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Employment Law for the Time Poor

Piper Alderman
Employment Law for the Time Poor
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  • #43 – Federal Election 2025: What is being proposed for industrial relations reform?
    Authors: Emily Haar, Andrew Stewart In this special election episode of Employment Law for the Time Poor, just in time for your second April-long weekend, Professor Andrew Stewart, Consultant, and Emily Haar, Partner, discuss the various policy announcements from the major (and minor) political parties, stakeholders’ wish lists for reform, and other “things to watch out for” ahead of the Federal Election on 3 May 2025. Following the election result becoming known, Piper Alderman will be hosting a national roadshow of in-person events where Professor Andrew Stewart will provide further insights about what to expect over the next Parliamentary term.  Subscribe here to ensure you never miss an invite to one of our events.  
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  • #42 – What could the proposed ban on "non-competes" mean for Australian employers?
    Authors: Emily Haar, Andrew Stewart As part of the recent Federal Budget, the Treasurer announced plans to ban “non-compete” clauses in employment contracts for employees earning below the high income threshold (currently $175,000 per annum) from 2027, to much media attention.  But with the finer details to be the subject of further consultation (and a Federal election on 3 May 2025 in the meantime), what might be on the horizon in this space? In this episode of Employment Law for the Time Poor, Professor Andrew Stewart, Consultant, and Emily Haar, Partner, discuss the difference between “non compete clauses” and other post-employment restraint clauses, the policy, productivity, and research bases for reform, what these reforms might look like in practice, as well as some “real life” considerations for businesses to best protect their interests now.   These discussions show that a one-size-fits-all approach to the protection of an employer’s interests in its client and customer relationships, if it ever were enough, will not cut it going forward if labour mobility significantly increases.  If businesses are less able to rely on contractual post-employment restraint clauses, alternative methods to otherwise protect confidential information and intellectual property, such as technology and a strong internal innovation culture, become ever more important. 
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  • #41 – Understanding the Employment Law Considerations in Defence Export Controls
    Employment Relations Podcast #41 – Understanding the Employment Law Considerations in Defence Export Controls Authors: Emily Haar, Erin McCarthy, Travis Shueard In this episode, we delve into the recent amendments to the Defence Trade Controls Act 2012 (Cth) and explore the implications for employment law and anti-discrimination issues.  Emily Haar is joined by Erin McCarthy and Travis Shueard to discuss how these legislative changes impact businesses in the defence industry – which is defined more widely than you may initially think! The legislative grace period before penalties apply ends on 1 March 2025, such that now is the time for businesses to assess whether these changes will apply to them, and if so, what impact that will have on their workforce planning, both for current and future employees.  For more insights on these changes and the equivalent US legislation see: https://piperalderman.com.au/insight/aukus-itar-export-control-reform-and-the-australian-defence-industry/ https://piperalderman.com.au/insight/itar-101-fundamentals-and-practice/ To never miss an episode, subscribe via your preferred podcasting application: Apple Podcasts Spotify Google Podcasts ·         If you use a different podcast app you can subscribe to the podcast by copying and pasting  http://piperalderman.libsyn.com/rss in to the RSS feed  
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  • #40 – Understanding the Australian Right to Disconnect
    Employment Relations Podcast #40 – Understanding the Australian Right to Disconnect Authors: Emily Haar, Lucie Lawrence-Wall The “right to disconnect” is commencing for most national systems employers on 26 August 2024 (small businesses have a further 12 months to get ready).  Does your organisation understand what this “right” actually is, and how it could impact your operations? In this episode of Piper Alderman’s Employment Law for the Time Poor Podcast, Partner Emily Haar and Senior Associate Lucie Lawrence-Wall discuss the international position and the “availability creep” concerns the right to disconnect is designed to address.  They work through what the new provisions involve, including consequential changes to Modern Awards, as well as discussing some of the practical implications the new “right” may (or may not) for your workplace.    The right to disconnect is not the only “Closing Loopholes” change that commences on 26 August 2024.  For more insights see our previous episodes and insights here: https://piperalderman.com.au/insight/employment-relations-podcast-37-closing-loopholes-no-2-considering-complexities/ and  https://piperalderman.com.au/insight/closing-the-rest-of-the-loopholes-final-tranche-of-fair-work-act-amendments-passes-but-with-some-significant-changes/
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  • #39 – Restraints on restraints! What the United States’ ban on non-compete clauses could mean for Australian businesses
    The United States is planning to heavily restrict the use of non-compete clauses in employment contracts, and the Australian Government has released an issues paper discussing the subject in the Australian context. In this episode of Employment Law for the Time Poor, Emily Haar, Prof. Andrew Stewart and Dustin Grant discuss the current state of the law on post-employment restraints, what proposals for limitations on such restraints could look like, and what employers can do now to best protect their interests. . In April 2024, the US Federal Trade Commission (FTC) voted to ban non-compete clauses in employment contracts, for employees other than “senior executives”, being anyone earning more than $151,164USD per year and who are in a “policy-making position”. In the FTC’s view, this ban will help both employees and employers by promoting competition, wages growth and innovation. It is worth noting this ban is currently subject to several legal challenges, which will determine whether it ultimately comes into effect, and in what form. Several US States (with the most notable being California) have similar bans in place already, for employment contracts within those states. The Issues Paper [1] recently released by the Australian Government was commissioned in August 2023 as part of a broader policy consideration of the Government’s “intent to investigate non-compete clauses”. Whilst the FTC’s ban might have caused more headlines outside of employment law news websites, the issue has long been a matter of keen interest for Andrew Leigh, the current Assistant Minister for Employment, and Assistant Minister for Competition. What are restraints of trade? First, it is important to clarify what is meant by a “restraint of trade”; an umbrella term for several types of contractual terms that can be included in employment contracts. The Issues Paper defines these categories or ‘types’ of restraints to include: 1.      Non-compete – clauses that restrict a former employee from working for a competitor or establishing a competing business; 2.      Non-solicitation – clauses that restrict a former employee from ‘soliciting’ other workers, or clients, of the employer to switch to the employee’s new business; and 3.      Non-disclosure – clauses that seek to protect confidential or sensitive information, such as unique processes, technologies or strategies of the employer. The law in Australia As the law in Australia currently stands, the issue is dealt with by common law (other than NSW which has the Restraints of Trade Act 1976 (NSW)).  The underlying position is that all restraints of trade are presumed to be unenforceable and contrary to the public interest, unless the party relying on the clause can prove that they are “reasonably necessary to protect the legitimate interests of the employer”. [2] However, practically, where an employer seeks to enforce a contractual non-compete term, engaging in potentially uncertain litigation is often not commercially viable for an employee. So the real impact of restraint clauses may be their deterrent or chilling effect:  even if not always enforced by employers, or potentially invalid, they may still have the desired effect on employees. The Competition Review’s Issues Paper Ultimately, the Issues Paper highlights 3 key “issues” related to restraints; the “chilling effect” such clauses have on worker mobility, particularly in lower-income groups, the high cost of litigation and relying on common law which causes confusion to both workers and business, and the economic consequences caused by hampering growth, competition and innovation. At this stage, we can only speculate as to what any potential ban or limitation in Australia may look like, as the Government is still in its consultation phase. A number of potential reforms are discussed in the podcast episode. What can your business do now? Regardless of whether we see significant reform in this area, when it comes to protecting an organisation’s confidential information, client connections, and existing staffing mix, prevention is always better than a cure. Properly protecting confidential information through technology, training and up-to-date workplace policies, and ensuring your workplace is one where staff do not necessarily want to look to greener pastures elsewhere, will have a greater impact than solely seeking to rely on restraints after they have already left. If your business uses post-employment restraint clauses in its template employment contracts, it is a good idea to have these regularly reviewed to ensure they have the appropriate scope and application to your business, along with your policies to ensure they provide the required protection. You can contact Piper Alderman’s Employment Relations team for specific advice on your needs. [1] Non-competes and other restraints: understanding the impacts on jobs, business and productivity – The Competition Review Taskforce, April 2024 [2] Herbert Morris Ltd v Saxelby [1916] 1 AC 688
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About Employment Law for the Time Poor

A podcast from Piper Alderman's Employment Relations team where they discuss the important topics in employment law in Australia.
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