2025 In Review

“I can’t sleep at night. I wake up worried I’ve missed something.” 

Every time I hear it, which is way too regularly, it breaks my heart. 

What I want for business owners is the confidence that the people side of their business is safe, so they can focus on all the amazing things they are contributing to the world. Yet, every year the employment laws in Australia change and more uncertainty creeps in. Ensuring your business is up-to-date is essential. 

Here is our checklist of the biggest changes in 2025. 

Wage Theft: From 1 January 2025, intentional wage theft is a criminal offense. While is reason behind this law is good, the presentation of this law gave many SME owners and managers nightmares. If big business with entire teams of HR professionals can’t get it right, how could they? We’ve made it simple for you.  

Right to Disconnect: Effective 26 August 2025, employees in small businesses will have the right to refuse contact from their employer outside of standard working hours. Again, while we understand the logic, many owners and managers were confused by how they can communicate in a way that works for the business and the employees that doesn’t end up with them in hot water. Our proven solutions are working across a wide range of industries. 

Casual Conversion: From 26 February 2025, there was a clearer pathway for casual employees to convert to permanent roles. For small businesses with less than 15 employees, this “employee choice” pathway began on 26 August 2025, after a 12-months’ of employment. Know what was required and the details made the navigation easier for everyone involved.  

Award Wage increases: From July 1, Award rates increased at 3.5% for the majority of awards. In some industries there were additional adjustments at other times across the year. Clients were provided with up-dates in time for seamless transitions.  

Superannuation: The superannuation guarantee increased to 12% from 1 July 2025. This is the last scheduled increase for now. 

Employee vs. contractor status: Further clarifications on the distinction between employees and contractors were confirmed.   

Paid Parental Leave: There were many changes in the Paid Parental Leave space which require updates to existing policies and procedures. From 

• 1 July 2025, the Federal Government’s paid parental leave increases from 22 to 24 weeks.
• Superannuation contributions will now be made on Federal Government paid parental leave, paid as a lump sum at the end of the financial year. This initiative will help to reduce the gender gap in superannuation at the age of retirement. 
• The Fair Work Amendment (Baby Priya’s) Bill, passed in November 2025, ensures employer-funded paid parental leave continues in the difficult situation of a stillbirth or death of a baby shortly after birth.

Unfair Termination for Regulated Workers: From 26 February 2025, road transport and digital platform workers may apply for unfair termination claims under certain conditions. This was a landmark case providing better protection for people previously thought of as “jig workers”. With more people making their living in this way, it provides protection and security that was previously missing. 

Of course, this is a short summary of the biggest changes that occurred in 2025. To find out more about the changes that impact you and your business, please reach out to our team. We are here to help so that you can get a great night’s sleep.  

Book a meeting or call us on 1300 474 672.