As the shelves fill with candy canes and mince pies, it’s time to start thinking about the traditional workplace end of year shutdown.
While this article provides you with broad information on the topics of annual shutdowns, annual leave and public holidays, many of the issues discussed in this article will be dependent on the terms of:
- any applicable Award;
- any applicable Enterprise Agreement;
- the contract of employment; and
- applicable policies.
Annual Shutdowns
A lot of workplaces decide to shutdown between Christmas and the new year. The question arises, can an employer direct an employee to take their annual leave during the shutdown period?
The answer to this question is, it depends whether the employment is governed by an award or enterprise agreement and whether that instrument contains provisions allowing the employer to direct the employee to take annual leave during the shutdown.
If there is no provision in the award or enterprise agreement, or if the employment is not governed by an Award or enterprise agreement then the employee cannot be directed to take leave during the shutdown.
It is therefore essential that employers check the relevant award or enterprise agreement and determine if there is provision for direction to take annual leave during the end of year shutdown and if there is, make sure they comply with the relevant notice requirements outlined in the award or enterprise agreement.
If there is no right to direct an employee to take annual leave during the shutdown then the leave will be leave without pay or the employee may choose to take annual leave during this period.
If no relevant employment document applies, an employee may be directed to take leave during a period of annual shut down, if to do so is considered reasonable.
Annual Leave in Advance
For part-time and full-time employees who may not have accrued enough leave to cover an entire shut down period, you may wish to consider payment of annual leave in advance. Again, this may already be considered within a relevant employment instrument, and you should review that instrument to confirm any required process.
If not, there is no requirement to pay annual leave in advance; however an employer may still do so if they wish. If annual leave is paid in advance, that should be recorded in writing.
Public Holidays
This year Christmas and New Years Day both fall on Wednesdays. All employees (causal, part-time and full-time) are generally entitled to be absent from work on any day that is a public holiday, unless they are reasonably requested to work. For businesses that remain open across these public holidays, it is important to remember the process that must occur before an employee can be reasonably requested to work being:
- The employer must request the employee work on the public holiday;
- The employee must respond to the request;
- If they refuse, the employer must consider the reason for the refusal;
- If the refusal is not reasonable, the employee can be directed to work on the public holiday.
If employees are required to work on a public holiday, employers should check the relevant employment instrument to confirm any requirements for extra pay, or time off in lieu arrangements that may be in place.
End of Year Celebration
End of year celebrations are a good time for everyone to enjoy themselves and for employers to say thank you for the year’s efforts.
There are certainly some guidelines that you should keep in mind when planning and attending your Christmas/End of year party. We will provide more details in our upcoming article “Cheers and Fears – Planning your end of year function.”
If you have any questions about the above or require our assistance in knowing what your obligations are heading into the festive season, please do not hesitate to contact us at Nicole Dunn Lawyers via office@ndlaw.com.au.