From 6 December 2023, as part of the Secure Jobs, Better Pay amendments to the Fair Work Act 2009 (Cth), employers will no longer be able to employ a worker on a fixed term contract in the following situations:
- Where the employment term is for two or more years (including extensions); or
- Where the employment contract may be extended more than once, whether or not the total term, is for two or more years.
It is noted that the prohibition of fixed term contracts in the above situations will apply to new fixed term contracts from 6 December 2023. The new provisions will also require review of any fixed term contracts in place prior to 6 December 2023.
It is important that sponsors of overseas employees under the Temporary Skill Shortage (TSS)(subclass 482) visa program and Skilled Employer Sponsored Regional (SESR) (Provisional) (subclass 494) visa program are aware when drafting employment contracts, which may be for the fixed period of the visa or a fixed term.
The relevant limited exception to the prohibition of fixed term contracts of “special skills” may be applicable in the case of subclass 482 and 494 visa candidates.
However, we recommend that sponsors for the subclass 482 and 494 visa programs obtain advice from an employment lawyer on the matter of fixed term contracts to ensure that the 6 December 2023 the Fair Work Act 2009 (Cth) requirements are met.
For advice regarding Australian visas and sponsoring skilled overseas workers, please do not hesitate to contact us at info@hartmanimmigration.com.au for Australian immigration assistance.
Disclaimer:
The information on this website is intended only to provide a summary and general overview on relevant matters. It is not intended to be comprehensive nor does it constitute legal advice. You are advised to seek legal or other professional advice before acting or relying on any of the content contained in this website.