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What franchisees need to know about work and pay over Xmas

Sarah Stowe

As the festive season hots up franchisees need to be on top of their staff pay and leave commitments. Here are some tips to ensure your franchisees’ staff are getting what they deserve.

The shut down

If your business has a shut down period, employees can be instructed to take annual leave if their agreement or award allows for it.

The Fair Work Ombudsman points out that if this is the case, wages should continue as normal. Public holidays need to be treated as such, remembering there may be particular rates of pay applicable.

If there are no rules concerning shut downs, then an employer cannot force a member of staff to take unpaid leave.

Working rates

In contrast, retail and hospitality businesses face the challenges of rostering staff for longer trading hours and over public holidays.

If staff are working over the Christmas period, their pay is dependent on the relevant agreement or award.

Christmas Day, Boxing Day and New Year’s Day are nationally recognised public holidays – in South Australia these public holidays are extended – from 7pm to midnight on both Christmas Eve and New Year’s Eve.

While full and part time employees who normally would be at work get the benefits of a day off at penalty rates, an agreement may allow for staff to switch the public holiday for a day off at another time, for them to add the day to their holiday balance, or get time in lieu.

It’s important to remember that employers are not allowed to adjust a staff member’s roster to avoid a public holiday.

Casual staff are only paid if they are working.

Staff can be asked to work on a public holiday, so long as the request is considered reasonable – this is dependent on the industry, how much notice the employee has been given, and whether they will get paid.

An employee who gets sick on a day either side of a public holiday has the same benefits and obligations as in a normal working week.

For more information check www.fairwork.gov.au.