Many good-intentioned employers are changing arrangements with
their staff by way of verbal discussions in order to ride the wave
of economic uncertainty during the Coronvairus pandemic.
Employers should be aware that making verbal agreements to vary
employment arrangements are putting them at risk. If varied
agreements are not clearly set out in writing it leaves the door
open for misunderstandings as to the terms of the agreements.
Further, if changes are not implemented in accordance with Award
entitlements, the verbal agreements may not work.
We are already seeing disputes where staff are making claims for
underpayments through breaches of their Award or contract. The
longer the unwritten arrangements continue the greater the quantum
of the claims that can be made.
