically apply to businesses that employ casual, irregular shift based and part time employees. According to the Workplace Relations Regulations 2006 all casual or irregular part-time employees who are guaranteed a basic periodic rate of pay must have their working hours recorded. In addition, if a penalty rate or loading must be paid for overtime hours actually worked, then the number of hours and/or the start and finish times must be recorded.

All employers must keep their records for a period of at least 7 years. These records must be available for inspection by all current and former workers and Workplace Inspectors.

If you think that all of this is a waist of time, consider the costs involved in not complying with the new regulations. Workplace Inspectors now have the authority to issue infringement notices to employers for identified breaches of record-keeping requirements. Depending on the size of your business and nature of the breach the infringement can amount to a frightening figure. Breaches of a serious, willful or repetitive nature may lead to legal proceedings being brought against you.

So what is the solution to keeping accurate and complete time attendance records? An automated time and attendance system! This technology has come a long way over the past few years. The days of dropping punch cards into time clocks are well and truly gone. Today, your employees' arrival and departure from work can be recorded with the touch of their finger. Biometric time clocks capture and record employee attendance data, then forward the information to a time and attendance software application such as TidyTime. This software application calculates the amount of time each employee has worked and then sends the data to a payroll software application, which calculates exactly how much each employee is to be paid.

Whilst the upfront costs of such a system may not be so appealing, they are typically out-weighed by the savings resulting from improved pay accuracy. It is also possible to reduce the initial outlay for your time and attendance system by considering rental options offered by biometric companies such as PeopleKey. They offer a rental option that includes the hardware, basic time and attendance software and support from $39 per week.

Ultimately, it is up to you to decide how you will keep in line with the new amendments to the Workplace Relations Act 2006. If you are unsure of your record keeping requirements, it is advisable to contact the Workplace Ombudsman, which can provide you with a range of tools and information designed to help you meet your responsibilities.