Fair Work (Unclaimed Monies Interest Calculations) Instrument 2015
meta-content-style-type: text/css meta-content-type: application/xhtml+xml; charset=utf-8
?xml version="1.0" encoding="utf-8" standalone="no"?>
View image in the official source
Fair Work (Unclaimed Monies Interest Calculations) Instrument 2015
I, Michaelia Cash, Minister for Employment, make the following instrument.
Dated 18 December 2015
Michaelia Cash
Minister for Employment
Contents
1 Name
2 Commencement
3 Authority
4 Purpose
5 Definitions
6 Calculation of interest
7 Interest period for an unclaimed amount
8 Interest payable for a financial year
1 Name
This is the Fair Work (Unclaimed Monies Interest Calculations) Instrument 2015.
2 Commencement
(1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
- Commencement information
- Column 1 Column 2 Column 3
- Provisions Commencement Date/Details
-
- The whole of this instrument The later of:(a) the day after this instrument is registered; and(b) the day Part 10 of Schedule 1 to the Fair Work Amendment Act 2015 commences
Note: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.
(2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.
3 Authority
This instrument is made under subsection 559(3B) of the Fair Work Act 2009.
4 Purpose
This instrument sets out how to work out the amount of interest (if any) that the Fair Work Ombudsman, on behalf of the Commonwealth, must pay to a person under subsection 559(3A) of the Act.
Note: Interest is payable to a person under subsection 559(3A) of the Act if:
(a) the person is paid an amount under subsection 559(3) of the Act at a particular time; and
(b) the amount is at least $100; and
(c) the amount is attributable to an amount that was paid to the Commonwealth under subsection 559(1) of the Act more than 6 months before that time.
5 Definitions
In this instrument:
Act means the Fair Work Act 2009.
index number, in relation to a quarter, means the All Groups Consumer Price Index number that is the weighted average of the 8 capital cities and is published by the Australian Statistician in respect of that quarter.
interest period: see section ^7.
unclaimed amount means an amount that:
(a) is paid to the Commonwealth under subsection 559(1) of the Act; and
(b) the Fair Work Ombudsman subsequently authorises to be paid to a person under subsection 559(3) of that Act.
6 Calculation of interest
The amount of interest (if any) that must be paid in respect of an unclaimed amount is to be worked out as follows:
(a) identify the interest period for the unclaimed amount (see section ^7);
(b) add together the amount of interest payable in respect of the unclaimed amount for each financial year in which the interest period for the unclaimed amount falls (see section ^8).
7 Interest period for an unclaimed amount
The interest period for an unclaimed amount is the period that:
(a) starts on the day the unclaimed amount was paid to the Commonwealth under subsection 559(1) of the Act; and
(b) ends on the 14th day after the day the Fair Work Ombudsman authorises the unclaimed amount to be paid to a person under subsection 559(3) of that Act.
8 Interest payable for a financial year
(1) The amount of interest payable in respect of an unclaimed amount for a financial year is the amount worked out by using the following formula and rounding the result to the nearest cent:
View image in the official source
where:
amount means the unclaimed amount plus the amount of any interest worked out under this section for each earlier financial year in which the interest period for the unclaimed amount falls.
days interest payable means the number of days in the interest period for the unclaimed amount that fall in the financial year.
days in the financial year means the number of days in the financial year.
interest rate means:
(a) the percentage change in the index numbers for the 2 March quarters most recently published before the first day of the financial year (rounded up to 4 decimal places); or
(b) if that percentage change is equal to or less than 0%—0%.
(2) In working out the interest rate:
(a) use only the index numbers published in terms of the most recently published index reference period for the Consumer Price Index; and
(b) disregard index numbers published in substitution for previously published index numbers (except where the substituted numbers are published to take account of changes in the index reference period).