Historic Pay Review Update

Important Message from Lyndal Moore, Interim Chief Executive Officer:

On 11 April 2024, Mosaic announced that it had discovered historic payroll issues and self-reported to the Fair Work Ombudsman.  

As we have communicated previously, we are carefully working through the complexities of this matter to ensure that all actions taken are thorough and accurate.   

We understand that there may be concerns about how the proposed merger with Able Australia affects our ability to address historic payroll issues. Please be assured that we remain committed to fulfilling all historic payroll issue obligations as part of our merger plans.  

 We are now able to provide you with a more detailed update.  

 Summary of historic payroll issues 

Our findings have given us a clearer direction. We have now provided the Fair Work Ombudsman with an outline of the identified payroll issues, which has allowed us to proceed with communicating these issues to employees.   

Below is a summary of those issues and the time periods they apply to. 

 Significant issues – all periods 

  • Broken shifts - application of double time after a 12-hour span  

  • Minimum rest breaks after overtime - application of double time  

  • Annual leave accrual - additional week of leave (pro-rata) where Community Access workers have met shift-worker criteria  

 Minor issues  

  • Broken shifts - penalty rates based on the finishing time of the shift between Feb 2022 and May 2023   

  • Overtime – application of daily and shift overtime between Aug 2019 and Apr 2024   

  • Overtime – application of period overtime where paid leave was taken between Aug 2019 and Apr 2024   

  • Higher duties allowance – overpayments of salary maintenance between Jun 2023 and Apr 2024   

  • Sleepover shifts - application of minimum 4 hours paid between Aug 2019 and May 2023  

  • Sleep disturbances application of minimum overtime hours between Aug 2019 and May 2023 

  • Paid breaks – payment for breaks between shifts less than 30 minutes between Aug 2019 and Apr 2024 

 Key Steps and Timing   

We are pleased to share the indicative timeline for resolving the historic payroll issues with you. This timeline outlines the key steps we will take. Our aim is to keep you fully informed as we progress, so we will continue providing regular updates and will let you know if there are any changes.   

  • Our external advisors have completed development of a comprehensive model that is used to calculate employee entitlements.  

  • We are reviewing and testing the model to ensure that the model delivers the correct calculations in line with each applicable enterprise agreement.  

  • Once that review is undertaken, the model will be audited.  

  • The above work is expected to be finalised in quarter one of 2025.  

  • Once completed, we will understand the pay liability for each individual employee and will be able to commence making payments to current and past employees. We estimate that this will be able to occur from March of 2025.  

If you have any questions about this update, then you can contact a member of our dedicated Pay Review Team at payreview@mosaictas.org.au  

 We appreciate your patience as we work through the above steps.    

Mosaic ICT