Important information
This Fact Sheet has been prepared by the Australian Fair Pay Commission to assist in the understanding and implementation of the Real Estate Agents’ (Commission Only) Australian Pay and Classification Scale [2007] APCS 3.
Nothing in this Fact Sheet provides a legally enforceable interpretation of the Pay Scale or constitutes legal advice. This Fact Sheet should, therefore, be seen as a general guide only.
Sometimes two or more employees are involved in selling a property. This can be due to varying workloads, levels of expertise or particular working arrangements at different real estate businesses.
In order for two or more employees to be involved in selling a property, where at least one of those employees is covered by the Real Estate Agents’ (Commission Only) Australian Pay and Classification Scale (the Pay Scale), the conditions in paragraph 6(2) of the Pay Scale must be satisfied. These conditions require that:
- each employee who will be involved in selling a property make an agreement with their employer, in writing, that states the proportion of the employer’s net commission each employee responsible for selling that property is entitled to; and
- the total of all the proportions in the agreement(s) sum to at least 35% of the employer’s net commission.[1]
Once these conditions have been met, each employee covered by the Pay Scale who is involved in the completed sales transaction must be paid at least the relevant proportion of the employer’s net commission that is set out in the agreement(s).
Note: Even where two or more employees are involved in selling a property, if an agreement of the type described above is not in force in relation to an employee who is covered by the Pay Scale, that employee must be paid at least 35% of the employer’s net commission.
Examples
[1] Note that 35% of the employer’s net commission is the minimum aggregate proportion only. In some cases negotiated agreements will specify an aggregate proportion in excess of 35%.