Friday 2 December saw the most significant and wide-ranging changes in employment law since Labor replaced WorkChoices legislation with the Fair Work Act in 2009: the Fair Work Legislation Amendment (Secure Jobs and Better Pay) Bill 2022. These landmark reforms will have an impact on all workplaces across Australia. 

The Federal Government has now introduced three pieces of legislation in a very short time. One week before, on 28 November, more Respect@Work changes were introduced through the Anti-Discrimination and Human Rights Legislation Amendment (Respect at Work) Bill 2022. Paid domestic violence leave was introduced through the Fair Work Amendment (Paid Family and Domestic Violence Leave) Bill 2022 on 27 October. 

Below we focus on the main items that could have an impact on businesses on a day-to-day basis around the country. The most topical and controversial aspect, the expansion of access to multi-enterprise agreements and multi-employer bargaining, is not discussed as this will only apply to a minority of organisations.   

Secure Jobs and Better Pay Bill 

1. Limitations on fixed term contracting 

Employers will now only be able to offer a maximum of two consecutive contracts or contracts that span two years, whichever of the two is shorter. This comes with extensive anti-avoidance provisions but has exceptions for apprentices and high-income earners, among others. The change doesn’t come into effect until 7 December 2023 so employers have some time to prepare, though there is potential for it to come in sooner if the Minister of Industrial Relations makes a proclamation. 

2. Expanded Sexual Harassment Protections 

The Fair Work Act now includes an express prohibition against workplace sexual harassment for employees and prospective employees. It also extends to sexual harassment by third parties in the workplace, such as customers or clients. A person can make a sexual harassment application to the Fair Work Commission, requesting a stop sexual harassment order, like the stop bullying order, while officers can be vicariously liable for acts of sexual harassment by their employees. 

This change ties in with the positive duty for employers to prevent sexual harassment from occurring in the first place, introduced as part of the Respect@Work Bill (see below). 

3. Changes to the Rules around Flexible Work Arrangement Requests 

Employers will be prevented from unreasonably refusing requests from staff who are trying to balance caring duties with their employment. The change comes with a new process and allows an employee to file a dispute in the Fair Work Commission. 

4. Prohibition of Pay Secrecy Clauses in Contracts

This introduces new workplace rights with respect to conditions of employment about rates of pay; employees will no longer be forced to keep their pay a secret. 

5. Expanded anti-discrimination protections 

The reforms have added three new forms of discrimination to the existing protections against discrimination in the Fair Work Act. This means that the general protection provision, which makes it unlawful for an employer to terminate or take adverse action against an employee or prospective employee because they have a protected attribute (race, sex, age, marital status, pregnancy, religion, political opinion etc.), now also cover breastfeeding, gender identity and intersex status. 



Respect@Work Bill 

6. Positive duty to eliminate sexual harassment and conduct 

This new positive duty requires an employer to take reasonable and proportionate measures to eliminate, as far as possible, conduct that includes sexual harassment and harassment or discrimination on the ground of a person’s sex. Employers are required to move from responding to conduct that has already occurred, to proactively taking steps to prevent it from occurring in the first place. 

7. Protect People from Hostile Work Environments on the Ground of Sex 

The Bill makes it unlawful for a person to subject another person to a workplace environment that is hostile on the grounds of sex. Examples are conduct such as displaying obscene or pornographic materials, general sexual banter, or innuendo and offensive jokes that can result in people of one sex feeling unwelcome or excluded by the general environment. 

8. Extending the time limit for lodging a complaint

The time limit for lodging a complaint under the Age Discrimination Act, Disability Discrimination Act and Racial Discrimination Act has been extended from six months to 24 months after the alleged acts, omissions or practices took place. 

Paid family and domestic violence leave 

9. New leave entitlement comes into effect next year 

As we explored previously, this leave will be available from 1 February 2023. Permanent and casual employees will be able to access 10 days of paid family and domestic violence leave in a 12-month period. This replaces the existing entitlement of five days’ unpaid leave. Employees can take this leave if they need to deal with the impact of family and domestic violence and it’s not practical for them to do so outside of their work hours. 

What does this mean for me? 

These are a lot of changes and most of them have a fundamental impact on how to manage your workforce. It is recommended you familiarise themselves with these changes, to be aware of how they will impact on your rights in the workplace. For employers, all these changes will require a thorough review of policies, procedures, training and contracts, to ensure compliance and that your workplace is prepared to respond to any circumstances where these laws might come into play. 

If you have any questions about the above summary or need assistance with any of the matters discussed, contact our workplace relations team.