Casual employment is a prevalent aspect of the Australian workforce, providing flexibility for both employers and employees. However, both parties must be aware of the legal rights and obligations associated with casual employment.
Casual Employment
Casual employment is characterised by its irregular and unpredictable nature, where employees work on an as-needed basis. These workers do not have fixed hours, and their employment may be temporary or short-term. Casual employees are generally engaged to meet fluctuating business demands or to cover periods of leave.
Casual employees do not have regular ongoing or guaranteed working hours to continue indefinitely with an agreed pattern of work. Their schedules are often determined by the employer’s needs, and they may be required to work on short notice.
Unlike permanent employees, casual workers do not typically receive paid leave entitlements such as annual leave or sick leave. Instead, they receive a casual loading, which is a higher hourly rate, to compensate for the lack of these benefits. However, casual employees may be entitled to certain leaves.
Casual employment provides flexibility for both employers and employees. Employers can easily adjust staffing levels according to demand, while employees have the freedom to take on multiple jobs or pursue other interests.
Legal Rights of Casual Employees
While casual employment offers flexibility, it is essential to understand the legal rights and entitlements that casual employees have under Australian employment laws.
Casual Loading
Casual employees are entitled to a casual loading, which is an additional percentage (usually 25% or more) on top of the base rate of pay. This compensates them for the absence of leave entitlements.
Entitlement
Casual employees may have some fundamental employment entitlements such as flexible working arrangements and certain leave entitlements, including carer’s leave, compassionate leave, family and domestic violence leave or community service leave.
Some casual employees may have access to long service leave if they meet specific criteria. This varies between states and territories, so it is crucial to be aware of local regulations.
Termination
Casual employees are not subject to the same minimum employment periods as permanent employees for notice of termination or redundancy pay. No notice period is required unless the employee agreement or award specifies otherwise.
Protected Workplace Rights
The Fair Work Act 2009 (Cth) gives casual employees general protections at work. Those workplace rights cannot be violated by way of a person taking adverse action (eg, doing, threatening or organising to fire an employee or change an employee’s job to their disadvantage) against another person.
Casual employees who have been employed on a regular and systematic basis before dismissal and have a good reason to believe this would continue may be eligible for protection against unfair dismissal. However, certain exclusions and conditions apply.
Casual Conversion
Casual conversion refers to the process through which casual employees have the opportunity to convert their casual employment to permanent positions. This is an important aspect of employment law aimed at providing job security and stability to casual workers who meet certain criteria.
Casual conversion is governed by the Fair Work Act 2009 (Cth). Under these provisions, eligible casual employees have the right to request conversion to permanent employment after a certain period of service.
Eligibility criteria for casual conversion include:
- Continuous employment for a specified period, namely, 12 months;
- Regular and systematic work patterns on an ongoing basis for at least the last 6 months; and
- Able to continue working these hours as a full-time or part-time employee without significant adjustments.
Employment Law Legal Advice
The employment law team of The IP House Lawyers is always ready to assist its clients with all employment law legal needs, including preparing, drafting and updating various employment agreements, advising employment rights and obligations as well as resolving employment disputes. Please get in touch with us if you need any assistance with employment law issues.
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The Author
Jean Kallmyr | Lawyer, The IP House Lawyers | t: 0435 799 831 | e: admin@theiphouse.com.au
Key Contact
Claire Darby | Managing Director/Lawyer, The IP House Lawyers | t: 0412 998 951 | e: claire@theiphouse.com.au
Disclaimer
The information and contents of this publication do not constitute any legal or financial advice. This publication is intended only for reference purposes for The IP House Lawyers’ clients and prospective clients.
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