Earn
Will a court ruling see the demise of casual workers?
A court ruling that allows “permanent casual” staff entitlements, including sick and holiday pay, could deter businesses from hiring new staff, according to new research.

Will a court ruling see the demise of casual workers?
A court ruling that allows “permanent casual” staff entitlements, including sick and holiday pay, could deter businesses from hiring new staff, according to new research.

Analysis by Roy Morgan shows the Federal Court’s ruling on casual staff will have an impact on 794,000 businesses in Australia, leaving one in three having to seriously consider staffing needs.
A quarter of businesses, 567,000 (24.5 per cent), said the ruling will “deter them from hiring casual employees”, while over one in 10 businesses, 245,000 (10.5 per cent), said the ruling will have a “large financial impact”.
Most worryingly is as many as 123,000 (5.5 per cent) businesses said they will be “forced to close” because of the ruling.
Roy Morgan CEO Michele Levine said the Federal Court’s ruling on casual employees has the potential to have a significant impact on hundreds of thousands of Australian businesses.
“It is incumbent upon the business community and the union movement to come together and reach a truly equitable and sensible outcome about how to handle the industrial relations implications of this decision in the interests of a healthy Australian jobs market,” Ms Levine said.
The survey results also indicated that many businesses are unhappy to pay staff more as well as paying entitlements.
She added: “The biggest direct impact forecast by around a quarter of businesses is that they will be deterred from hiring casual employees in the future. Many businesses mentioned ‘double dipping’ and the fact that casual workers already get a 20 per cent loading for sick pay and annual leave etc.”
Small and medium-sized businesses with 5–199 employees will suffer the biggest impact
According to Roy Morgan, smaller businesses are likely to bear the brunt of the additional costs in labour.
A majority of small businesses (54.5 per cent) with 5–19 employees and medium businesses (54.5 per cent) with 20–199 employees said they will be affected by the ruling in some way.
Over a third of large businesses (36 per cent) with 200+ employees and just under a third of micro-businesses (32 per cent) with 1–5 employees said they will be affected by the ruling in some way.
Agriculture, retail, manufacturing, transport and postal, and wholesale are hardest hit industries
Roy Morgan’s report also revealed the industries with the most casual staff which are likely to be impacted negatively by these changes.
The Federal Court’s ruling on casual employees is set to have a disproportionate impact on some industries, led by transport, postal and warehousing (59 per cent affected), wholesale (54.5 per cent), manufacturing (47 per cent), retail (45.5 per cent) and agriculture (40 per cent).
About the author

About the author


Earn
Will your job be in demand in 2021?
COVID-19 has brought significant disruption to the economy, and with it, there has been permanent changes to the jobs landscape. So, what jobs will be on the rise this year? ...Read more

Earn
2021 new year, new you: How well does your portfolio stack up against your goals?
Markets in 2020 were challenging and unpredictable, but 2021 offers families an opportunity to review their portfolio and make sure they are still in alignment with their financial goals. Your life, a...Read more

Earn
nestegg’s top 10 most-read stories for 2020
From a global pandemic, economic recession, robodebt refunds and a US election, 2020 has been a huge year for finances in Australia. ...Read more

Earn
Why change is crucial for your career – even if you’re the boss
The proverb would have us believe, “Change is as good as a holiday”. ...Read more

Earn
How the IR reform bill could affect you: Job certainty or lower pay?
The government’s IR reform proposals are expected to be watered down as they make their way through Parliament, with business and unions at odds over some of the more contentious parts of the bill. ...Read more

Earn
Amid pandemic: Canberra bucks trend with continued growth
In comparison with the bigger capital cities like Sydney and Melbourne, Canberra stood in a better position during the initial impact of COVID-19, protected by its robust economy and unique job secur...Read more

Earn
Where have house prices increased more than 1,200%?
COVID-19 has been accelerating interest in regional Australia, as identified by REA Insights Regional Australia Report 2020. ...Read more

Earn
AFSA sounds dodgy adviser warning ahead of insolvency wave
The Australian Financial Security Authority has issued a warning around dodgy insolvency advisers ahead of an anticipated spike of bankruptcies. ...Read more

Earn
Will your job be in demand in 2021?
COVID-19 has brought significant disruption to the economy, and with it, there has been permanent changes to the jobs landscape. So, what jobs will be on the rise this year? ...Read more

Earn
2021 new year, new you: How well does your portfolio stack up against your goals?
Markets in 2020 were challenging and unpredictable, but 2021 offers families an opportunity to review their portfolio and make sure they are still in alignment with their financial goals. Your life, a...Read more

Earn
nestegg’s top 10 most-read stories for 2020
From a global pandemic, economic recession, robodebt refunds and a US election, 2020 has been a huge year for finances in Australia. ...Read more

Earn
Why change is crucial for your career – even if you’re the boss
The proverb would have us believe, “Change is as good as a holiday”. ...Read more

Earn
How the IR reform bill could affect you: Job certainty or lower pay?
The government’s IR reform proposals are expected to be watered down as they make their way through Parliament, with business and unions at odds over some of the more contentious parts of the bill. ...Read more

Earn
Amid pandemic: Canberra bucks trend with continued growth
In comparison with the bigger capital cities like Sydney and Melbourne, Canberra stood in a better position during the initial impact of COVID-19, protected by its robust economy and unique job secur...Read more

Earn
Where have house prices increased more than 1,200%?
COVID-19 has been accelerating interest in regional Australia, as identified by REA Insights Regional Australia Report 2020. ...Read more

Earn
AFSA sounds dodgy adviser warning ahead of insolvency wave
The Australian Financial Security Authority has issued a warning around dodgy insolvency advisers ahead of an anticipated spike of bankruptcies. ...Read more