Since January 2010, employers covered by the Building and Construction General On-site Award [MA000020] have been required to pay the equivalent of 1.75 hours of wages per week of service to every employee made redundant. This award obligation amounts to 8 weeks wages after 4 or more years of continuous service and can total more than $8,000 per employee.
So why choose ReddiFund?
ReddiFund provides an award level redundancy payment product that is endorsed by the Master Builders Association WA (MBA); Construction Contractors Association WA (CCA); Master Painters & Decorators Australia (MPDA); and Master Plumbers and Gasfitters Association WA (MPGA).
Contributing to ReddiFund has the following benefits:
- It ensures you meet your award obligations
- You avoid accruing significant liabilities
- Contributions are tax deductible in the year you make the payment
- No administration fees are charged to you or your employees
- You create a stronger relationship with your employees that encourages loyalty and participation, hence a more productive workforce
- You avoid the stress of worrying about possible penalties, industrial action, and leaving your employees in the lurch in the event of a drop in business
- You are contributing to the welfare of the construction industry
Joining the fund requires completion of a simple Contribution Agreement with ReddiFund. Contributions are paid monthly and set at a minimum of $40 per week per employee, and also the optional $12 (ex GST) per week indemnity cover fee. Indemnity cover includes ambulance, journeys to and from work, funeral, child care and leisure travel. You will also receive 2 free indemnity covers for 2 selected managers or their employees if you have employees registered in the Mutual Benefit Fund.
Only your employees can access their entitlements, subject to satisfying the conditions for making a claim. The payments will be made after deducting the appropriate amount of tax.
Please contact us on (08) 9481 0259 and we’ll be happy to answer all your questions.