Casual employee obligations

Casual employee – probably the most misunderstood employment term!

Whether your employee is causal or not is a question of fact.  Yet stories abound about employers wrongly classifying employees as casual.  As soon as there is regularity of days and/or hours then they are not casual.  In particular, someone who works say Tuesdays, Thursdays and Fridays is not a casual employee; they are permanent part time.

So what is the risk of classifying someone incorrectly as a casual employee?

You might well have paid them a 25% loading – but if they go off to Fair Work Australia and win then you will have to pay leave entitlements on top of that 25%.

It may have been lost during covid, but employers are now required annually to offer casual employees full or part time work.  You can read more at – https://www.mrsaccountants.com.au/important-action-if-you-employ-casual-employees/

Employees have the right to request full or part time work.

Employers with more than 15 employees are required to:-

• Offer casual conversion at least annually.
• Make a written offer within 21 days of anniversary.
• If not offering conversion, notify the employee within 21 days (including reason).

These requirements provide a clear framework for employers to adhere to.  Don’t expect to win any dispute if you have not followed these rules.

Please contact us if you would like a referral to an employment specialist.

At MRS, we will spend today planning for your success.