As the holiday season approaches, businesses must balance festive celebrations with staying compliant with employee entitlements. While some businesses may get busier and require staff to work, others may ‘shut down’ and require their employees to have time off.
Here is what you need to know so you can navigate this time with ease:
Annual Leave
Whether or not your employee is to take their annual leave during the shutdown period depends on their agreement or award.
In most cases, an employer can ask their employees to take annual leave during the shutdown if the request is:
- reasonable
- in writing
- given to affected employees within the required notice period.
It is essential to check your relevant awards and agreements, as they all have different clauses when it comes to shutdown periods.
No award or agreement? Employers can only direct employees to take annual leave if the direction is reasonable.
Not enough annual leave?
If the award or agreement allows it, employees can agree with their employer to take:
- annual leave before they’ve accrued it
- unpaid leave.
If your award has no shutdown rules.
If there are no shutdown rules in your award or agreement, you can still have your employees take annual leave during the shutdown period if you and your employee agree.
Employees who choose to work must be paid at their normal pay, and public holiday rules apply.
Public Holidays and Overtime
An employer can ask their employee to work overtime if the request is reasonable. Being reasonable can depend on:
- the needs of the business
- the role and responsibility of the employee
- the employee’s personal commitments, like family or caring arrangements
- how much notice the employee gets about the extra hours
- what the employee’s contract says.
If an employee works overtime or on a public holiday, their award or registered agreement may give them additional entitlements.
Knowing your obligations as an employer is key to making the holiday period run smoothly!
