What is remuneration?

agreement on remuneration during employment
Posted by: AWDR

Remuneration is a broad concept. Traditionally it has been held to include superannuation and private use of a motor vehicle. In appropriate circumstances it has been held to include bonuses, commission, provision of a phone, but not overtime. All parties should seek their own advice concerning this.

Remuneration Considerations

The Fair Work Commission may consider any remuneration the employee would have earnt. The period of consideration is generally between the date the employee was dismissed and making the order for compensation.

Case Example

McKerrow v Sarina Legues Club Incorporated T/A Sarina Leagues Club [2012] FWA 668

Commissioner Asbury reviewed remuneration amounts. In this case the time between the issuing of the order and the actual receipt of compensation received would be 21 days.

It was determined that the employee had commenced new employment since the dismissal. Payments with the new employer included a fortnightly gross salary of $1,882.69 and fortnightly superannuation contributions of $169.44.

Commissioner Asbury deducted the amounts of $2,824 and $254.16 from the compensation ordered (in addition to amounts deducted for amounts earned between dismissal and the date of the compensation order). These amounts were the wages and superannuation likely to be earned during the 21 day period.