Fair Work Commission amends rules for commission-only real estate agent employment

The Fair Work Commission handed down a decision to change the Real Estate Award.

The decision affects how commission-only payments for salespeople apply and who they apply to. 

The changes apply in two stages. 

The first will be from the first full pay period on or after 30 April 2019.

The second will be from the first full pay period on or after 30 June 2019.

30 April 2019 changes

• The phrase “was an active licensed real estate agent” in clause 16.3 has been replaced with “has operated his or her own real estate business”.
• A definition of a real estate business has been included to mean “a business involved in the sale of real property or businesses”.

30 June 2019 changes

• Employers will no longer be able to employ part-time employees as commission-only salespeople from the first pay period on or after 30 June. 
• There will be no ‘grandfathering’ of the clause, which means the payment method for all current part-time commission-only employees will need to change to the hourly rates provided in the award.