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Individual Flexibility Arrangements (IFA)

21 March 2023

Attracting and retaining employees is important for businesses, especially within the current recruitment market. Employees are requesting flexibility and businesses need to consider this to remain competitive.

Here is our guide on the important steps to take when creating individual flexibility arrangements for your employees:

  • Firstly, determine the award the employee is covered by and the flexibility conditions within the award
  • The Individual Flexibility Arrangement (IFA) is a written agreement between the employer and employee that is used to make alternative arrangements that suit the needs of both parties.
  • The agreement must result in the employee being better off overall at the time the agreement is made than if the agreement had not been made in comparison to the terms and conditions under the relevant award.
  • To help determine that the employee is not worse off overall, a Better Off Overall Test (BOOT) is completed to compare the conditions under the award and the new flexible arrangement.
  • It is important to note that the Individual Flexibility Arrangement (IFA) must be a voluntary mutually agreed arrangement in writing, signed by both parties.

We are here to help and support you determine the award for the employee and support the creation of an Individual Flexibility Arrangement (IFA). Call us on 1300 474 672, or send us an email if you need help.


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