A formalised transition from casual to permanent has taken effect, with casual employment laws forever altered.
Eligible casual workers seeking permanent employment now have the right to request a transition via written notice to their employer. As of 26 February 2025, the federal government’s Employee Choice Pathway, part of the Fair Work Legislation Amendment (Closing Loopholes No. 2) Act 2024, only allows employers to refuse the notice for limited reasons. The reforms see the scrapping of former Casual Conversion provisions set around casual employment.
With employee rights crystallised like never before, it is crucial for Australian beauty business owners to learn how these legal changes may impact them.
A good starting point for business owners is to review two drafted templates from the Fair Work Ombudsman (FWO). One is created for the employee and the other is for business owners who must respond to their staffer’s written request within 21 days. Scroll to the green highlighted box on this webpage to find both templates.
In a nutshell, casual employees are now entitled to shift into permanent status if they have worked for you for more than six months beyond 26 August 2024 and your business employs 15 staff or more. If you’ve got less than 15 employees, it’s a 12-month minimum. The employee must also demonstrate they are working beyond the realms of casual employment (there’s plenty of detail online that defines this), must not be engaged in a dispute with you over their employment, and must not have had a previous request refused in the past six months.
The FWO advises via its website that you’re then legally obligated to discuss details of the proposed transition with your employee. Finally, you must then formally accept the request via written notice or reject it for reasons including the employee still falling under the definition of a casual, or if there are “fair and reasonable operational grounds.”
Founder and Director of Sydney’s Melissa Young Beauty, Melissa Young, believes the reforms will streamline a sometimes-awkward process — but urges fellow business owners to consider their circumstances before simply saying yes.
“It’s important to recognise that each business operates differently, with its own set of challenges and opportunities,” Melissa explains. “While the reforms can offer a helpful framework, I don’t think an employer should ever feel forced into a decision that doesn’t align with their specific needs.”
According to information shared by the Australian Council of Trade Unions (ACTU) on 26 February, 687,500 casual workers across varied industries indicated they hope to “switch to permanent work.” ACTU Secretary, Sally McManus, believes the reforms come as a major win for Australia’s casual employees, no matter their role. “While many people are happy with casual work, hundreds of thousands are not,” Sally explains. “This is a very significant achievement and a boost to job security for Australian workers.”
For more on the new reforms, take a look at the FWO’s information page.
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