Proposed Overhaul of Casual Employment| Fairwork Online

Proposed Overhaul of Casual Employment

Recently, the Commission delivered a landmark ruling providing that employees who commenced employment as a casual worker before later becoming permanent (full-time or part-time) will have the full length of their service counted in redundancy payments.

For example, if an employee commences employment and works as a casual for 2 years, then converts to a full-time employee and works a further 2 years before being made redundant, the employee's redundancy pay will be based on four (4) years' service, even though under the law, a casual employee is not entitled to redundancy pay.

Further to this, unions have made an application to the Commission to entitle every casual employee to be able to elect to convert to permanent employment after he or she has worked 'regularly' as a casual employee for at least six (6) months.  Business groups have strongly opposed this application.

We will keep Members updated of any developments in this area.

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