Bookkeeping News for August 2019

August 2019 Bookkeeping News

Fair Work Priorities for 2019–2020

Fair Work Ombudsman (FWO) Sandra Parker has announced the FWO priorities for 2019–20

Key themes (ICB extract)

a stronger approach to enforcement strong message of deterrence to would-be lawbreakers

Priorities

• Fast food, restaurants and cafes

• Horticulture and the harvest trail

• supply chain risks (ie where the subcontractor to the contract is underpaying)

• Franchisors

• Sham contracting (where they really should be an employee but the contract means less pay)

Areas of concern that are highlighted for clients and bookkeepers

• FWO can force the provision of payroll records if there is a problem

• Payroll records must be kept and must be kept correctly. “falsifying or failing to keep records will not be tolerated”

• FWO will chase and enforce and seek penalties on employers who do not do what they were told by FWO

• Simply backpaying people for underpayment is not enough

Other comments

Staff turnover rates are at a ten year high of around 18%. Half of younger workers leave their employment each year.

Small and medium business employ around 70% of all workers.

There are lots of employers … , no doubt, who do the right thing if it’s clear what they need to do. Luckily, the tools are there on our website to help them.

Single Touch Payroll

Single Touch Payroll – Hot Issues

Employers should embrace STP before 30 September 2019 – There is a General Deferral until then for Small Employers

From 30 September the ATO will begin chasing employers to get the onboard

ATO are following up of all large employers who have not commenced reporting through STP (including government departments). There is less than 10% of large employers who are not yet reporting and only 5% (approx 3500) who are not subject to a known deferral.

Closely held employees do not have to be reported until 30 June 2020 but you may if you can.

To find out what is required to update your software, please call us.