This is an HTML version of an attachment to the Freedom of Information request 'Fair Work Ombudsman buyout review'.


From:
s47F
To:
Cassie Botha
Cc:
s47F
Subject:
RE: Update on ABC Review of Buyouts and Band 1 Classifications [ABC-PAL.FID37968] [SEC=OFFICIAL]
Date:
Monday, 28 June 2021 10:54:22 AM
Attachments:
image001.png
image002.jpg
image003.png
Letter to FWO 31 May 2021.pdf
FAQs - Employee Time Recording - March 2021.pdf
Importance:
High
OFFICIAL
 
Good morning Cassie,
 
I hope this email finds you well. Further to the below and attached, I was looking to schedule a
meeting between the FWO, ABC and PwC in early to mid-July.
 
Based on the latest correspondence, it’s understood that PwC were due to finalise s47(1)(b)
 by late June. As such, the FWO would welcome the opportunity
to clarify and discuss this methodology with the ABC and PwC, as well as the approximate
quantum of underpayments to Band 1 and Buyout employees (if/where applicable).
 
I tried giving you a call earlier to gauge your availability/the ease of locking this in – so if you
could give me a call on the below number today, it’d be greatly appreciated.
 
Kind regards,
 
s47F
 
 
Enforcement
FAIR WORK OMBUDSMAN
 
s47F
 
 
GPO Box 9887 Adelaide SA 5001 | Level 2, 148 Frome Street, Adelaide SA 5000
 
 
The Fair Work Ombudsman and Registered Organisations Commission Entity acknowledges the Traditional
Custodians of Country throughout Australia and their continuing connection to land, waters and community.
We pay our respect to them and their cultures, and Elders, past, present and future.
www.fairwork.gov.au | Fair Work Infoline: 13 13 94 subscribe to email updates
 
 
 
From: Cassie Botha <xxxxx.xxxxxx@xxx.xxx.xx> 


Sent: Monday, 31 May 2021 7:15 PM
To: s47F
Cc: s47F
 Monica Vagg <xxxx.xxxxxx@xxx.xxx.xx>; Vanessa
MacBean <xxxxxxx.xxxxxxx@xxx.xxx.xx>
Subject: Update on ABC Review of Buyouts and Band 1 Classifications [ABC-PAL.FID37968]
 
CAUTION: This email originated from outside of the organisation. Do not click links or open attachments
unless you recognise the sender and know the content is safe.
 
Dear s47F
 
Please find our response to the FWO’s correspondence of 16 April 2021 attached.
 
I have also attached an ABC Frequently Asked Questions document on ‘Employee Time
Recording’ referred to in our letter.
 
We look forward to speaking further with the FWO in due course.
 
Kind regards,
Cassie
 
ABC
Cassie Botha
Employment Counsel
People & Culture
P: 02 8333 4354
M: 0409 833 564
 
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31/05/2021 
 
s47F
 
s47F
 
Fair Work Ombudsman 
s47F
 
Delivered by email 
 
Dear Ms s47F  
ABC Review into Buyouts and Band 1 Classifications  
Thank you for your letter of 16 April 2021 and for providing us with additional time to 
respond to the specific questions in the letter. 
Update on progress of the Review 
The ABC has now completed s47(1)(b)  of its review into buyouts and Band 1 
classifications (the Review).  s47(1)(b) is well underway, s47(1)(b)
 
 
 
 
 
 
 
 
 
s47(1)(b)  will commence in June and will focus on s47(1)(b)
 
 
 
 
The ABC has decided to extend the review period up to the pay period ending 20 June 
2021 in order to capture any new buyout arrangements commencing after 1 July 2020. 
For Band 1 employees, all new Band 1 engagements since July 2020 have been reviewed 
by a member of the ABC’s People & Culture team to ensure that the work to be 
performed is accurately classified at Band 1. 
Update on employment records for employees on buyout arrangements  
In our letter to you of 23 December 2020, we estimated that approximately half the 
employees  in  the  Buyout  Review  were  affected  by  missing  or  inaccurate  time  and 
 
 



 
attendance records. We have now determined that the correct number of payslips 
affected  by  this  issue  is  likely  to  be  much lower. There are several reasons for our 
revised assessment of this issue: 
  Employee leave records, including for long term leave such as long service or 
parental leave, have now been imported into the model, which has provided an 
explanation for a portion of what initially appeared to be missing time and 
attendance data; 
  Further investigation of a number of employees’ time and attendance records has 
enabled us to confirm that these are reliable records of the hours of work for 
employees in some areas of the ABC; and 
  Our original estimate included a cohort of employees who we have now 
determined to be out of scope of the review due to the provisions of the ABC 
Enterprise Agreement 2019 – 2022  relating to ‘excluded employees’ (cl. 21.5). 
By the end of June, we expect to have finished our investigation into the remaining 
payslips affected by missing or inaccurate start and finish times and at this point we 
will be able to properly consider the most appropriate way to address this issue. The 
approach taken may vary depending on which groups of employees are affected.  We 
would be pleased to provide you with an update on this work at the end of June 
including any assumptions we intend to rely on to extrapolate existing payroll data. 
Update on alternative or supplementary sources of data identified by the ABC  
Since 1 February 2021, all rostered employees currently on buyouts have been required 
to confirm their actual hours of work, including overtime, on a pay period by pay period 
basis. The hours have been recorded in the ABC’s payroll system (SAP HR) and will, 
where necessary, be used to test the reliability of historic time and attendance 
records for employees that fall within the review period. A copy of Frequently Asked 
Questions (FAQs) in relation to Time Recording that was shared with ABC employees 
and unions in January 2021 is attached for your reference. 
Current time and attendance records are forming the basis for discussions with 
managers and rosterers regarding work practices within the various divisions of the 
ABC and may assist with determining the likely hours worked during the review period 
where there are incomplete historic records. Insights gained during these discussions 
will be shared with the FWO and with employees and unions during the consultation 
phase of the Review.  
We have also explored utilising computer log-in data and building access records to 
determine hours worked for employees within the review period.  
s47G
 
  
Our enquiries into building access records have revealed that they may, in some 
limited cases, be able to assist to confirm employee attendance on site, for instance, 
 
 




 
for shifts worked on weekends. However, the duration for which these records are 
available varies from site to site, up to a maximum of 10 months. We are exploring if 
there is any building access data available for employees who have incomplete 
records.  
ABC’s methodology for calculating employee entitlements 
This is not yet available as PwC is still in the process of finalising the coding of the 
model.  We anticipate that we will be able to provide you with a further update on this 
request, including the proposed approach to set-off by the end of June.   At this stage, 
representatives from PwC will be available to meet with the ABC and the FWO to 
provide further clarity on these matters. 
By end June we also expect to be able to advise the FWO whether any employees in the 
Band 1 or Buyout cohort have been underpaid and, if applicable, to advise the 
approximate quantum of underpayments. If back payments are necessary, we expect 
that processing of payments would commence no earlier than August 2021.  Prior to 
processing any payments, the ABC will engage in a period of consultation with 
affected employees and unions.  
I trust that the information in this letter provides the FWO with sufficient clarity on the 
progress  that  has  been  made  in  the  Review. If you have any questions about the 
Review, please do not hesitate to contact Vanessa MacBean, Head of Employee 
Relations on 0408 253 570 or xxxxxxx.xxxxxxx@xxx.xxx.xx. 
Finally, I confirm that the ABC is fully committed to a swift and thorough resolution of 
the Review and will continue to work with the FWO to ensure this is achieved.  
Yours sincerely, 
 
 
Monica Vagg 
a/Chief People Officer 
Australian Broadcasting Corporation 
 
 



 
EMPLOYEE TIME RECORDING   FREQUENTLY 
ASKED QUESTIONS 
 
Last Updated:   
March 2021 
 
GENERAL 
1.  Which employees need to have start and finish times recorded?  
From the pay cycle commencing on 1 February 2021, managers are required to ensure 
that accurate start and finish times, as well as meal and crib breaks, are recorded in SAP 
HR for all rostered employees. This includes employees who are on an annual buyout, a 
buyout for short term distant assignments and special events or a salary package (Buyout 
Arrangements). 
2.  Who is a rostered employee? 
Rostered employees are employees who are classified under the ABC Enterprise 
Agreement as either Schedule A Rostered or Schedule B Rostered and all casual 
employees. If managers are unsure which of their employees are rostered employees, 
they should contact the People & Culture Helpdesk for assistance. 
3.  What is the effective date of this change?  
 
Managers must start recording accurate and actual hours worked for rostered employees 
who are on a Buyout Arrangement on an ongoing basis from the pay cycle beginning 1 
February 2021. 
 
The pay processing cut off point is every second Monday at 11.30am. 
 
For the pay cycle beginning 1 February 2021, managers must ensure the hours 
worked are entered and authorised by Monday 15 February 2021 at 11.30am. 
 
4.  How should the ABC keep records of start and finish times and meal and crib breaks 
for rostered employees?  
When the new rostering system, People Hub Workforce, is implemented later this year 
new, ABC wide processes for time recording will be implemented utilising the new 
system. Until then, you should follow the same processes to collect and record start and 
finish times as are in place for other employees in your area. 
To enable times to be recorded, rostered employees, including employees on a Buyout 
Arrangement, need to be allocated to a roster group in SAP HR. Managers must ensure 
that actual hours worked and meal and crib breaks are accurately entered into SAP HR by 
the designated team member in their area, and approved by pay deadlines for each pay 
cycle.  






People & Culture   Employee Time Recording   Frequently Asked Questions 
 
− 
Attendance for rostered shifts (start and finish times as well as meal and crib 
breaks); 
− 
Attendance at work meetings outside of rostered hours, for example a morning 
editorial meeting; 
− 
Working additional hours (outside of the roster as directed) when the employee does 
not take time off in lieu (TOIL); 
− 
Occasions where the employee may work late one night but start later the following 
day, include details of the actual times worked i.e. later finish and later start the 
following day. If agreed to, TOIL extra hours are recorded as time in lieu accrued 
(TILA), and when used TOIL hours should recorded as time in lieu taken (TILT) and 
used be used within four weeks); and 
− 
Approved overtime. Employees are not required to work overtime without prior 
approval by their supervisor or manager. 
If managers have a particular scenario or situation that they are unsure about and would 
like advice about how to record the hours correctly, they should contact the People & 
Culture Helpdesk. 
 
Employees should contact their supervisor or manager if they want to check what hours 
have been recorded for them. 
9.  What does not need to be recorded?  
Managers do not need to record time that an employee has not been directed to work, 
including but not limited to: 
− 
Checking emails outside of rostered hours when this is not an expectation of the 
 role; 
− 
Professional development and maintaining expertise. For example, reading articles, 
watching the news, keeping abreast of current affairs etc, when these are activities 
the employee has chosen to undertake to maintain currency in their role. This is not 
the same as learning and development activities that the employee does as part of 
their role or research required for a particular story or investigation which forms 
part of their role and should be recorded as time worked; and 
− 
When an employee completes work across the spread of a 24-hour period to suit 
their personal circumstances. For example, the employee has taken a few hours off 
during the day to go to a personal appointment but makes up the time later in the 
day. In this situation the ABC has not directed the employee to perform the work this 
way, but it has allowed the employee to work flexibly. It is important from a work 
health and safety perspective to know when the employee was working and when 
they were attending to their personal matters and they should let their manager 
know, but for the purposes of recording hours, the roster does not need to be 
amended and recorded differently. 
If managers have a particular scenario or situation that they are unsure about and would 
like advice, please contact the People & Culture Helpdesk. 
Page 3 of 5 
 






People & Culture   Employee Time Recording   Frequently Asked Questions 
 
10. What record keeping is required if an employee chooses to work different hours to the 
roster or to standard working schedules set out in the EA?  
The EA provides for flexible working hours by agreement with a group of employees or an 
individual employee. 
However, it is important that any such arrangements are made in accordance with the EA 
and with advice from People & Culture to confirm the arrangement is compliant with the 
EA. This generally will include a requirement to confirm the arrangement in writing. 
If you have a specific circumstance about which you would like advice, please contact the 
People & Culture Helpdesk. 
 
11.  What record keeping is required if an employee chooses to work through their meal 
break?  
The EA requires employees to take a meal or crib break every five to six hours. Employees 
should also be encouraged to take their breaks from a work health and safety perspective. 
Meal breaks are unpaid periods of between 30-60 minutes during which an employee is 
not expected to perform any work. Crib breaks are shorter periods of time (less than 30 
minutes but not less than 15 minutes) during which employees generally remain in their 
work area in case they are called back to duty. These periods are treated as time worked 
and are paid. 
There may be times when an employee is not able to take their meal break due to an 
operational requirement but this must be approved by their manager. In some cases, a 
crib break may be appropriate where an employee is unable to take a meal break.  
It is important where managers approve that employees take a crib break instead of a 
meal break, or approve an employee not taking a meal or crib break, that this is recorded 
 
For the most part these situations should be rare with teams able to organise their 
workflows to allow for appropriate breaks to be taken.  
If you need further advice, please contact the People & Culture Helpdesk. 
12.  What time recording is required if an employee on a Buyout Arrangement is regularly 
working more overtime or penalty shifts than was originally anticipated when setting 
the arrangement? 
 
or extraordinary events have intervened, the level of loading may be reviewed, and the 
rate changed by agreement to reflect the new circumstances. 
 
Alternatively, the arrangement may be terminated by either party with 2 weeks  notice 
prior to the commencement of the next roster cycle. 
 
 
 
 
Page 4 of 5 
 




People & Culture   Employee Time Recording   Frequently Asked Questions 
 
13.  What time recording is required if employees attend meetings or take calls outside of 
their rostered hours?  
If employees are directed to attend meetings or perform work related tasks, then this 
should be reflected in the roster and recorded as time worked. 
If you have a specific circumstance that you are unsure about, contact the People & 
Culture Helpdesk for further advice.  
 
 
BUYOUT REVIEW 
14.  Do managers need to input start and finish times retrospectively for the period 
covered by the review into buyouts?  
No, managers do not need to do this. People & Culture will advise if additional information 
is required regarding current and former employees on a Buyout Arrangement during the 
review period (from 1 July 2014 until the review is completed). 
15.  Will the ABC remove buyouts from any employees as part of the review? 
The purpose of the ABC in reviewing all Buyout Arrangements since 1 July 2014 is to ensure 
that the employees on Buyout Arrangements during this period were 
 
than if they were paid penalties, overtime, allowances, etc under the ABC Enterprise 
Agreement. 
 
If start and finish times show that a Buyout Arrangement has been wrongly calculated 
leading to a potential underpayment for an employee, the ABC may need to take 
immediate steps to rectify this by reviewing and in some cases terminating the Buyout 
Arrangement. This will be discussed with the indvidial concerned prior to taking any 
steps. 
 
 
FURTHER INFORMATON  
 
If you have any other questions, please email the People & Culture Helpdesk 
(xxxxxxxxxxxxxxxx@xxx.xxx.xx). 
Page 5 of 5