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ARTICLE · 10 JUNE 2021

Offsetting of employee casual loading is now a thing

This new amendment act will provide employers with a valuable mechanism to respond to these employee entitlement claims.

AustraliaEmployment and HR

One of the most controversial questions in Australian Industrial Law has been whether employees who are ostensibly engaged as casual employees, but are later found by a Court to be other than casual employees, should have any claims for employee entitlements (e.g. annual or personal leave) reduced by any casual loading they have been paid. By the Fair Work Amendment (Supporting Australia's Jobs and Economic Recovery) Act 2021 (Act), the Federal Government is of the view that such reduction should occur.

The Act inserts into the Fair Work Act 2009 a new provision, section 545A. This section applies if:

  • a person is employed by an employer in circumstances where the employment is described as casual;

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