Unlocking the Benefits of Dual Employment: A Must-Read for Modern Employers
Dual employment, where an employee holds two positions with the same employer, is becoming an increasingly popular solution to labour shortages. This arrangement can be a powerful recruitment and retention tool, allowing existing staff to take on additional hours while reducing employer overhead costs.
However, dual employment is not without legal risks. Employers must handle dual employment arrangements carefully to prevent potential legal, operational, and workplace health and safety issues.
Legal Framework
Dual employment is permitted under the Fair Work Act1 if each role is distinct, and the applicable enterprise agreement or award can apply separately to each job. Employers must ensure that each role is treated independently, with separate employment contracts and payroll records.
Importantly, employers cannot use dual employment to avoid paying overtime payments, penalty rates, or other employee entitlements.
Case Study: Lacson v Australian Postal Corporation2
An Australia Post employee worked in two part-time roles at different locations and claimed $200,000 in overtime, rest relief, and meal allowances, arguing that his two jobs should be considered as one under the enterprise agreement.
Australia Post argued that the roles were distinct, governed by two separate contracts. The Court ruled in favour of Australia Post, recognising the jobs as separate part-time positions. The employee’s claim was denied because he had chosen to accept two different roles, and there was no evidence of the employer evading obligations.
Best Practice Considerations for Employers
To manage dual employment effectively, employers should:
- Draft Separate Contracts: Ensure each role has a distinct employment contract, outlining duties, pay rates, and classifications under relevant awards or agreements.
- Maintain Distinct Records: Assign separate employee numbers and provide individual payslips for each job to maintain clear separation.
- Communicate Clearly: Avoid representing the roles as connected. Make it clear to employees that the positions are independent.
- WHS: Assess potential risks to the employee of working the secondary role, such as fatigue or other workplace health and safety concerns.
Key Takeaways
Dual employment can be a valuable solution to labour shortages, with benefits for both employers and employees. However, employers must ensure that dual employment arrangements are well planned, legally sound, meticulously documented, and effectively managed to mitigate the associated risks.
1 2009 (Cth)
2 [2019] FCA 51
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