The upcoming industrial relations landscape will focus on consolidation, according to the new Minister for Employment and Workplace Relations. However, there are still some reforms HR should prepare for.

Over the past two years, the Australian workplace relations landscape has undergone rapid change. The Albanese government introduced some of the most ambitious workplace reforms in a generation, including the prohibition of pay secrecy clauses, protections for vulnerable casual workers and the right to disconnect – to name only a few.

Speaking to HRM, Amanda Rishworth, Minister for Employment and Workplace Relations, confirmed that the upcoming political term for the re-elected government is about “bedding down the laws [the government] has already passed”.

HR practitioners can expect to be maintaining compliance around recently introduced laws such as the expanded scope of flexible work requests, the criminalisation of intentional wage underpayments and changes to definitions of employment relationships (for example, casuals and independent contractors). 

That said, there are still several changes worth noting.

“Our absolute priority is delivering on our election commitments,” says Rishworth. “That included putting a submission to the Fair Work Commission on an increase to the minimum and award wages, which has been brought down.”

She also noted that legislation to ensure employers can’t cancel non-government parental leave in the event of a stillbirth is on the government’s agenda, as well as banning non-compete clauses for those earning below the high-income threshold.

“One of the other areas I’m really focused on is how we create more cooperative workplaces in Australia. That’s a longer-term goal, but something I’m keen to pursue,” says Rishworth.

“When I say cooperative workplaces, that is [about] having a two-way conversation between employees and management that means disputes are resolved more quickly and everyone feels they have a stake in the business or workplace.”

To help HR practitioners navigate the upcoming IR landscape, two employment law specialists unpack key areas for HR to focus on over the next 12 months. 

1. Limitations to post-employment restraints 

A significant workplace relations policy from the government’s election platform was the ban on non-compete clauses (NCCs) for employees earning below the high-income threshold ($183,100 during FY26) which restrict employees from moving to a competitor or establishing a competing business.

The reform seeks to address the widespread and increasing use of standard post-employment restraints in contracts.

“The aim of the reforms is to provide more labour market flexibility, to empower employees to be able to move more freely and change their jobs without unreasonable restrictions,” says Amanda Junkeer, Partner at law firm Gadens.

If successful, the reform would take effect from 2027 and operate prospectively to prohibit the inclusion of NCCs in new employment contracts and possibly introduce civil penalties for contravention.

What isn’t yet confirmed is its scope, says Andrew Stewart, Professor of Work and Regulation at Queensland University of Technology, Adjunct Professor with Adelaide Law School, who spoke at AHRI’s National Convention and Exhibition last week.

“What we don’t know is whether, even for higher paid workers, there will be limits on the use of non-compete clauses,” says Stewart, who is also a consultant to law firm Piper Alderman. “[The government] has signalled that it will consult about introducing restrictions on provisions around the solicitation of clients or co-workers.”

How you can get prepared:
Depending on your workforce size and the prevalence of NCCs within your organisation, Junkeer advises HR to begin auditing contracts to identify which employees fall below the high-income threshold and will therefore be impacted, then prepare to make appropriate adjustments.

Contract templates for different employee cohorts will need to be revised and reissued with instructions for use, to minimise any errors going forward. This can be centralised through an HRIS system.

“The aim of the reforms is to provide more labour market flexibility, to empower employees to be able to move more freely and change their jobs without unreasonable restrictions.” – Amanda Junkeer, Partner, Gadens

The ban is also a reminder to evaluate the purpose of non-competes in your organisation, says Junkeer.

“If there are cases in which there are legitimate interests in enforcing a post-employment restraint [for those earning over the high income threshold], employers need to think about how they’re structuring contracts to compensate for the restraint.

“We’ve seen cases where the courts have struck down the restraints because they are too broad and inhibited someone unreasonably,” says Junkeer.

2. Fixed-term contracts

Under the 2024 Closing Loophole reforms, fixed-term contracts are now limited in duration and renewal – unless they fall into certain exceptions. 

These exceptions include what the Fair Work Ombudsman refers to as ‘additional exceptions’ which cover certain funding-reliant sectors such as higher education and charities/not-for-profit organisations.

With these additional exceptions expiring in November this year, it’s worth brushing up on your employee arrangements and ensuring compliance before the limitations lift, says Stewart.

How you can get prepared:

For businesses operating in these exempt sectors, HR will need to map out their workforce planning and take into account any forecasted contract conversions, especially as the employees who were hired before the limitations took effect reach the end of their fixed term.

“You need to understand whether any exemptions apply,” says Stewart. “If they don’t, then it’s necessary to shift those workers onto new, ongoing contracts.

“The important thing to bear in mind is that if there’s a change in the funding of the organisation or its business operations which means that an employee is no longer required, then you might be in a redundancy situation.

“You [will] need to think about making financial provisions for this possibility.”

3. Leave entitlements

The Albanese government has committed to amending the Fair Work Act 2009 to legislate for employer-paid parental leave in the event of a stillbirth and early infant death. There is currently no timeline set for this reform.

While this impacts select businesses, it holds implications for potential further regulation of employer-funded benefits, says Stewart.

Another proposed change is the push for paid reproductive health leave, with the Greens backing changes to the National Employment Standards and awards to introduce 12 days of paid reproductive leave per year. 

The government has not currently committed to this, with Minister Rishworth citing a focus on election promises.

How you can get prepared:

Employers offering parental leave in addition to the government’s parental leave pay may already have policies around bereavement leave. If successful, the amendment will mean harmonising those to include specific clauses around stillbirth and keeping managers informed on the change. 

Regardless of the outcomes of these policies, it’s worth proactively having conversations around topics such as reproductive health as tackling gender inequality becomes a key priority for businesses. 

“We’ve seen in the past how parental leave and family and domestic violence leave were picked up voluntarily by a lot of organisations well before they were required to because those organisations wanted to be employers of choice,” says Stewart.

An important starting point is to assess your current policies and values to determine the potential impacts and benefits of implementing a form of reproductive leave or modifications to your flexibility policy, such as including menstrual or menopause leave.

4. Award changes

Alongside the government’s boost to the national minimum wage from July 2025, five awards are set for award rate increases and reclassifications, based on the Fair Work Commission’s landmark gender undervaluation ruling earlier this year.

The FWC found five awards covering female-dominated industries do not provide equal remuneration for work of comparable value. To fix this, these awards will be modified:

• Aboriginal and Torres Strait Islander Health Workers and Practitioners and Aboriginal Community Controlled Health Services Award 2020
• Children’s Services Award 2010
• Health Professionals and Support Services Award 2020
• Pharmacy Industry Award 2020
• Social, Community, Home Care and Disability Services Industry Award 2010.
  

The decision comes after amendments to the Fair Work Act 2009 through the Secure Jobs, Better Pay Act 2022 required the FWC to actively consider gender equality when setting minimum award rates.

How you can get prepared:

“Employees and the regulator will expect businesses to move to compliance quickly. But it’s not that simple when you have multiple functions that will need to change processes, systems and rules to get ready,” says Junkeer. 

“You have to understand which cohorts are impacted and then map it out. For example, the changes to the Children’s Services Award include phased pay increases, while the Health Professionals and Support Services Award changes impact different groups in the award.”

For organisations directly impacted, she says, the place to start is by signing up to the FWC’s website and relevant pages to receive real-time updates. 

As most awards are still in consultation, it’s essential HR practitioners track timelines closely, adds Junkeer. 

“The impact of this work can’t be underestimated. If employers fail to implement the award changes in time, they could be exposed to breach claims for underpayment under the Fair Work Act 2009.”

To approach the changes, it can be helpful to break down the preparation required, such as: 

• Identifying which business functions will be affected.
• Reviewing pay practices, contracts and payroll systems to align these with adjusted rate increases, taking base pay, loadings, penalties and other allowances into account.
• In the case of classification changes, reviewing and reassessing position descriptions, contracts and onboarding documents against the reclassifications to minimise the risk of breach and underpayment claims.

In addition to immediate adjustments, businesses with enterprise agreements should factor these wage increases and/or reclassifications into the next round of bargaining.

What else is on the government’s agenda?

Other important potential  changes HR should be aware of include:

• The national minimum wage increases to $24.95 per hour or $948 per week for full-time workers (as of July 2025).
• The Right to Disconnect legislation comes into effect for small businesses (as of August 2025).
• Eligible casuals at small businesses have access to a pathway to permanent employment: the Employee Choice Pathway (as of August 2025).
• Under new regulations to be introduced, Victorian employers are likely to be required to identify and control psychosocial hazards in the workplace. This aligns all states under model work health and safety laws, with psychosocial risk management now a legal obligation for all Australian employers (as of December 2025).
• Payday Super requires employers to pay superannuation at the same time as wages and salaries. The changes are scheduled to commence on 1 July 2026.

Still a lot to get across

While commentators agree a rehash of radical legislative changes is unlikely to play out, HR practitioners will need to stay vigilant. 

“The volume and complexity of [change] means it’s a lot to get across when HR practitioners are undertaking their business-as-usual activities,” says Junkeer. 

She advises practitioners to lean on their collegiate network for knowledge sharing, especially with approaching changes impacting several sectors. It’s also important that HR practitioners seek legal advice where relevant, since many of these reforms are highly specialised.

Above all, proactive planning with stakeholders across the organisation can help businesses navigate an evolving industrial landscape. 

“What is ahead now for HR practitioners is ensuring they understand how different phases of the changes are being implemented in the next few years, and continuing to stay
on top of them.” 

A longer version of this article first appeared in the August/September 2025 edition of HRM Magazine, exclusive to AHRI members.