Make a call on shut down and let employees know

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The Christmas and New Years holiday period is approaching and if you’re an employer, you need to be aware of your legal requirement to give employees notice of a shut down.

Under Modern Awards, employers must give affected employees a minimum of 28 days’ written notice of a shut down. The deadline to do this is 24 November 2023.

The changed regulations allow employers to mandate an employee’s use of paid annual leave during a temporary shut down, provided it is reasonable.

Employers must not direct employees to take unpaid leave during a shut down but may offer it as an option.

Should an employee have insufficient annual leave to cover the shut down period, you should discuss alternatives such as using accrued time off in lieu, long service leave or taking paid annual leave in advance.

Any arrangements should be confirmed in writing with the employer retaining records of any agreement.