Casual employment can be seen as good option for employers who require a degree of flexibility with their workforce. If workflow is uncertain and fluctuates, it can be beneficial to employ staff on a non-permanent basis to cover the situation.
To be genuinely casual, an employee should only be employed on an as and when required basis, without the expectation of ongoing employment. This should clearly be set out in an employment agreement.
A genuinely casual employee can normally be employed for each period of engagement the employer requires them to work, with a short notice of termination period that applies. Again, this should be referenced in the relevant employment agreement.
The employer may keep the casual employee on a list to be contacted for future casual engagements, with each period of employment being treated as a separate engagement.
It is reasonably common to encounter situations where an employee has been employed on a casual basis but is working regular and set hours on an ongoing basis, sometimes even for a year or more. In this situation, in the event of a dispute, the employee could be deemed to be a permanent employee based on the relevant working patterns.
In the event an employer has incorrectly employed a casual employee and terminates employment by giving notice that the casual engagement is at an end, the employee involved would have the ability to challenge that decision via a personal grievance claim for unjustified dismissal. There may also be the potential for awards of holiday pay arrears for the period of employment involved, in addition to the legal costs involved in dealing with such a claim.
It is important for an employer to keep track of the periods casual staff have been employed. If it appears that an employee is working regular hours, it would be worthwhile reviewing the arrangement to decide whether a permanent employment arrangement should be negotiated with the employee involved.
MKER can provide expert advice and assistance on this type of issue, or for any other employment relations matters. Feel free to reach out to MKER to discuss the situation and understand the options available.