13 May HR LAW NEWSLETTER – APRIL 2026
In the April 2026 HR Law Newsletter, we highlight key workplace law developments employers need to
be aware of, including the upcoming Payday Superannuation reforms, significant changes to sleepover arrangements under the SCHADS Award, the first industrial manslaughter conviction in the resources sector, and a landmark sexual harassment decision under the Respect@Work reforms.
We also flag upcoming public holidays and practical compliance reminders for employers.
HR Law Client Webinar – Managing Unfair Dismissal Risks
HR Law is pleased to invite you to an upcoming client webinar on Unfair Dismissal: Managing Allegations and Ensuring Procedural Fairness.
Presented by Johan Myburgh, Special Counsel, and Georgia Charnley, Graduate Lawyer, this practical session will walk employers through the legal framework, common pitfalls, and best‑practice approaches to managing dismissal-related allegations.
The webinar will cover:
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the basics of unfair dismissal under the Fair Work Act 2009 (Cth);
procedural fairness and natural justice requirements;
practical tips for investigations, show cause processes and decision-making; and
real‑world scenarios and lessons from case law.
This session is designed to help employers mitigate risk, assist in making defensible decisions, and confidently manage disciplinary and termination processes.
Webinar Details
The webinar will be held via Microsoft Teams on 12 May 2026 at 12:00 pm and is expected to run for approximately 45 minutes.
Please see the Microsoft Teams details below:
Join: https://teams.microsoft.com/meet/44355712571381?p=wPiemWiaVNsq3wdXF3
Meeting ID: 443 557 125 713 81
Passcode: 9hB9wP6j
1.
Payday Superannuation – 1 July 2026
From 1 July 2026, employers must comply with the new Payday Superannuation (“Payday Super”) requirements. Payday Super means employers must pay superannuation contributions for each employee on or before their payday, rather than the current quarterly schedule. This change aims to ensure employees receive their super faster and more reliably. This means that:
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if you pay your employee’s wages weekly, you must pay superannuation weekly;
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if you pay your employee’s wages fortnightly, you must pay superannuation fortnightly; or
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if you pay your employee’s wages monthly, you must pay superannuation monthly.
For Small Businesses, the Small Business Superannuation Clearing House (“SBSCH”) will close, and employers must transition to alternative payment methods. If you currently use the SBSCH, you will need to select a new way to pay super. We recommend that this is ideally one that integrates with your payroll software.
We note that compliance is critical as employers may face penalties and/or enforcement action for late or missed superannuation payments.
Why the Change Matters
This reform impacts cashflow and administrative processes for small businesses. It means that employers will need to budget for more frequent super payments and adapt payroll systems. Although the risk of non-compliance increases, timely payments will boost employee confidence and reduce long-term costs.
Compliance Requirements and Deadlines
All employers must comply from 1 July 2026. As outlined above, from this date superannuation contributions must be paid at or before each employee’s payday. Employers should review payroll systems, update procedures, and inform staff of the changes well ahead of the commencement date. Payday Super involves more than simply aligning payment frequency with payroll cycles. In particular, employers should be aware that:
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superannuation contributions must be received by an employee’s superannuation fund within 7 business days of each payday (rather than merely processed or submitted on payday), subject to limited exceptions (e.g., for new employees);
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from 1 July 2026, superannuation guarantee contributions will be calculated as 12% of “qualifying earnings” (“QE”), a new statutory concept which largely replaces ordinary time earnings for superannuation purposes; and
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Single Touch Payroll (“STP”) reporting obligations will change, requiring employers to report both qualifying earnings and superannuation liability as part of their regular payroll reporting.
Employers should also plan ahead to select a compliant superannuation payment solution, particularly where existing systems or clearing houses will no longer be available. Transitioning early will help avoid disruptions and ensure continued compliance.
Penalties for Non-Compliance
Late or missed superannuation payments may expose employers to the Superannuation Guarantee Charge (“SGC”) and other enforcement action by the Australian Taxation Office.
Employers should be aware that the operation of the SGC and related compliance and enforcement settings will apply in the context of the new Payday Super regime. Given the changes to payment timing, calculation of superannuation contributions and reporting obligations, employers should review current Australian Taxation Office guidance to understand how penalty provisions apply from 1 July 2026.
Repeated or systemic non‑compliance may result in increased regulatory scrutiny and enforcement action.
2.
First Industrial Manslaughter Case Decided
Mastermyne Crinum Operations Pty Ltd (“Mastermyne”) has been found guilty of industrial manslaughter for the death of a mineworker at their Bowen Basin coal mine in 2021.
This is the first successful prosecution of a resource sector employer since the Mineral and Energy Resources and Other Legislation Amendment Act 2020. Pursuant to 48C of the Coal Mining Safety and Health Act 1999 (Qld), if an employer’s negligent conduct caused the death of a coal mine worker, body corporates are liable for up to $100,000.00 penalty units and individual for twenty (20) years imprisonment.
Sentencing has since occurred, with the Court imposing a monetary penalty of $7 million, underscoring the serious consequences for employers arising from breaches of industrial manslaughter laws.
3.
Sleepover update to the Social, Community, Home Care and Disability Services Award 2010 (“SCHADS Award”) – 1 June 2026
Following the Federal Court’s decision in Fair Work Ombudsman v Jats Joint Pty Ltd [2026] FCAFC 25 regarding the treatment of sleepovers in the SCHADS Award, the Fair Work Commission has determined to vary the award, with changes commencing from 1 June 2026.
In March 2026, the Full Court of the Federal Court handed down its decision in Fair Work Ombudsman v Jats Joint Pty Ltd [2026] FCAFC 25 that SCHADS Award sleepovers are separate and distinct periods of time that do not form part of a shift. This means that penalties and loadings are calculated separately for periods of ordinary hours worked on either side of a sleepover, and that a sleepover can count as a break between rostered work periods.
However, in April 2026, the Fair Work Commission issued a decision and final determination to vary the SCHADS Award to provide that:
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a sleepover period is not counted as a break;
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time worked immediately before and immediately after the sleepover is considered the same shift;
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the rest-break rule does not limit work being performed immediately before and immediately after the sleepover;
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by agreement employees and employers can agree to work twelve (12) ordinary hours for shifts performed over a sleepover period, however, a maximum of eight (8) hours can be worked before or after a sleepover period;
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shift loadings will be calculated separately for each period worked before and after the sleepover period; and
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overtime will not be payable for employees who work more than ten (10) hours per shift or per day (not including where an employee has agreed to the twelve (12) hour sleepover arrangement).
To view the decision, click here.
To view the determination, click here.
To prepare for these changes we recommend employers review and update payroll systems to reflect the changes and ensure that all twelve (12) hour sleepover arrangements are agreed to in writing.
![CASE BRIEF – Mejia v Capital City Cafe-Bar [2026] FedCFamC2G 468](https://www.hrlaw.com.au/wp-content/uploads/2024/06/Title-Block-HR-Law-Newsletter-16-scaled.png)
The Federal Circuit and Family Court has, for the first time, exercised its powers under section 527D of the Fair Work Act 2009 (Cth) (“FW Act”) to find that an employer has engaged in sexual harassment in connection with employment.
The Anti-Discrimination and Human Rights Legislation Amendment (Respect at Work) Act 2022 (“Respect at Work Act”) introduced better protection for workers from sexual harassment and other forms of sex discrimination, harassment, and unfair treatment in the workplace, including section 527D of the FW Act.
FACTS
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Mr Kehal (“the Second Respondent”) was the sole director of Capital Café-Bar Pty Ltd (“the First Respondent”) and managed the business.
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On 6 May 2024, Ms Mejia (“the Applicant”) started working for the First Respondent.
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The Applicant was not provided with a Fair Work Information Statement or a Casual Employment Standards.
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Throughout the Applicant’s employment she was not provided with a copy of the Restaurant Industry Award 2020 [MA000119] (“the Award”) or the National Employment Standards (“the NES”).
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The Applicant was never provided with pay slips. On 29 July 2024, the Applicant attempted to raise the issue of receiving pay slips with the Second Respondent, however, he avoided the issue and instead offered to help her by telling her to go shopping and that he would pay for whatever she wanted.
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Towards to end of the Applicant’s shift on 29 July 2024, the Second Respondent made unwelcome sexual advances by hugging and kissing the Applicant, lewd comments and sought to pay the Applicant in respect of this conduct.
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The Applicant did not return to work and received messages from the Second Respondent apologising and asking her to return to work.
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When asked by the Applicant’s lawyer and the Fair Work Ombudsman, the First Respondent provided false and misleading payslips that understated the Applicant’s hours worked and overstated her hourly rate.
LAW
The following sections of the FW Act were contravened by the Second Respondent:
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Section 527D – for sexually harassing the Applicant in connection with her employment;
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Sections 125, 125B and 44 – for not providing the Applicant with a Fair Work Information Statement and a Casual Employment Information Statement;
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Section 45 – for not providing the Application with copies of the Award or the NES;
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Sections 536(1) and 536(3) – for being involved in the First Respondent’s failure to provide the Applicant with payslips within one (1) working day of paying the amounts and providing false and misleading payslips;
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Sections 45 and 323 – for being involved in the First Respondent’s failure to pay causal loading, engaging the Applicant for more than 38 hours per week, failing to pay overtime and failing to pay amounts payable in full;
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Sections 44 and 116B – for being involved in the First Respondent’s failure to make superannuation contributions; and
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Sections 535(1) and 535(3) – for being involved in the First Respondent’s failure to keep employee records of the kind prescribed by the Fair Work Regulations 2009 (“Fair Work Regulations”) for seven (7) years and failing to make records available for inspection upon request pursuant to regulation 3.42 of the Fair Work Regulations.
The following clauses of the Award were contravened by the Second Respondent:
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Clause 3.3 – for not providing the Applicant with copies of the Award or the NES; and
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Clause 11 – for not paying the Applicant applicable casual loading, engaging the Applicant for more than 38 hours per week, failing to pay overtime and failing to pay amounts payable in full.
OUTCOME
Justice Mansfield ruled that the Second Respondent contravened the FW Act by sexually harassing the Applicant and by being involved in multiple contraventions committed by the First Respondent. The Court ordered a total of $90,000.00 in compensation and penalties, including $50,000.00 in compensation for the hurt, distress and humiliation arising from the sexual harassment, $9,390.00 as a pecuniary penalty for the sexual harassment and $30,610.00 for wage and record-keeping contraventions.
KEY TAKEAWAYS FOR EMPLOYERS
This decision serves as a timely reminder for employers on the importance of meeting fundamental compliance obligations under the FW Act and applicable modern awards, including but not limited to:
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providing a Fair Work Information Statement and any other relevant statement (e.g., Casual Employment Information Statement or Fixed Term Contract Information Statement) at the commencement of an employee’s employment;
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ensuring applicable awards and the NES are readily accessible to employees, whether that be physical or by electronic means;
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issuing pay slips with the required information and within one (1) working day from when wages were paid;
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making superannuation contributions (reminder that the frequency of superannuation payments is changing – see our Key Updates above);
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maintaining accurate employee records as prescribed by the Fair Work Regulations for seven (7) years.
In light of this decision, we suggest employers:
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review and update sexual harassment policies and training to ensure compliance with the Respect at Work Act;
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review onboarding procedures to ensure relevant information statements are given to employees;
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ensure applicable awards and the NES are readily available to their employees (i.e., on a notice board or by providing links);
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issue pay slips within one (1) working day of wages being paid that include required information;
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paying superannuation on time and preparing for the changes coming 1 July 2026;
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maintaining accurate employee records as prescribed by the Fair Work Regulations for seven (7) years.
To read the full case, click here.
If you require advice on the management of alleged sexual harassment or employer obligations, please contact info@hrlaw.com.au or one of our experienced solicitors.
The Professional Employees Award 2020 (the “Award”) contains award‑specific notice of termination provisions which may require employers to provide longer notice periods than those set out in the National Employment Standards (see for example clause 28.1 of the Award).
The Award covers employees principally engaged in:
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professional engineering and professional scientific duties (Classified under Schedule A of the Award);
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the information technology industry, the quality auditing industry or the telecommunications services industry (Classified under Schedule A of the Award); or
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professional medical research duties for medical research institutes (Classified under Schedule B of the Award).
You can access a copy of the Award here: Professional Employees Award 2020
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