Fair Work Australia confirms legitimacy of set-off clauses

In a decision with important implications for employers, the Full Bench of Fair Work Australia (FWA) recently confirmed that the use of set-off clauses in contracts of employment is not inconsistent with modern awards.1

Set-off clauses in employment contracts operate so that over-award earnings are set-off against specific requirements in an award.

Prior to the decision, there had been some uncertainty about whether set-off clauses can be used to satisfy modern award entitlements.

Read more of the article by Norton Rose.

Reproduced with permission of Norton Rose in accordance with their legal notice and disclaimers.

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