Do you Know Your Real Estate Right?

Real Estate Award Changes – Do You Know Your Rights?

BY validum

Did you know there is a Real Estate Award?
Are you aware of the changes that came into effect this month?

The Fair Work Commission has made a number of key changes to the Real Estate Industry Award 2010 [MA000106] which is effective from your first pay period on or after 2 April 2018.

The introduction of new employee classifications

The classification levels of staff have been changed to no longer be driven by job title, but rather the skillset of the employee and their responsibilities.

We have outlined a summary of the new Classifications below.  However, to view the new award classification details in full Click Here.

New ClassificationIndicative Job Titles Classification skills
Real Estate Employee Level 1 (Associate Level)
  • Property Sales Assistant or Property Sales Associate;
  • Buyer’s Agent Assistant or Associate;
  • Property Management Assistant or Property Management Associate;
  • Property Officer;
  • Leasing Officer or Assistant;
  • Strata/Community Title Management Assistant or Strata/Community Title Management Associate.
An employee at this level is principally engaged to assist and work under the supervision of an employee(s) at a higher level. An employee at this level will not have responsibility for listing and/or selling of real property or businesses or managing rental or strata/community title properties.
Real Estate Employee Level 2 (Representative Level)
  • Property Sales Representative or Real Estate Salesperson;
  • Buyer’s Agent;
  • Property Management Representative or Property Manager;
  • Business Development Manager;
  • Strata/Community Title Management Representative or Strata Title Manager.
May perform any of the duties of a Real Estate Employee Level 1 (Associate Level) but will also have responsibility for the listing and/or selling of real property or businesses, for helping clients to buy real property or businesses or for managing rental or strata/community title properties or for sourcing and/or securing new property managements (including strata title managements).
Real Estate Employee Level 3 (Supervisory Level)
  • Property Sales Manager or Property Sales Supervisor;
  • Property Management Supervisor;
  • Strata/Community Title Management Supervisor.
May perform any of the duties of a Real Estate Employee Level 2 (Representative Level) but will also have responsibility for the allocation of duties, coordinating work flow, checking progress, quality of work and resolving problems of an employee(s) at a lower level.
Real Estate Employee Level 4 (In-charge Level)
  • Licensee-In-Charge;
  • Agency Manager.
May perform any of the duties of a Real Estate Employee Level 3 (Supervisory Level). The employee at this level will hold applicable qualification(s) under real estate law and have been appointed by the employer to be responsible for ensuring the business complies with its statutory obligations under real estate law.

 

Changes to Minimum Wages

The minimum wages have also been increased.  The following table outlines the new minimum weekly pay rate for the Real Estate Award:

ClassificationWeekly Pay Rate
Real estate employee level 1 (associate level) – first 12 months at this level$728.20
Real estate employee level 1 (associate level) – after first 12 months at this level$768.60
Real estate employee level 2 (representative level)$809.10
Real estate employee level 3 (supervisory level)$890.00
Real estate employee level 4 (in-charge level)$930.50

To view the new award wages in more detail Click Here.

Changes to Commission Only Payment

There have been a number of changes made to commission only employees under the Award, including the eligibility rules and the introduction of a minimum gross employer’s commission only rate of 31.5% replacing the previous net commission only rate.

The Award now states that any employee on commission only must at least earn 125% of the minimum wage for their respective classification.

To view the full details of commission only regulations, Click Here.

Changes to Allowances

The allowances have been amended to include reimbursement of motorcycle and bicycle use required for work purposes plus the addition of mobile phone use for work.  A breakdown of the allowances is below, however to view the full details of allowances Click Here.

Next Steps

Whether your looking to get into the industry, currently an employee within the industry or an owner of a real estate agency, you need to be aware of the new award legislation.  We encourage you to become familiar with all areas of the award via the above links or by contacting Fair Work directly

If you would like to upgrade your qualifications or obtain your real estate entry level course, Click Here for more information on what is course is right for you or call us on (07) 3193 5270 and speak with one of our friendly staff.

 

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