No one needs me to tell them that the past 18 months have been a tough time for many people around Australia.
At MyHR, we’ve seen first hand how the COVID-19 pandemic has impacted small-to-medium businesses and their employees. So now, as various states open up after lengthy lockdowns and our international borders reopen, let’s take a look at all the HR matters SMEs should know about as they return to the workplace, re-engage employees, and focus on the opportunities and challenges ahead.
We cover returning to the workplace and government requirements around vaccinations, work health and safety implications, meeting changes in the labour market and work arrangements, and finally, compliance changes, including award wage increases and casual employee conversion.
So let’s dive in.
Returning to the workplace
COVID-19 vaccinations
This will be front of mind for most people, so the first thing employers should do (if you haven’t already) is check your state/territory requirements and restrictions around COVID-19 vaccinations, as they do vary.
For example, in NSW, most workers in businesses which are open to customers must be fully vaccinated. Then there are specific industry requirements that are subject to public health orders, e.g. healthcare workers must have received a single dose and the second dose by 30 November.
In Victoria, authorised workers as defined (which basically includes anyone and everyone) must have their fully vaccinated by 26 November. Workers in other industries may have other requirements.
Find out more about vaccination requirements at business.gov.au
Your rights when it comes to vaccinations
This is a complex area, but Australia’s high (and growing) vaccination rates suggest that this isn’t such a contentious issue as it was. Secondly, the federal and state governments, the Fair Work Ombudsman (FWO) and Fair Work Commission (FWC) have provided evidence to suggest that they are very supportive of employers' efforts to get their workforce vaccinated.
For example, SafeWork NSW considers vaccination a high-order risk control measure against disease, and there are various state-based health orders which specifically require certain workers to be vaccinated. The FWO has also provided advice around what would constitute a lawful and reasonable direction to mandate vaccination for employees.
This provides clear guidance to employers around how they can categorise the nature of the work the employee performs, considering the nature of the workplace and factoring in other concerns such as local rates of community transmission, Public Health Orders, and work health and safety risks and assessments.
That doesn’t detract from the need - if you are mandating vaccination for employees, or thinking about it - to treat each case on an individual basis, based on the role and the person and factoring in legislative obligations and general protections under the Fair Work Act.
Learn more about vaccination rights and obligations at fairwork.gov.au.
COVID safety planning
While there are state variances, the basic principle is that under work health and safety (WHS) law, all employers or businesses are required to manage the risk of COVID-19 to workers and others in the work environment, e.g. customers and other visitors.
This means every business needs to take a risk-management approach to eliminate or minimise the risk of people contracting or spreading the virus, i.e. assessing the risks, putting in place controls and public health measures - e.g. physical distancing, mask wearing as appropriate, record keeping, Instructing employees to stay home if they are unwell or have symptoms - documenting them, and reviewing them as required.
Having a COVID-19 Safety Plan will help you fulfil your obligations under Public Health Orders to minimise the risk of people contracting or spreading the virus.
State-based WHS bodies have developed COVID-19 Safety Plan templates for specific industries, and most industries are covered.
If your business doesn’t fit within these categories, we still recommend you have a plan in place. Be sure to complete all risk assessments and safety planning in consultation with staff, then communicate clearly and ensure everyone understands the part they play in keeping the workplace safe.
Find out more at safework.gov.au
Handling employee concerns
Work with your people and listen to their concerns. They may need reassurance about returning to the workplace or they may need time to wrap up personal commitments, e.g. childcare, so they can return to work in person. We’re all aware how important working from home has become over the past year-and-a-half and many employees will want to continue doing at least some work remotely, if that suits their role and the business. It is a good time to ensure all your company policies and documentation are current, especially in regards to what work can be performed remotely and how.
Recruitment, onboarding, and retention
COVID-19 is very much front of mind, but there are 2 other pretty big phenomena occurring in the labour market at the same time.
- Skills shortage - Analysis of 800 jobs by the National Skills Commission earlier this year revealed that 1 in 5 occupations in Australia suffers from skill shortages, with regional areas the hardest hit. It showed 265 jobs in high future demand, including IT, aged care and disability workers, and labourers.
- Mass resignation - COVID-19 has been a crucible moment that has prompted many people to evaluate their priorities and goals and make changes in their lives.
A wave of resignations (dubbed “the Great Resignation”) is happening around the world. More than 15 million Americans have left their jobs since April 2021 and some research estimates 40% of workers globally are looking to make a job change in the next year. This “great resignation” is expected to hit Australia from March 2022, as our COVID-19 restrictions ease.
Be creative with what you offer
Because of these pressures, employers may need to think creatively about recruitment and retention. Attracting talent purely on salary may not be enough, and many employers are probably already paying more given the labour shortage or may not have the cashflow to give out pay increases.
Employees are often looking for something more than just money, so setting roles up for remote working or with more flexibility could make your job more attractive and enable you to expand your search beyond your local territory.
You may also be able to look long-term by bringing on apprentices or trainees, which could reduce your initial labour costs.
Providing opportunities for growth and development is increasingly important to many people and can be a great way to differentiate your company from your competitors. So, do you have structured performance reviews and development plans? Are there clear progression pathways to promotion, leadership, and management?
Balancing the business’ expectations with development and flexibility may create some challenges with people not being in a workplace, so make sure you support workers with solid structure, documentation, and dependable technology. Also be sure to articulate your opportunities well, and match any promises with actions.
Get more ideas for improving recruitment and employee retention.
Recent compliance changes to be aware of
Award wage increases
The Fair Work Commission’s annual award wage increases have been rolled out in 3 stages this year. The 2.5% increase for industries least affected by the pandemic and general retail was introduced at the beginning of July and September, with the new minimum pay rates applying to 21 additional awards from 1 November.
Learn more about the minimum wage increases.
Changes to casual employees
Under the Fair Work Act amendment that passed in March 2021, employers now have to give every new casual employee a Casual Employment Information Statement (which contains information about their conditions of employment) before, or as soon as possible after, they start their new job.
The amendment to the FWA also changed the definition of casual employees, and means some employers are obligated to offer their casual employees conversion to permanent employment under the National Employment Standards:
- Businesses with more than 15 employees - must offer casuals who have worked for 12 months or more and who have worked a ‘regular pattern’ of hours for the past 6 months the option to convert to permanent (full-time or part-time) or advise them of their ineligibility. The offer or notification must be in writing.
- Businesses with less than 15 employees - not required to offer casual conversion, however employees can request to convert at any time after their 12-month anniversary and the employer must respond within 21 days.
Find out more about casual conversion.
Loaded rates under the Hospitality Award
Employers can elect to pay a loaded rate to a full-time adult employee classified at Level 3 or above to absorb some other entitlements under the Hospitality Award.
Includes some overtime, penalty rates, and split shift allowance provided the appropriate Loaded Rate Percentage is paid.
Find out more at fairwork.gov.au.
