How do I know which system applies to me?
In Western Australia there are two industrial relations systems that can apply to a small business and its employees.
WA industrial relations
The National System
The National industrial relations system covers businesses which are constitutional corporations. This includes:
Proprietary limited businesses
Steve’s Burgers Pty Ltd trading as Steve’s Burgers. As long as that business is engaging in trading or financial activities.
Incorporated limited partnerships
Amir’s Engineering Pty Ltd and Jessica Turner trading as Bridge Builders Engineering.
Incorporated trust arrangements
Sam’s Samosas Pty Ltd as trustee for the Sam Stevenson Family Trust trading as Sam’s Samosas.
The Western Australia System
The WA industrial relations system covers businesses that are:
Mr Steve Zain trading as Steve's Burgers. As long as that business is engaging in trading or financial activities.
Mr Amir Salib and Ms Jessica Turner trading as Bridge Builders Engineering.
Unincorporated trust arrangements
Mr Sam Stevenson as trustee for the Sam Stevenson Family Trust trading as Sam’s Samosas.
Some incorporated not-for-profits
If an incorporated not-for-profit does not engage in substantial trading or financial activities, it may fall within the WA system rather than the National system.
What laws are we talking about?
Frequently Asked Questions
Can I choose which system applies to my business?
The system that applies to your business is a matter of law. It is your responsibility as an employer to identify and follow the rules of the correct system.
Where should I go if I am still unsure which system applies?
The Western Australian Department of Mines, Industry Regulation and Safety has produced a guide detailing who is covered by the WA System which can be accessed here.
You can also contact Wageline on 1300 655 266 for further advice concerning whether you are covered by the Federal System or the WA System.
Why is it important to understand which system applies to my business?
Each system has its own distinct rules and requirements. If you follow the rules of the wrong system you will likely fail to pay your employees what they are legally owed.