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HT for Small Biz - Newsletter

Frequently Asked Questions – Periods of Notice & Final Pay

In what ways can notice of termination by given to an employee?

To end an employee’s employment, an employer must provide written notice of their last day of employment. An employer can give the written notice in the following ways;

  • Delivering it personally
  • Leaving it at the employees last known address
  • Sending it by prepaid post to the employees last known address

What period of notice is required to be given when terminating an employee?

The period of notice required to be given when terminating an employee is dependent upon the employee’s length of service with the company. The NES outlines the minimum period of notice requirement required for the amount of service the employee has given.

Not more than 1 years’ service = 1 weeks’ notice

1 years’ service to not more than 3 years’ service = 2 weeks’ notice

3 years’ service to not more than 5 years’ service = 3 weeks’ notice

More than 5 years’ service = 4 weeks’ notice

Can an employee’s period of notice be paid out instead of worked?

Yes. An employer can either:

  • Let the employee work through their period of notice, or
  • Pay it out to them (also known as payment in lieu of the notice)

Does an employee have an entitlement to a period of notice while on a probation period?

Yes. If an employee is working while on a probation period, they still must be given or paid out their period of notice based on their length of service.

Does an employee have an entitlement to a period of notice when termination is due to serious misconduct?

When an employee is terminated on the grounds of serious misconduct, the employer does not have to provide any notice of termination. However, the employer does have to pay the employee all outstanding accrued entitlements such as annual leave.

Are casual employees entitled to the same period of notice as permanent full time and part time employees?

No. The minimum period of notice requirement for all casual employees is one day, regardless of the length of service. However some Modern Awards have provisions that require casual employees to be offered a conversion to permanent part time or full time arrangements after a certain length of ongoing casual employment. It is important to have read and understood the Modern Awards that cover your casual employees to determine what provisions exist.

If you have any queries regarding period of notice entitlements or lawful termination, please feel free to contact us on (02) 8882 9694.

 Suite 4.05, 5 Celebration Drive
 Bella Vista NSW 2153

Ph: 02 8882 9694 M: 0415 225 920 
www.hrforsmallbiz.com.au 

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