NSW Reduction of hours

[MissM_syd]

(in the light of coronavirus crisis) can the reduction of weekly work hours by the employers be considered a breach of individual employment contract?

 

[Paul Cott]

Hi MissM,
A reduction in hours unless agreed to, can be a breach of contract. A party cannot unilaterally amend the terms of any contract.

 

[MissM_syd]

Hi MissM,
A reduction in hours unless agreed to, can be a breach of contract. A party cannot unilaterally amend the terms of any contract.

Hi Paul,
many thanks for getting back to me
Given the conditions at end of March/beginning of April, the meaning of 'agreement' can be stretched in the convenient direction. For example, general (company-wide) announcement informing about the reduction of hours followed by individual letters stating 'as per our agreement'. In this situation, can an employee request the end of the 'agreement'?

 

[Paul Cott]

If it’s not a genuine agreement it is not an agreement. Push back on it.

 

[Rod]

Is the employer on JobKeeper? Did you sign a JobKeeper form?

 

[MissM_syd]

Is the employer on JobKeeper? Did you sign a JobKeeper form?

Yes. We did. They eliminated about 15% of jobs and cut the hours for the remaining staff by 20% at the end of March. Mid May they said we 'finally qualify' for Jobkeeper and we filled the forms. We all expected that with the JobKeeper, we'll get back to normal pay, especially because the management is well aware of the fact that most people are still working normal hours (even more to account for the positions that have been made redundant). So, everyone was more than happy to do so. Though luck, it didn't happen.
I know with the crisis and the JobKeeper legislation, there are not many legal avenues and even if there are some, retaliation would be quite likely. The thing that drives us mad though is, OK - if we're in trouble, we sacrifice a bit and we get to the other side. But to hear the management bragging in the meetings about how well the company is doing and that we have more money in the bank than we had at the beginning of the crisis while we're all on pay cuts is... (I don't even have words for it)...
But at least it is good to know though which are the options....

 

[Rod]

If the employer has properly issued a 'jobkeeper direction', then yes, they can reduce hours. There are requirements an employer has to meet in order for a jobkeeper direction to be valid.