Casual conversion rights and obligations for award-covered employees will be streamlined across all industries from today – 1 October 2018.
We have addressed the ‘Frequently Asked Questions’ on casual conversion below:
Casual conversion is the transfer of an employee’s employment status from casual to permanent.
A model casual conversion clause will be inserted into 84 Modern Awards (Model Term).
A modified version of the Model Term will be inserted into 14 other Modern Awards.
The 28 Modern Awards which already contain a casual conversion clause, will remain unchanged. Please note, the requirements in these Awards must be reviewed individually, as the eligibility and requirements differ to the Model Term.
Under the Model Term, to be eligible to request casual conversion, a casual employee must be a “regular casual employee“.
A regular casual employee must have worked:
For example, a casual employee who has worked an average of 38 or more hours a week, over a period of 12 months, may request to have their employment converted to full-time employment.
This right becomes available on a continuous basis while the employee meets the above criteria (i.e. it is not a once off right).
In some Modern Awards, casual conversion can be requested from 6 months’ of regular and systematic employment.
Not for Modern Awards which contain the Model Term.
Employers must, however, review the Modern Award which applies to their workplace (or seek our advice) to determine how a request for casual conversion must be managed in their individual circumstances.
For example, clause 14.4 of the Manufacturing and Associated Industries and Occupations Award 2010 requires an employer to give notice in writing of the casual conversion clause within four weeks of an employee working 6 months on a regular and systematic basis.
Yes, under the Model Term employers can refuse a request for casual conversion provided that:
The requirements and grounds for refusal vary across Modern Awards and should be reviewed in the applicable award.
Under the Model Term, an employee has the right to challenge any refusal using the dispute resolution provision in the relevant Modern Award.
Under the Model Term, a casual conversion request must be made in writing.
If a request is granted, following a discussion with the employee, the employer must record the conversion in writing.
If granted, conversion will take effect from the next pay cycle (unless otherwise agreed).
We recommend that employers immediately review the Modern Awards which apply to employees in their business, to familiarise themselves with the applicable casual conversion clauses and the particular requirements.
For example, under the Model Term, employers must:
Additionally, we recommend that employers:
Please contact our Employment Advisory Team for tailored advice on casual conversion compliance.
Natasha Horvat, Senior Associate