Working Conditions

On this page:
Workplace rights
Tax system
Superannuation
Legal protection and privacy
Workplace health and safety
Workplace culture

Workplace rights

Employment contracts

When starting work, you should be given a contract of employment to sign. Employment contracts should include:

• salary and details of payment as well as any bonus scheme
• working hours and conditions
• periods of notice required to be given.

Leave entitlements

Under the Australian Fair Pay and Conditions Standard all permanent employees are entitled to:

• 20 days paid leave per year
• 10 days sick leave per year
• 52 weeks of unpaid parental leave (including maternity, paternity and adoption leave)

Earnings

Earnings vary widely across industries and between public and private sectors. Salaries depend on job specifics, employer type, your skill level and qualifications. For average earnings information, visit the Occupations section.

You can also research salary levels by looking up current job advertisements and relevant salary surveys:

• MyCareer
• Michael Page International
• Hays

For information about pay and conditions in your industry sector, legislation and publications related to the Australian workplace, visit the Australian Government's Workplace Authority website. For information on workplace rights and rules, visit the Workplace Ombudsman website or JobWatch.

Australian taxation system

The Australian Taxation Office (ATO) is responsible for collecting taxes owed to the Australian Government from individuals and businesses. Personal income tax is charged on a sliding scale depending on your annual income. The Australian financial year begins on 1 July and ends on 30 June.

Tax file number

If you work or earn money in Australia you must have a Tax File Number (TFN), which is a unique number issued by the ATO to individual taxpayers. You can apply online for a TFN or in person at the ATO or at Centrelink. It is important to do this as soon as possible after your arrive as it can take up to 28 days to process your application. You should provide your TFN to your employer, or you will be automatically taxed at the highest rate. It is also important to provide your bank with your TFN when opening an account, as this will reduce certain fees and charges. Your TFN also links you with Medicare and other government benefit programs.

Income tax return

If you are an employee, your employer will deduct the tax you have to pay directly from your salary or wages, and send those payments to the ATO. When you lodge your income tax return at the end of the financial year, you may need to pay more tax or may receive a tax refund, depending on how much tax was paid to the ATO. This system is called pay as you go (PAYG) withholding.

By 14 July each year, your employer must give you an annual payment summary that shows the total amount you earned and the total tax paid. Most employers send them by post.

You have from 1 July to 31 October to lodge your tax return. You can lodge:

• online using the ATO's free e-tax lodgement service
• by mailing a paper tax return
• by paying a registered tax agent to complete and lodge the return for you.

If you use a registered tax agent to prepare and lodge your tax return for you, you may be able to lodge later than 31 October. Registered tax agents are listed on the Tax Agent's Board website. You can also find a tax specialist or accountant using a directory such as the Yellow Pages website.

Resident status

Residency status for tax purposes determines how much personal income tax you pay.

You may not be classed as an Australian resident if you have been living in Australia less than six months, meaning you will pay tax on every dollar earned. The standards used to classify you for tax purposes are not the same as those used for classification for your immigration and visa status.

The Australian Taxation Office (ATO) 'resides' test is used to determine your residency status for tax purposes.

Goods and services tax (GST)

The Goods and Services Tax (GST) is a tax of 10 percent on most goods and services - it is similar to the value-added tax, or VAT, found in some countries. GST is included in the advertised or ticket price on items. Your receipt of purchase will state how much GST you have paid for the items. GST does not apply to most fresh produce, education, health services and eligible childcare, as well as other goods and services.

Medicare levy surcharge

Medicare is Australia's universal healthcare system, and a healthcare levy (the Medicare levy) is imposed on the taxable income of resident individuals. Exemptions exist if you are not a resident, or if you have private health insurance. For more information, see the Health & Medical section or visit the Medicare.

Superannuation

Australia has a compulsory pension (retirement) savings scheme known as superannuation, or 'super'. If you are paid A$450 or more each month, your employer must pay a further nine percent of your wage into your superannuation fund or retirement savings account. The amount is usually in addition to your salary but please check this with your employer when you apply for a new job. This fund cannot be accessed until your retirement, usually at the age of 60 to 65 - this varies for women and men.

You also have the choice to select your own superannuation fund manager and you can choose to pay extra money into your superannuation. Check the ATO website or ask your employer for more details.

If you entered Australia as a temporary resident, in most cases you can access your contributions when you leave Australia, although the contributions will be taxed.

Legal protection and privacy

The Federal Privacy Act covers the collection, use and disclosure, quality and security of personal information. It also gives you rights to access and correct personal information about yourself. The Act outlines how only some people and organisations can ask for your TFN, and they must keep it secure and confidential. It is not an offence for you to decline to provide your TFN, however if you do not supply it you will be taxed at the highest rate plus the Medicare levy. You also have the right to make a complaint if you think your personal information has been mishandled.

Workplace health and safety

WorkSafe Victoria is the manager of Victoria's workplace safety system and is responsible for:

• helping avoid workplace injuries occurring
• enforcing Victoria's occupational health and safety laws
• providing reasonably priced insurance for employers
• helping injured workers back into the workforce
• managing the workers' compensation scheme by ensuring the prompt delivery of appropriate services and adopting prudent financial practices.

Workplace culture

The following links provide information about workplace culture and Australian culture in general. 

• Tribus Lingua's book G'day Boss! - Australian culture and the workplace
• Australian Government Culture and Recreation Portal
• Charles Stuart University's Guide to Australia
• Vicnet Culture Directory
• Wikipedia: Culture of Australia

Further information

• Australian Taxation Office (ATO) - provides all the official information about tax and super for individuals and businesses
• MoneyManager - this online magazine has a number of useful factsheets about tax
• Taxation Institute of Australia - provides a search for tax professionals by specialisation and location
• Workplace.gov.au - provides information on salary, employment, government assistance, jobs, careers, training and working conditions
• WorkSafe Victoria - provides information, forms and contacts about all aspects of safety, legislation, injury and compensation in the workplace
• FIDO - is run by ASIC and provides financial tips and safety checks.