Australia is ushering in a new era of work-life balance with the introduction of the ‘Right to Disconnect’ law, which allows employees to step away from work outside of their designated hours. This includes ignoring calls, texts, emails, or any other form of communication unless the refusal to respond is deemed unreasonable.
Employers are still allowed to contact employees outside of working hours, but the expectation of an immediate response is removed unless certain conditions justify the contact.
The right to disconnect came into effect on 26 August 2024 for non-small businesses. For employees of small businesses (fewer than 15 employees), this right will come into effect on August 26, 2025.
When Does the Right to Disconnect in Australia Not Apply?
There are specific circumstances where an employee’s refusal to respond to after-hours communication could be considered unreasonable. These include:
The reason for the contact: If the contact is regarding an urgent or business-critical matter, a refusal to respond may be seen as unreasonable.
Method of contact: The way in which the employee is contacted—whether it's a simple text or a more disruptive phone call—can influence whether a refusal is justified.
Employee’s role and responsibility: Employees in high-responsibility roles or those who are well-compensated for additional hours may be expected to respond outside of normal working hours.
Personal circumstances: The employee’s personal situation, such as family or carer responsibilities, will also be considered when evaluating the reasonableness of a refusal.
Implications for Employers
Employers will need to review and revise their current workplace policies to ensure they align with the new legislation. This includes clearly defining expectations around after-hours communication and outlining when it is appropriate to contact employees outside of working hours.
Failure to comply with the Right to Disconnect law could result in legal action and significant financial penalties. Employers who unjustifiably contact employees after hours or retaliate against employees for not responding could face fines and orders from the Fair Work Commission (FWC).
Enforcement and Penalties
Should disputes arise regarding the right to disconnect, the FWC can step in. If the FWC finds that an employer has violated an employee's right to disconnect, it can order the employer to cease such contact. On the other hand, if an employee’s refusal to respond is deemed unreasonable, the FWC can compel the employee to engage with the communication.
Penalties for non-compliance with FWC orders are substantial, with fines of up to AUD 19,000 (GBP 9,742.82/ EUR 11,560.84) for individuals and AUD 94,000 (GBP 48,202.26/ EUR 57,201.35) for companies.