The Ground Rules in writing Employment Contracts

by | Jan 10, 2011 | Employers Tips

Having a bona fide employment contract creates a solid foundation of successful employer/employee relationship. Understanding the types of employment contract available is a crucial part in making the right decision what contract the most suitable for the particular circumstances

As of 1st January 2010 there have been important changes in Australia’s workplace laws affecting all employers and employees in the national workplace relations system. These changes include the National Employment Standards (NES), and the Modern Awards.

There are number of different employment contracts to choose from such as

  • IFA – Individual Flexibility Agreement
  • Offer Letter for a Modern Award covered employee
  • Enterprise Agreements
  • Independent Contractor Agreements

Some benefits of having employment contract in place.

  • Greater certainty in the event of either party wishing to terminate employment
  • Defines qualifying period
  • Focus to an employee to achieve outcomes in a defined time-frame
  • Helps employees understand what is expected of them by defining working hours, codes of behaviour, confidentiality issues and the like
  • Entitlements can be clearly set out by defining terms and conditions

What are the 10 NES entitlements?

The NES are set out in the Fair Work Act 2009 and comprise 10 minimum standards of employment. In summary, the NES involve the following minimum entitlements:

  1. Maximum weekly hours of work – 38 hours per week, plus reasonable additional hours.
  2. Requests for flexible working arrangements – allows parents or carers of a child under school age or of a child under 18 with a disability, to request a change in working arrangements to assist with the child’s care.
  3. Parental leave and related entitlements – up to 12 months unpaid leave for every employee, plus a right to request an additional 12 months unpaid leave, and other forms of maternity, paternity and adoption related leave.
  4. Annual leave – 4 weeks paid leave per year, plus an additional week for certain shift workers.
  5. Personal / carer’s leave and compassionate leave – 10 days paid personal / carer’s leave, two days unpaid carer’s leave as required, and two days compassionate leave (unpaid for casuals) as required.
  6. Community service leave – unpaid leave for voluntary emergency activities and leave for jury service, with an entitlement to be paid for up to 10 days for jury service.
  7. Long service leave – a transitional entitlement for employees who had certain LSL entitlements before 1/1/10 pending the development of a uniform national long service leave standard.
  8. Public holidays – a paid day off on a public holiday, except where reasonably requested to work.
  9. Notice of termination and redundancy pay – up to 4 weeks notice of termination (5 weeks if the employee is over 45 and has at least 2 years of continuous service) and up to 16 weeks redundancy pay, both based on length of service.
  10. Provision of a Fair Work Information Statement – employers must provide this statement to all new employees. It contains information about the NES, modern awards, agreement-making, the right to freedom of association, termination of employment, individual flexibility arrangements, right of entry, transfer of business, and the respective roles of Fair Work Australia and the Fair Work Ombudsman.

Employing a person without an employment contract is like rowing across the lake in a leaky boat � no matter how fast you row you are not going to make it until you remove the hole.

Author: Vlasta Eriksson

Work in Cairns, Jobs in Sunshine Coast, Jobs in PNG

Did you like this article? Share it now!

Get in Touch

Do you want to know how we can help you?

Categories Employers Tips


  1. Kyani

    This is good information. I found your website very interesting.

  2. hidss

    very useful post indeed!! Thanks

  3. Janiece CV Writing Service

    Include the usual facts about yourself such as date of birth (no point hiding your age whatever the reason – it will just be an irritant), address, education, email address (this is very necessary as you just look a bit sad if you don’t have one!) and, most importantly, work experience.

  4. Termination Letter

    The article is actually the great topic on this related issue and It is very usefull information for every one.

  5. Influence Career Choices

    Be practical while crafting an Objective Statement. Avoid making bulky goal statements just for the sake of impressing your recruiters. Do not mix up your professional and personal goals in this section. Always remember that your CV is a qualified document! Your Objective statement should be precise and to-the-point.

  6. tax calculator

    nice post. thanks.

  7. Matthew C. Kriner

    awesome blog, do you have a twitter or facebook? i will bookmark this page thanks.

  8. Charlsie Kisker

    lastly identified someplace with some valuable details. thanks alot and preserve it coming 🙂

  9. jobs

    you have a great page here, lots of good stuff about jobs.

  10. Lauran Capestany

    I’m commenting to let you be aware of what a amazing experience my wife’s daughter undergone browsing your webblog. She picked up some issues, most notably how it is like to possess an amazing teaching mindset to make certain people easily have an understanding of various complex subject matter. You undoubtedly did more than people’s desires. I appreciate you for delivering those necessary, trusted, revealing and even fun tips on the topic to Evelyn.

  11. Noble Brethour

    Very well written information. It will be helpful to anyone who utilizes it, including myself. Keep up the good work – for sure i will check out more posts.

  12. Clyde Edmison

    Facinating article, it really makes someone think. Thanks for posting it with us.

  13. Ben Carl

    I just wanted to comment and say that I really enjoyed reading your blog post here. It was very informative and I also digg the way you write! Keep it up and I’ll be back to read more in the future


Submit a Comment

Your email address will not be published. Required fields are marked *