Recent changes to the National Employment Standards (NES) give casual employees a clearer path to permanent work – but what does this mean for workers and business owners? Whether you’re an employee seeking job security or an employer navigating your obligations, here’s what you need to know.
Transitioning from casual to permanent employment
On 26 August 2024, the pathway to permanent employment changed from ‘casual conversion’ to ‘employee choice’ under the National Employment Standard.
This means a casual employee may move to permanent employment if both the employee and employer agree. It also means that eligible casuals have the right to formally request a transition from casual to permanent employment.
What makes an employee eligible?
An employee may submit a written request to become permanent if they:
- Have been employed for at least six months (12 months if employed by a small business).
- They believe they no longer meet the requirements of the casual employee definition.
- They have consistently worked the same hours on a regular basis for at least the past six months.
- They could maintain these hours as a full-time or part-time employee without major changes to the business
If eligible, a casual who was employed before 26 August 2024 can submit a request under the employee choice pathway from:
- 26 February 2025 (if not employed by a small business)
- 26 August 2025, (if employed by a small business).
Additionally, the casual conversion pathway available before 26 August 2024 is still accessible for some casual employees during a transitional period. Find more information at Offers and requests for casual conversion.
Requesting to transition from casual employment to permanent employment?
Eligible employees can notify their employers of their wish to transition from casual to permanent employment through a written request. The Fair Work Ombudsman provides a template notice to help with this process.
However, you cannot submit a request if:
- Your employer rejected a previous request in the past 6 months
- You are involved in an ongoing dispute about casual conversion
- You previously refused an offer for conversion under the old system.
How Employers Must Respond
Employers are required to respond in writing within 21 days of receiving a notice. They can either accept or reject the request.
If they accept, the employer must outline:
- Whether the employee will become full-time or part-time
- The new hours of work
- The date the change will take effect (usually from the start of the next pay period)If they reject, employers can only refuse for specific reasons, including:
If they reject, employers can only refuse for specific reasons, including:
- The employee still meets the legal definition of a casual worker
- The change would cause significant operational challenges for the business
- The employer would violate an existing legal or contractual requirement
Workplace Protections for Casual Employees
It’s illegal for employers to:
- Reduce hours, change shifts, or terminate employment to avoid converting a casual employee to permanent employment.
- Take adverse action against an employee for requesting a change.
Casual employees have the right to:
- Submit a request for permanent employment
- Receive a formal response from their employer
- Seek assistance in case of disputes
For more resources, visit the Fair Work Ombudsman’s website or use their Pay and Conditions Tool to check your entitlements.