Source: https://www.legislation.gov.au/Details/C2019B00092
Timestamp: 2020-01-28 06:28:22
Document Index: 494543695

Matched Legal Cases: ['art 2', 'art 4', 'art 5', 'art 2', 'art 2', 'art 2', 'art 7', 'arts 1', 'art 1', 'art 3', 'arts 1', 'art 3', 'art 4']

Details: C2019B00092
- C2019B00092
A Bill for an Act to amend the law in relation to registered organisations and worker entitlement funds, to provide that employment terms in relation to certain payments are of no effect, to prohibit coercion of payments to employee benefit funds, to make minor and technical amendments of the Fair Work (Registered Organisations) Act 2009, and for related purposes
C2019B00092
Schedule 2—Regulation of worker entitlement funds 11
Fair Work (Registered Organisations) Act 2009 13
Part 2—Application and transitional amendments 49
Part 4—Pre‑commencement applications for registration 57
Part 5—Contingent amendments 59
Fair Work (Registered Organisations) Act 2009 59
Schedule 3—Election payments 60
Schedule 4—Prohibiting coerced payments to employee benefit funds 62
Schedule 5—Disclosable arrangements 64
Fair Work (Registered Organisations) Act 2009 64
Schedule 6—Minor and technical amendments 75
Fair Work (Registered Organisations) Act 2009 75
This Act is the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019.
5. Schedule 2, item 34
(b) the time item 11 of Schedule 1 to the Fair Work (Registered Organisations) Amendment (Ensuring Integrity) Act 2019 commences.
6. Schedule 2, item 35
However, the provisions do not commence at all if item 12 of Schedule 5 to the Fair Work (Registered Organisations) Amendment (Ensuring Integrity) Act 2019 commences before that time.
7. Schedule 2, item 36
(b) immediately after the commencement of item 12 of Schedule 5 to the Fair Work (Registered Organisations) Amendment (Ensuring Integrity) Act 2019.
11 At the end of subsection 252(1)
12 At the end of subsection 252(5)
13 Section 281
After “training in relation to their financial duties”, insert “. Part 2A also requires organisations and branches to maintain approved policies dealing with expenditure, which are binding on all officers and employees”.
14 Section 293A
(d) requires organisations and branches to maintain approved policies dealing with expenditure, which are binding on all officers and employees.
15 At the end of Part 2A of Chapter 9
Division 5—Policies dealing with expenditure
293N Organisations and branches must have written policies dealing with expenditure
An organisation and any branch of an organisation must at all times have written policies, approved by the committee of management of the organisation or branch and binding on all officers and employees of the organisation or branch, dealing with the expenditure of the organisation or branch.
In determining whether an officer or employee of an organisation or a branch of an organisation has contravened a provision of Division 2 of Part 2 of this Chapter (general duties in relation to the financial management of organisations), regard may be had to whether the officer or employee acted in compliance with policies of the organisation or branch mentioned in section 293N.
293Q Model policies dealing with expenditure
(1) The Commissioner may publish on the Commission’s website one or more model policies for the purposes of section 293N (written policies dealing with expenditure). An organisation or a branch of an organisation may adopt a model policy in whole or in part, and with or without modification.
16 Application of amendments of sections 237 and 252
The amendments of sections 237 and 252 of the Fair Work (Registered Organisations) Act 2009 made by this Schedule apply in relation to financial years that commence on or after the day this item commences.
17 Application of section 293N
(k) a term that has the effect of requiring or permitting payments to be made to a fund that provides training or welfare services or assistance or makes payments in relation to training or welfare services or assistance, unless the fund is:
(b) to a fund that provides training or welfare services or assistance or makes payments in relation to training or welfare services or assistance, unless the fund is:
(a) the provisions of Subdivision A of Division 5 (consequences of non‑compliance other than deregistration);
(b) since the application was granted, the fund has not been deregistered under any provision of this Part (or if it has been, the registration has been reinstated under section 329ND).
In accordance with section 329LE, the Commissioner has no reason to believe that any officer (within the meaning of the Corporations Act 2001) of the operator who performs duties in relation to the fund is not of good fame or character
The operator notifies the Commission in writing of any change in a detail included on the register under section 329KD, within 3 months of the change occurring
(b) the person who made the contributions
(b) gives a copy of the constitution to each person the operator knows may become a fund member; and
(b) details of the particular training or welfare services for which the amount is to be paid;
(c) the voting directors who voted to make the payment
(i) because of a conviction, ineligible to be a candidate for election, or elected or appointed, to an office in an organisation; or
(b) given to the Commissioner within 4 months after the end of the financial year.
(iv) any commissions or benefits received or obtained by the operator of the fund or a related party of the operator (within the meaning of subsection (7)) in relation to the insurance cover for the year;
(iv) the particular purposes for which the individual payments were made; and
(v) the voting directors who voted to make each individual payment;
(2) A person who is required to undertake training under subsection (1) must do so within 6 months of:
(a) assuming duties that relate to the financial management of the fund; or
(b) condition 22 starting to apply in relation to the fund;
(4) The operator may, in writing, apply to the Commissioner for a person to be exempted from the training requirements.
(5) The Commissioner may grant the exemption, subject to any conditions the Commissioner considers appropriate, if the Commissioner is satisfied that the person has a proper understanding of his or her duties relating to the financial management of the fund because of his or her:
(6) The training requirements in subsection (1) do not apply in relation to a person who is exempt under subsection (5).
(3) The Commissioner may, in writing, authorise for the purposes of paragraph (2)(b) a member of the staff mentioned in subsection 329CA(1) who is an SES employee or an acting SES employee.
(2) The former operator must, no later than 7 days after the deregistration day, give a written notice to the contributors to the fund informing them of the deregistration.
(3) The former operator must, no later than 90 days after the deregistration day, give the Commissioner a report in accordance with section 329LF, as if references in that section (and in any rules made for the purposes of that section) to a financial year were references to the period:
(4) The former operator must, no later than 90 days after the deregistration day, give each contributor to the fund the information prescribed by the worker entitlement fund rules for the purposes of condition 16, as if that information were prescribed for the period:
(5) The former operator must, no later than 90 days after the deregistration day, give each fund member in respect of whom contributions to the fund were made for the period:
No requirement if registration reinstated
(6) A former operator is not required to give a notice, report, information or a statement under a subsection of this section if the registration of the fund is reinstated under section 329ND before the time the notice, report, information or statement is required to be given.
No requirement for single‑employer fund
(7) This section does not apply if the fund was a single‑employer fund immediately before it was deregistered.
16 After section 343B
343C Approval by Commissioner
The Commissioner may, in writing, approve a form, or a manner of doing a thing, for the purposes of a provision of this Act.
17 At the end of subsection 344(2)
18 Paragraph 58PA(a)
19 Section 58PB
20 Subsection 136(1) (definition of approved worker entitlement fund)
21 Paragraph 126‑130(2)(b)
22 Subsection 355‑65(8) in Schedule 1 (after table item 5)
23 Paragraph 426‑5(ba) in Schedule 1
24 Subsection 426‑55(1) in Schedule 1 (paragraph (b) of the note)
25 Paragraphs 426‑65(1)(ba) and (bb) in Schedule 1
26 In the appropriate position in Schedule 1
Part 7—Amendments made by the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019
commencement means the time Parts 1 to 3 of Schedule 2 to the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019 commence.
(1) The amendments of this Act made by Part 1 of Schedule 2 to the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019 apply in relation to the following:
Note: The RO Commissioner must include the details of these funds on the register maintained under section 329KD of the Fair Work (Registered Organisations) Act 2009 (see item 28 of Schedule 2 to the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019).
(a) before the day the Bill for the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019 was introduced into the Parliament:
(a) at the end of the period of 12 months starting on commencement; or
(ii) the Commissioner of Taxation refuses to endorse the fund, or entity that operates the fund, in accordance with Division 426 in Schedule 1 to the Taxation Administration Act 1953 as it continues to apply in relation to the fund or entity under item 31 of Schedule 2 to the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019;
(iii) the Commissioner of Taxation revokes the endorsement of the fund, or entity that operates the fund, in accordance with Division 426 in Schedule 1 to the Taxation Administration Act 1953 as it continues to apply in relation to the fund or entity under item 31 of Schedule 2 to the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019.
Section 604 (appeal of decisions) does not apply in relation to a decision made under Part 3 of Schedule 2 to the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019.
(a) at the end of the period of 12 months beginning on commencement; or
28 Inclusion of transitioning approved funds on register of worker entitlement funds
29 Application of certain amendments of the Fair Work (Registered Organisations) Act 2009
30 Application of amendments of section 58PA of the Fringe Benefits Tax Assessment Act 1986
31 Application of other amendments of tax‑related legislation
32 Modification of conditions for certain funds
33 Pre‑commencement applications for registration
(a) new section 329HB and subitems 29(1) and (2) of this Schedule;
34 Paragraph 329LE(b)
35 Subsection 343B(2A)
Note: This item does not commence if item 12 of Schedule 5 to the Fair Work (Registered Organisations) Amendment (Ensuring Integrity) Act 2019 commences before Parts 1 to 3 of this Schedule.
36 At the end of subsection 343B(2A)
The amendments of this Act made by Schedule 3 to the Fair Work Laws Amendment (Proper Use of Worker Benefits) Act 2019 apply in relation to an enterprise agreement or a contract of employment made after commencement.
disclosable arrangement has the meaning given by section 329PD.
disclosable arrangements rules means rules made under subsection 329PE(1).
Part 3D requires the disclosure, by organisations to federal system employers, of financial benefits that can reasonably be expected to be received in relation to certain kinds of arrangements.
Financial benefits that can reasonably be expected to be received (directly or indirectly) in connection with a disclosable arrangement must be disclosed. Disclosure must be made by an organisation, to a federal system employer with whom an arrangement is entered into, about financial benefits for the organisation or a related party of the organisation.
Organisations must give copies of their disclosures to the Commissioner, who must publish them on the Commission’s website.
329PD Disclosable arrangements
(2) This subsection applies to an arrangement (whether or not in writing, and whether formal or informal), between an organisation or a related party of an organisation, and a federal system employer, for:
(a) insurance promoted or arranged by the organisation or a related party of the organisation to be offered or provided to employees of the employer; or
(b) the organisation or a related party of the organisation to refer the employer to an insurer or insurance intermediary for the purposes of employees of the employer being offered or provided insurance.
(3) This subsection applies to an arrangement (whether or not in writing, and whether formal or informal) for a federal system employer to become a member of, or make payments in relation to, a managed investment scheme (within the meaning of the Corporations Act 2001), if all of the following apply:
(a) the arrangement is promoted or arranged by an organisation or a related party of an organisation;
(b) the arrangement is for the purposes of, or for purposes that include, managing financial risk;
(c) employees of the employer benefit or may benefit from the arrangement if specified events occur in relation to the employees.
(4) This subsection applies to an arrangement (whether or not in writing, and whether formal or informal) between an organisation or a related party of an organisation, and a federal system employer, if all of the following apply:
(b) the arrangement or fund is promoted or arranged by the organisation or a related party of the organisation;
(5) This subsection applies to an arrangement (whether or not in writing, and whether formal or informal) between an organisation or a related party of an organisation, and a federal system employer, if the arrangement is prescribed by the disclosable arrangements rules.
329PE Disclosable arrangements rules
(a) an organisation or a related party of an organisation proposes to enter into a disclosable arrangement with a federal system employer; and
(b) the organisation or a related party of the organisation will, or can reasonably be expected to, receive or obtain (directly or indirectly) a financial benefit in connection with the arrangement;
(a) a disclosable arrangement is in effect between an organisation or a related party of an organisation, and a federal system employer; and
(c) as a result of a change proposed to the arrangement, the organisation or a related party of the organisation will, or can reasonably be expected to, receive or obtain (directly or indirectly) a financial benefit in connection with the arrangement;
(a) describe the connection between the arrangement and the financial benefits that will or can reasonably be expected to be received or obtained in connection with the arrangement by the organisation or any related party of the organisation (the expected recipients); and
(a) an organisation or a related party of an organisation is a party to a disclosable arrangement mentioned in subsection 329PD(3) or (4); and
(i) as a result of a change proposed to the arrangement, the organisation or a related party of the organisation will, or can reasonably be expected to, receive or obtain (directly or indirectly) a financial benefit in connection with the arrangement;
(1) An organisation is taken to have complied with section 329QA or 329QB, in relation to a financial benefit that the organisation or a related party of the organisation will or can reasonably be expected to receive or obtain (directly or indirectly) in connection with a disclosable arrangement, if:
329SA Organisation must notify Commissioner
(1) This section applies to an organisation that gives a document to a federal system employer under section 329QA or 329QB.
(2) The organisation must give a copy of the document to the Commissioner, no later than 28 days after the later of:
(a) the organisation has given the Commissioner a copy of a document in relation to an arrangement; and
the organisation must, as soon as practicable and in accordance with subsection (4), give the Commissioner notice of the end of the arrangement.
4 At the end of paragraph 329PD(4)(a)
(b) the references in section 329QA to a financial benefit that will or can reasonably be expected to be received or obtained in connection with the arrangement were references to financial benefits that will or can reasonably be expected to be received or obtained on or after that day; and
(c) the time by which a document must be given under section 329QA in relation to the arrangement was the day that is 6 months after the day this item commences.
(3) An organisation is taken to comply with subsection 329SA(2) of the Fair Work (Registered Organisations) Act 2009 in relation to a document given under section 329QA (as it applies in accordance with subitem (2) of this item), if the organisation gives the Commissioner a copy of the document no later than 28 days after giving the document to the employer under section 329QA.
Schedule 6—Minor and technical amendments
1 Subsection 189(2)
After “be lodged”, insert “on or”.
2 Paragraph 189(3)(a)
After “(whether or not”, insert “on or”.
3 Subparagraph 335E(2)(c)(ii)
Omit “335(3)(a)”, substitute “335(3)(b)”.
4 Subsection 343B(4)
After “Division 3”, insert “of Part 4 of this Chapter”.