ARTICLE · 04 FEBRUARY 2026

Market Intelligence Thought Leadership Award Winner

Employment Law Developments: What employers need to know for 2026

McCabes

Explore more from McCabes

A snapshot of key developments in employment, workplace relations & safety, which require actions from employers.

AustraliaEmployment and HR

Author LinkedIn connections

We provide a snapshot of key developments in employment, workplace relations, and safety, which require actions from employers. Some occurred at the end of last year, some take effect this year and some are in the pipeline. We highlight key considerations below.

1. Set-Off Clauses in Salaried Employee Contracts

The Federal Court delivered an important decision last year on how set-off clauses operate in employment contracts for salaried employees and employers' record-keeping obligations. The Case -Fair Work Ombudsman v Woolworths Group Limited; Fair Work Ombudsman v Coles Supermarkets Australia Pty Ltd; Baker v Woolworths Group Limited; Pabalan v Coles Supermarkets Australia Pty Ltd (2025) 343 IR 340 - has significant implications for employers who rely on annualised salaries to meet award entitlements.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

Related Articles

What Is The Role Of A Support Person In A Disciplinary Meeting?

AustraliaEmployment and HR

Defence Industry Recruitment In Australia: ITAR, AUKUS And Discrimination Risk

GlobalEmployment and HR

Herbert Smith Freehills Kramer LLP

When Character References Collide With Workplace Values: Lessons From The Western Power Dismissals

AustraliaEmployment and HR

Carroll & O'Dea

Legal Professional Privilege In General Protections Disputes: Takeaways From The Kyle And Jackie O Dispute

AustraliaEmployment and HR

A Tale Of Two Gates: The Limits Of A Head Contractor’s Duty Of Care

AustraliaEmployment and HR

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Employment and HR

Related Comparative Guides

Comparative Guide

Employee Incentives

Comparative Guide

Technology Outsourcing

See more popular content from

Employment and HR

New Minimum Wage Rates Gain Effect In Australia Today

The Australian Government has raised the National Minimum Wage and Minimum Award Wages effective July 1, 2026, with weekly rates increasing from $948.00 to $1,004.90 and hourly rates from $24.95 to $26.44. What compliance actions must employers take to avoid penalties for underpayment, and how do these changes affect different worker categories including trainees, apprentices, and entry-level employees?

AustraliaEmployment and HR

Lexplosion Solutions Private Limited

What is an employment separation certificate and when do I need to provide one?

When terminating an employee, employers must provide an employment separation certificate upon request.

AustraliaEmployment and HR

When Workplace Material Causes Psychiatric Injury: Secretary Department Of Communities And Justice v Soulos [2026] NSWCA 185

A recent NSW Court of Appeal decision highlights both the scope of an employer’s duty to guard against reasonably foreseeable psychiatric injury and the importance of the way issues are framed and concessions made during litigation.

AustraliaEmployment and HR

Carroll & O'Dea

A Tale Of Two Gates: The Limits Of A Head Contractor’s Duty Of Care

In Stathakis v Richard Crookes Constructions Pty Ltd [2026] NSWSC 1113, the NSW Supreme Court entered a verdict and judgment for the defendant against the plaintiff’s unsuccessful negligence claim finding that the defendant, as the head contractor of the site on which the plaintiff sustained injury, did discharge the duty of care it owed.

AustraliaEmployment and HR

Fair Work Commission Strictly Enforces 21-day Filing Deadline

A one-day delay in filing a general protections application with the Fair Work Commission proved fatal, reinforcing that such timeframes are strictly enforced absent exceptional circumstances.

AustraliaEmployment and HR

National Safe Work Month – For Life – Why WHS Matters (Video)

October is National Safe Work Month, and Cooper Grace Ward's workplace relations and safety team explores why work health and safety matters for every business. Special counsel Gemma Sharp examines the legal duties of PCBUs and officers to protect workers from both physical and psychosocial hazards, emphasizing that safety must be woven into the fabric of business operations rather than treated as an afterthought.

AustraliaEmployment and HR

Cooper Grace Ward

Fair Work Commission Releases New AI Guidance And Warns Against Blind Reliance On AI

The Fair Work Commission has introduced new guidance requiring parties to disclose their use of generative AI in proceedings, following a 70% surge in workload attributed to AI-generated applications. A recent case demonstrates the consequences of blind reliance on AI tools, with one applicant ordered to pay costs after continuing a jurisdictionally flawed claim despite repeated warnings from the Commission.

AustraliaEmployment and HR

Holding Redlich

Employment Relations Podcast – Enterprise Bargaining In The Spotlight: Intractable Deadlock Or Genuine Agreement?

Recent Australian workplace reforms have fundamentally altered enterprise bargaining dynamics, introducing new mechanisms like intractable bargaining determinations and expanded Commission powers to amend agreements. How should employers navigate these changes to develop effective bargaining strategies while managing risks associated with mandatory terms, genuine agreement principles, and the better off overall test?

AustraliaEmployment and HR

Reforms To Restraints: What The Competition And Fair Work Legislation Amendment (Banning Unfair Non-Competes) Bill 2026 Means For Employers

The Albanese Government has released draft legislation that would fundamentally reshape how Australian employers use restrictive covenants and competitive agreements. The proposed Competition and Fair Work Legislation Amendment (Banning Unfair Non-Competes) Bill 2026 seeks to prohibit or strictly regulate no-poach agreements, wage-fixing arrangements, non-compete clauses, and co-worker non-solicitation terms.

AustraliaEmployment and HR

Podcast: Inside The Claim With CGW – Flight Risk: Grounded By A Galley Cart

Cooper Grace Ward's Damien Jarrett and Jess Byrne examine Hunter v Alliance Airlines Pty Ltd, a Supreme Court workers' compensation case involving a cabin crew member's back injury from a jammed galley cart. The discussion explores how the case evolved from maintenance and staffing allegations into a training dispute, and examines the court's approach to quantum arguments when the injured worker chose to pursue her own business rather than return to employment.

AustraliaEmployment and HR

Cooper Grace Ward