Changes to casual employment - how does it affect you?

From the 26th of August, there have been changes to the way casual employment works, how does this affect your business?

Casual employees are generally expected to not have ongoing contracts or a firm advance commitment of work. There are several additional factors that need to be considered in determining if an employee is considered to be casual or not, and according to Fairwork each application should be weighed on it’s merits. This means that there is no ‘one size fits all’ definition of a casual employee.

There is also now a legislated pathway to full or permanent part-time employment. If you employ casuals and they meet the requirements, they can apply to become permanent employees and you must consider the application. Small businesses have an additional year to meet these requirements.

What does this mean for your business? You must consider and evaluate any request to transition to permanent employment, and must provide reasons to accept or refuse such a request in writing. If you have long-term casual employees, you should prepare for these requests, and incorporate it into your business planning.

If you employ casual workers, these changes can affect your business in significant ways. For more advice or information, contact us today.

Disclaimer

This information is intended to be general in nature and is not personal financial advice. It does not take into account your objectives, financial situation or needs. Before acting on any information, you should consider the appropriateness of the information provided having regard to your objectives, financial situation and needs.