Casual conversion - Employee Choice Pathway

Understanding casual conversion under the Fair Work Act 2009 (Cth) is essential for employers and employees navigating the evolving landscape of casual employment rights and obligations. This guidance note provides expert insights into the National Employment Standard (NES) provisions on casual conversion and recent legislative amendments.

Topics Covered

• A new National Employment Standard — Div 4A (Offers and requests for casual conversion)
• NES - Div 4A, Subdiv B — Employer offers for casual conversion
• NES - Div 4A, Subdiv C — Employee’s right to make 6 monthly requests for casual conversion
• NES - Div 4A — What are reasonable grounds for not making an offer or refusing a request for casual conversion?
• NES - Casual conversion disputes and the FWC
• Industrial instruments provide for casual conversion to permanent employment

Essential Insights

• Assess eligibility for casual conversion based on continuous 12 months’ employment and regular pattern of hours.
• Employers must offer casual conversion within 21 days after 12 months unless reasonable grounds justify refusal.
• Employees retain a residual right to request conversion every 6 months, subject to strict eligibility criteria.
• Reasonable grounds to refuse include anticipated reduction in hours or significant changes to work patterns.
• Failure to comply may trigger civil penalties and dispute resolution processes before the Fair Work Commission.
• Consultation requirements mandate employers to engage with employees before refusing requests or confirming conversions.