Update - On March 27 2008 the Federal Government made changes to current employment law as part of their new Industrial Relations policy. The industrial relations system is currently in transition as a result, and this page is no longer 100% accurate. Until we update this information, to find out how this new system might affect you and your employment rights, check out our Changes to the industrial relations system page.
All employees have a contract of employment with their employer. Employment contracts come in different forms, including:
- Awards
- Collective agreements
- Australian Workplace Agreements (AWAs)
Even when the terms and conditions of your employment are not written down, a contract of employment starts when you agree to work and the employer agrees to pay you for your work.
Your contract should include information about:
- Your duties at work
- What level of employee you are (e.g. trainee)
- Work rules or practices and procedures used at your workplace
- Policies at work
- Your rate of pay
- Your employment status (e.g. part-time, casual, full-time)
- Your hours of work
Your obligations
Contracts go both ways. A contract contains information about an employer's obligations to you, as well as information about your obligations to your employer.
Your employer has the following obligations towards you:
- To pay you wages
- To provide you with work
- To reimburse you for reasonable expenses incurred in the course of employment
- To provide you with a safe and healthy workplace
- To treat you with respect
As an employee, you have the following obligations to your employer:
- To perform your job with due skill and care (this means doing your job properly, not being negligent or incompetent)
- To obey all lawful directions (this means doing what you employer tells you to do as long as the instruction is 'reasonable')
- To account for money received (this means that if you are handling money as part of your job, you will make sure that your employer receives all of it)
- To act in your employer's best interests (this means you have to put your employer's financial interest before your own and also that you cannot operate in competition with your employer)
If you fail to meet the obligations of your contract, this could give your employer a reason to fire you. On the other hand, if you employer breaches their obligations, you can sometimes take action against them.
Basic contract advice
Remember:
- Always get a copy of a contract you have signed.
- Never sign anything you haven't read or don't understand.
- Don't agree to any changes without getting independent advice.
If you need advice about your contract, or you think that your employer is in breach of their obligations as set out in your contract, organisations that can provide advice and support include:
