With Christmas shopping lists getting longer and longer, retail stores are starting to get busier and busier. As a result, it is usual for retail businesses to employ extra staff for the Christmas period to manage increased customers who are enjoying the Christmas specials. When you employ a worker for a short period, this is known as casual employment. As an employer, you must understand your obligations to your employees and what you need to consider when hiring Christmas casual employees.
There are no special rules about hiring a Christmas casual. Your obligations to the employee are the same as those of any casual employee under the Fair Work Act.
What Is a ‘Casual’ Employee?
A casual employee is someone whose work hours do not follow a regular pattern. Their rosters are catered to the employer’s needs, and they can refuse or swap shifts easily. Likewise, they have no firm advance commitment in the business. Unlike permanent employment, a casual employee does not have entitlements to paid sick leave or annual leave.
Term of Employment – Just for the Christmas Period?
When taking on new staff, consider whether you are only looking to employ new team members for the Christmas period only? If this is the case, it is sensible to define what your business considers the Christmas period to have clear expectations around how long you will engage a worker.
Importantly, your employee can still terminate their employment before the end of the Christmas period, as defined by your business. Indeed, casual employees can terminate their employment at any time and do not have to give notice when ending their employment. You should keep this in mind when you are employing your casual staff and preparing your Casual Employment Contract. You may be able to add a clause in the contract that requires the employee to give you notice.
Continue reading this article below the formRate of Pay
Casual employees are entitled to a higher base hourly rate of pay than full-time or part-time employees in a similar role. This is precisely because they do not receive paid sick leave or annual leave. This higher hourly rate is called casual loading, and each Award may have different requirements as to how much more employers need to pay their casual employees.
Importantly, make sure you know which Award applies to your casuals, as each Award may have specific requirements. Also, keep in mind penalty and public holiday rates that might apply to casual employees according to National Employment Standards that you must follow for Christmas casuals.
Notably, many businesses often keep Christmas casuals on as regular casual employees after the Christmas season is over. However, this is not a legal requirement for your business, especially if you cannot afford this expense. Though, if you do continue to employ a casual worker, be aware of your obligations.
For example, a casual employee who has worked with you for at least 12 months might be able to convert their employment to become a permanent employee. Similarly, you could decide to change their employment from casual to permanent employment. Therefore, ensure you have an employment contract that outlines the casual employment relationship appropriately.
As an employer, understand your essential employment obligations with this free LegalVision factsheet.
Key Takeaways
The law treats Christmas casuals the same as any other casual workers. Importantly, make sure to follow the Award requirements set out on the Fair Work website. For assistance with preparing a casual employment contract for Christmas casuals, contact LegalVision’s employment lawyers on 1300 544 755 or fill out the form on this page.
Frequently Asked Questions
The law treats Christmas casuals the same as any other casual workers. Typically, you would pay them more than permanent employees since they do not receive certain entitlements like paid sick leave. However, you must follow all Fair Work guidelines and industry standards when deciding your staff’s pay rate.
As an employer, ensure you pay your workers according to the correct rate and hours worked. You can check this through Fair Work’s pay calculator. Also, ensure you understand the relevant Award that applies to your staff and give them correct entitlements such as penalty rates or meal allowances, amongst others.
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