By Catherine Ngo Senior Editor and Content Writer, My Business

Opponents of the Bill primarily argue that the ambiguous laws could harm businesses that unintentionally violate them.

The Fair Work Amendment (Right to Disconnect) Bill 2023 will be enacted on August 26, 2024. Businesses with fewer than 15 employees have an additional year to comply, as the legislation will not apply to them until August 2025.

The legislation permits employers to contact employees outside of working hours only in genuine emergencies or if the employee receives an 'availability allowance' for that period.

 

WHAT IS AN 'AVAILABILITY ALLOWANCE'?

The amending legislation's "section 64A(3) defines availability allowance as an allowance for being rostered, or otherwise directed by an employer, to remain available to perform work during the period".

This allowance may help address the issue of organisations requiring constant communication with staff while respecting employees' right to opt in or out.

Offering an availability allowance to some or all employees may provide businesses with legal grounds for contacting them outside of working hours. However, both parties must agree to this arrangement.

 

CONCERNS RAISED 

The exact amount and calculation method for this allowance are still unknown. For instance, it is unclear whether the allowance entitles the employee to their regular pay rate for the period they are available to be contacted by their employer. Or is it a percentage of their usual rate, a fixed sum, or an overtime rate since it falls outside regular working hours?

Additionally, it is unclear whether the employer sets a reasonable amount or if it is negotiated between the employer and the employee.

For non-award employees, typically higher-paid, employers have argued that their existing salary already covers availability. 

Concerns exist that the legislation may impede productivity, particularly in fast-paced or client-oriented environments. However, exemptions are available for urgent matters. Establishing clear guidelines and expectations for after-hours communication is essential.

Transparency is paramount when implementing new policies. Employers can establish a more positive workplace environment by maintaining open communication with employees and offering monetary incentives for additional availability.

There is optimism that the bill may include additional safeguards before its effective August 26. However, the uncertainty surrounding the availability allowance poses potential adverse effects.

Notwithstanding this, leaders who require round-the-clock communication with employees may have legal protection when contacting them outside of regular working hours.

 

WHAT EMPLOYERS CAN DO NOW?

In anticipation of the new workplace changes, employers should proactively take the following measures to ensure a smooth transition and maintain a harmonious work environment:

Update Employment Contracts and Schedules:

  • Incorporate the new regulations into standard employment contracts by adding clauses that reflect the changes. This includes any modifications to working hours, leave policies, remote work arrangements, or other relevant terms.
  • Issue supplementary schedules to current employees to ensure they are fully aware of the modifications. Provide a reasonable timeframe for employees to review and acknowledge the changes.

Develop Comprehensive Policies:

  • Develop and implement policies that align with the new rules and address the specific requirements and implications of the changes in the workplace.
  • These policies should cover flexible work arrangements, employee rights and responsibilities, workplace health and safety measures, and other relevant areas.
  • Communicate these policies to employees through various channels, such as company intranets, email, or town hall meetings.

Create Availability Schedules:

  • If necessary, create availability schedules to balance the viability of businesses and employees' work-life balance.
  • These schedules should specify the core working hours employees are expected to be available.
  • Ensure the schedules are fair and equitable, considering business needs and employee preferences.
  • Provide employees with sufficient notice when scheduling changes occur.

Enhance Communication and Training:

  • Open communication channels with employees to address concerns, clarify expectations, and provide regular updates on any developments related to workplace changes.
  • Organise training sessions to educate employees about their rights, responsibilities, and the practical implications of the new regulations.
  • Encourage employees to seek clarification or raise any issues they may have.

Monitor and Review:

  • Continuously monitor the implementation of the workplace changes to identify any challenges or areas for improvement.
  • Regularly review and update policies and procedures based on feedback from employees and managers.
  • Stay informed of further regulatory updates or legal developments impacting the workplace.

Catherine Ngo Senior Editor and Content Writer, My Business

Catherine is passionate about unravelling the latest news and insights to help entrepreneurs, small business owners and employers.