Regular Mistakes Employers Make with Work Contracts

Employment agreements are a crucial part of running any business. If a conflict arises, the first file that is considered is the employment contract to identify what the terms of the work relationship are.

Below is a list of some of the most regular errors we have experienced with employment contracts.

Contract terms do not abide by the Fair Work Act 2009 (Cth) or relevant Modern Award. This is often an oversight by an employer, however it exposes the employer to unpaid wages claims.

Using out of date templates. Templates are a great way to accelerate the process of on-boarding an employee, nevertheless, they require to be regularly reviewed and as much as date with the present legislation.

Work relationship varies from status offered. The real work relationship and conditions figures out the work status; not simply what is mentioned in the employment agreement. Employers require to guarantee the relationship is consistent with the designated status, or expose themselves to a claim.

Altering the regards to work without arrangement. Legal terms can not be unilaterally changed by a company.

When dismissing a staff member, not going to the agreement. Stopping working to adhere to the terms of the contract when dismissing an employee can expose the company to a breach of contract claim, in addition to any other claims that might be offered to the employee such as unreasonable termination or general protection claims.

Bloom Attorneys uses work law services, and has experience in representing both employers and workers in employment agreement conflicts, breach of contract claims and other work related claims.

Email or call Holly Edmondson at Blossom Attorney to discuss your legal matter. Otherwise submit a question utilizing the contact us form.

A Stated Casual Employee-- To Hell With The Rest

Bloom Lawyers recently encountered a problem whereby an employer customer was exposed to a claim for unpaid incomes, because the casual work relationship they thought was in location for an employee, was really that of a long-term part time employee.

The employer utilized a casual employment agreement template that was offered for free on the internet (the contract). The agreement mentioned that the employee was a 'casual staff member' and the worker was therefore not entitled to yearly leave, sick leave or any other entitlements readily available to long-term staff members.

What would a court think about?

When identifying the employment status, a Court considers all of the relevant truths and circumstances consisting of the attributes of the work relationship, such as the:

Assurance of continuous work;

Expectation of future work;

Regularity of work and hours of work;

Compensation and whether this consists of a casual loading; and

Payment of leave privileges.

A recent court decision has identified that the 'existence of a firm advance commitment to continuing and indefinite work (subject to rights of termination) according to an agreed pattern of work will ordinarily demonstrate ... the existing of on-going full-time or part-time work instead of casual employment'.

For an employment relationship to be deemed a casual arrangement, there would be no assurance or expectation of continuous or future work, the availability of work and the hours of work would usually be irregular, a casual loading would be applied, and the worker would not be entitled to paid annual leave, paid sick/carer's leave, or paid caring leave.

More information about the rights and entitlements of a casual employee is available from the Fair Work Ombudsman site.

Realities of the case

In the matter that Bloom Attorney was assisting with, the following relevant qualities existed:

The agreement specified that it was a casual work plan;

There was a termination notice period suitable of 6 months by either party;

The hours and days of work were routine and organized;

The worker was paid a casual loading at 25%; and

The worker was not paid for yearly leave, sick/carer's leave or compassionate leave.

One significant concern the employer faced is that with the contract providing for a 6-month termination notice education law solicitor southport duration, there was an expectation of future employment subject to the employer or staff member providing 6 months' notice of their objective to end the contract. In these scenarios and where the staff member was working regular organized hours, the employment arrangement would likely be thought about by a court to be that of an irreversible staff member, notwithstanding that the agreement stated that it was a 'casual' employment plan.

Where the work relationship was likely to be thought about a long-term part time arrangement, the employee should have been paid yearly leave, sick/carer's leave and compassionate leave. The company was for that reason exposed to a claim for overdue incomes for these leave privileges (subject to any triggered available).

The take home message from this matter is that employers require to make sure the provisions of their employment contracts comply with all legal requirements, and are prepared so that the attributes of the employment relationship reflect the intentions of the company and employee.

Do you need assist?

Are you a company with issues that your employment agreement might not be right and concerned about a potential negative action or overdue incomes claim? Contact Holly Edmondson, the Principal of Blossom Attorney, to set up an assessment at our Southport office on the Gold Coast. Otherwise, you can benefit from our totally free 20 minute telephone consultation to discuss your legal matter.