KEEPING UP TO DATE

New rules for fixed term contracts – what you need to know Part 1

Important changes about using fixed term contracts are due on 6 December 2023 as part of the Australian Government’s Secure Jobs, Better Pay workplace law changes. 

The changes include new rules about: 

• How long fixed term contracts can be: A fixed term contract can’t be for longer than 2 years, including extensions and renewals. 
• Renewal limitations: A fixed term contract can’t have an option to: 

–  extend or renew the contract so that employment period (including the extension or renewal period) is longer than 2 years, or 

–  extend or renew the contract more than once. 

• Offering new contracts that are substantially similar to previous contracts. 
• A requirement to give any employees they’re engaging on a new fixed term contract a Fixed Term Contract Information Statement  
• Speak to us about exceptions that may apply.  

How to prepare for the upcoming changes: 

• Prepare to update onboarding packs with a new Information Sheet: Fixed Term Contract Information Statement 
• Review current fixed term contract employees and how this may impact them  
• Ensure your Fixed Term Employment Agreement templates are compliant  

We are here to help and support our clients with preparing for the upcoming changes to fixed term employment agreements. For more information on how we can help ensure your business is ready, call us on 1300 474 672, or send us an email if you need help.