Each year we receive many hundreds of requests for expert workplace advice on Fair Work compliance – some requests are proactive in nature, but the majority are in reaction to an employee incident, complaint or claim. Here’s FIVE main questions to ask yourself in an effort to proactively manage Fair Work issues before they turn into major problems for your business:
1. Does your business have current and up-to-date employment agreements in place?
Where an employee has switched between full-time, part-time or casual employment whilst employed with your business, and / or if the employee has changed roles or their remuneration has increased / decreased over time, their employment agreement will also need to be updated.
It can be a major headache for your business if a dispute arises and you seek to rely on an employment agreement from years ago that contains outdated employment terms, an old remuneration package, and a position description relating to a former position held by the employee.
2. Do you have compliant written workplace policies and procedures in place?
Your workplace policies and procedures spell out the rules for your workplace, and employees need to be aware of these rules. Your workplace policies and procedures should at least cover the following:
- probationary periods for new employees
- leave requests
- hours of work
- attendance and punctuality
- use of company property
- confidentiality
- work health and safety
If your workplace policies and procedures do not exist, or are outdated, you may face extreme difficulties in controlling employee conduct, behaviour and performance.
3. How many long-term casuals does your business employ?
New Modern Award casual conversions provisions are due to be implemented soon, following the Casual and Part-Time Test Case of 2017. Will your casual employees have the right to convert to permanent employment? More importantly, has your business complied with its new award obligations to notify casual employees of their right to convert to permanent employment?
4. Are your regular contractors engaged as genuine contractors, or could they be deemed employees?
Engaging sole trader contractors on a regular basis may result in that person being deemed to be your employee, which then raises superannuation and leave issues, in addition to the ‘unfair dismissal’ problems that may arise if the employment / engagement is terminated.
5. Do you follow the proper procedure when terminating a person’s employment, including redundancy?
Termination of employment carries the most significant short term risk – where the proper procedure is not followed, the employee who has been dismissed may claim compensation against your business of up to $70,000 (or six months’ pay).
