Real Estate Industry Award 2010 | Registration of Written Agreements | Commission, Bonus & Incentive Payment Arrangements
Who does this information apply to?
The information on this page applies to 'real estate' employers and their employees in New South Wales & Queensland only.
Why Agreement Registration?
In order to preserve the integrity of commission, bonus & incentive payment arrangements between employers and their employees, the Real Estate Industry Award 2010 makes it compulsory that such arrangements be:
- in writing
- in some states, registered with third parties independent of the employee-employer relationship.
The 'independent third parties' are as follows:
- In New South Wales, the registered industrial organisations – the Real Estate Employers' Federation & APSA NSW Branch.
- In Queensland, the Queensland Property Industry Registry (QPIR), which is managed by the registered industrial organisations – the Real Estate Employers' Association & APSA Queensland Branch.
Visit the Fair Work Commission website to download the Real Estate Industry Award 2010.
What authority do the 'independent third parties' have?
The authority is given by Schedule E to the Real Estate Industry Award 2010, which was approved by the Full Bench of the Fair Work Commission under the Fair Work Act 2009.
Who must have an agreement registered?
All employees in NSW & Queensland covered by the Real Estate Industry Award 2010 must have an agreement registered - that is:
- property managers & property management associates
- property salespeople & sales associates
- strata/community title management employees & associates.
Are clerical or administration staff required to have an agreement registered?
No, provided they primarily perform clerical and administration duties.
Are the owners or principals of the business required to have an agreement registered?
Yes, if they are also employees of the business. Otherwise, no.
Are partners in the business who receive a weekly wage or salary required to have an agreement registered?
Yes, if they are also employees of the business. Otherwise, no.
Are family members required to have an agreement registered?
Yes, if they are employees of the business. Otherwise, no.
Are contractors required to have an agreement registered?
The question as to whether a person is a contractor or employee is something that all parties should be very wary about. Just because a person provides an ABN number & a tax invoice this does not automatically make that person a contractor.
Employers have been prosecuted for employing persons under such arrangements when it is clear that the person is an employee and not a contractor. We suggest that parties seek comprehensive advice from a specialist workplace relations lawyer regarding such matters, and not just rely on an accountant or suburban solicitor’s view.
The Federal regulator, the Fair Work Ombudsman (FWO) has published information regarding contractor vs. employee, and sham contracting. Please visit:
Fair Work Ombudsman | Sham Contracting
See also the decision on a court case run by the Fair Work Ombudsman:
Is the registration of agreements something new?
No. The requirement to register agreements has been in place in Queensland since 1997, and in NSW for over 30 years.
What happens if the employer doesn’t register an agreement?
Failure to register an agreement is a breach of the award and as such, employers can be prosecuted for this breach. A penalty of $33,000 for corporation or $6,600 for individuals can be applied to an employer if found guilty.
Where do I send the agreement for registration?
This varies state to state. Please refer to Schedule E to the award.
Do I have to register a new agreement every year?
No. Registration of an employee’s agreement only needs to be done once (unless agreed otherwise by the employee and their employer).
Do I have to register any alteration to an employee’s arrangements and is a fee payable?
The award requires registration of any variation to commission, bonus or incentive payment arrangements. An additional fee may be payable - this is normally set at a maximum of 50% of the full administration fee.
