Hybrid working is an adaptable model that combines both remote and in-office work. This idea became much more popular after the COVID-19 pandemic. As a result of this, Australian legislation has seen notable changes to accommodate the nuances of hybrid work arrangements. The Australian government has recently (6th June 2023) introduced a policy that gives employees the power to potentially change their working status to work from home either partially or completely.
In this article, we will delve into the important legislative changes in Australia related to hybrid working and explore what these changes mean for employers across the country.
The Flexible Work Arrangement Amending Act
According to section 65A(1) of the Amending Act, if an employee asks to change their work schedule due to their situation, the employer must give a written reply within 21 days. This means that employers have no choice but to address their employees’ work schedule concerns in a timely manner.
Employees can ask for flexible work arrangements if they have been working for the same employer for at least 12 months, whether as a full-time or part-time employee and satisfy the following conditions;
- You are the parent or have responsibility for the care of a child who is school-aged or younger.
- You are a carer (under the Carer Recognition Act 2010).
- You have a disability.
- You are 55 or older.
- You are pregnant.
- You are experiencing family and domestic violence.
- You provide care or support to an immediate family or household member who is experiencing family and domestic violence.
Employees can request flexible working arrangements by writing, explaining the changes they want, and stating their reasons why they want the change.
What This Means For Employers
When an employee asks for flexible work arrangements, employers must provide a written response within 21 days. They have to decide whether they accept or refuse the request. There is a process they have to follow in the event that they want to reject the employee’s request for flexible work arrangements. They have to:
- Discuss the request with the employee and try to reach an agreement on alternative solutions.
- Write a refusal response with detailed explanations.
- Consider the consequences of refusing their employee’s request.
Whether an employer has valid business reasons to decline a request depends on their own situation, like what kind of company they are, their size, and their operations. Employers can only refuse a request on reasonable grounds. Some of these may include:
- If the new working arrangements requested are too costly for the employer.
- If other workers’ working arrangements will be negatively affected by this.
- If the new working arrangement will result in less productivity or efficiency.
- If the new working conditions will have a negative impact on customer service.
Resolving Disputes Between Employers and Employees
If both sides are unable to reach an agreement about the request in 21 days, they can apply to the Fair Work Commission to mediate the dispute. The commission will attempt to resolve the dispute by involving both parties in a discussion to see if a resolution can occur.
If this mediation is unsuccessful, the Fair Work Commission may arbitrate the dispute. They have the authority to decide if the employer’s reasons for saying no were valid or not and can order the employer to approve the employee’s request or make adjustments to fit the employee’s situation.