Not long after intentionally underpaying employees became a criminal offence on 1 January 2025, additional workplace changes have been announced or made by the federal Labor government to further protect workers and stimulate productivity.
Code of Practice on Sexual and Gender-Based Harassment
The Work Health and Safety (Sexual and Gender-based Harassment) Code of Practice 2025 (Code), which applies to all workplaces covered by the Work Health and Safety Act 2011 (Cth) (WHS Act), commenced on 8 March 2025.
The Code:
- Gives examples of what sexual and gender-based harassment might look like;
- Addresses 'good practice' in relation to investigations concerning sexual or gender-based harassment; and
- Outlines a four-step risk management process that employers should proactively use to eliminate or minimise the risk of sexual and gender-based harassment as far as is reasonably practicable.
While the Code is not law, it is admissible in court proceedings under the WHS Act and Work Health and Safety Regulations 2011 (Cth) and courts may look to the Code:
- As evidence of what is known about a hazard, risk assessment or control measures; and
- To determine what is reasonably practicable in the circumstances.
The Code recognises that sexual and gender-based harassment often occurs in conjunction with other psychosocial hazards and therefore the Code should be read and applied with the Work Health and Safety (Managing Psychosocial Hazards at Work) Code of Practice 2024.
Work-From-Home Term to be Added to Clerks Award
In August 2024, the Fair Work Commission commenced proceedings on its own initiative to develop a work-from-home term in the Clerks—Private Sector Award 2020 (Clerks Award). The term is intended to facilitate the making of practicable 'working from home' arrangements and to remove award impediments to such arrangements.
The Commission has identified various issues to be determined, such as how 'working from home' should be defined and how the term should interact with the right to disconnect. The term is likely to serve as a model for incorporation in other modern awards, and therefore any interested party is invited to participate in the proceedings (not just parties with an interest in the Clerks Award).
Interested parties originally had until Friday 28 March to file proposals for a working from home clause, as well as submissions and evidence. This has now been extended until a date to be determined at the directions hearing listed for 6 June 2025. In the meantime, the matter has been listed for a conference on 11 April 2025 to discuss the substantive issues that will arise in the matter.
Ban on Non-Competes
The Labor government announced in last week's 2025-26 Federal Budget that it plans to introduce a ban on non-compete clauses for workers earning less than the high-income threshold under the Fair Work Act 2009 (currently AU$175,000). Importantly, for the purposes of the high-income threshold, 'earnings' do not include incentive-based payments, bonuses or superannuation contributions. The government is still considering exemptions, penalties and transition arrangements.
At this stage, the proposed ban is just in relation to clauses preventing or restricting workers moving to a competing employer or starting a competing business. However, the Government has indicated that it will further consider and consult on non-solicitation clauses for clients and co-workers and non-compete clauses for high-income workers. The government also plans to restrict 'no-poach' agreements, where businesses agree not to hire workers from certain other businesses.
If the ban becomes law, it would take effect from 2027 and operate prospectively. In the meantime, employers should consider reviewing their employment contracts to ensure that their confidential information, trade secrets and intellectual property clauses continue to protect their business in the event the proposed ban on non-compete clauses proceeds.
Employers should also consider reviewing current notice periods, to ensure they are calibrated to provide sufficient protection, having regard to the nature of an employee's role (including their level of access to customers and confidential information).
Anti-Vilification Protections to Expand Beyond Race and Religion
On 2 April 2025, Victoria's Labor Government 's Justice Legislation Amendment (Anti-vilification and Social Cohesion) Bill 2024 (Bill) was passed by the Legislative Council and will shortly pass the Legislative Assembly without further amendment.
Currently, Victorians are protected from vilification on the grounds of their race or religion under the Racial and Religious Tolerance Act 2001. The Bill repeals the Racial and Religious Tolerance Act 2001 and a new section 'Prohibition of vilification' will be inserted into the Equal Opportunity Act 2010.
Victorians will be protected from unlawful vilification based on a broader range of attributes:
- Disability;
- Gender identity;
- Race;
- Religious belief or activity;
- Sex, sexual orientation or sex characteristics; or
- Personal association (whether as a relative or otherwise) with a person who is identified by reference to any of the above attributes.
The test to be applied will be based on whether a 'reasonable person with the protected attribute' would consider the conduct hateful or severely ridiculing. Vilification may occur in any form of communication, including for example by posting a photo on social media that severely ridicules someone with a protected attribute.
Additionally, serious vilification offences, such as threatening physical harm, will be criminalised and be punishable by up to five years' imprisonment.
Whilst this is limited to Victorian law, it is possible that other States and Territories may enact similar legislation.