Australia

• New Year’s Day
• Australia Day
• Good Friday
• Easter Monday
• Anzac Day
• Christmas Day (except Heard & McDonalds Islands)
• Boxing Day (except Heard & McDonalds Islands)
• Additional state public holidays (such as the King's Birthday and Labor Day)

Working Hours

Employees can work up to 38 hours a week, or 40 hours with half a day's holiday given every four weeks.

Minimum Wage

As of 1 July 2024, the national minimum wage has increased by 3.75% and is now AUD 24.10 per hour, based on a normal working week of 38 hours.

Employee Tax

Annual income	Tax rate
Up to AUD 18,200	0%
AUD 18,201- 45,000	19%
AUD 45,001 - 120,000	32.5% + AUD 5,092
AUD 120,001 - 180,000	37% + AUD 29,467
More than AUD 180,000

Bonuses

Bonuses are common in Australia, but there are no statutory bonus schemes.

A common law contract is required in Australia. It should detail all the rights and obligations of the employer and employee(s).

Australian employment contract types include award letters and enterprise agreements. One contract can cover a single employee or a group of staff.

Annual Leave

Minimum of four weeks' paid holiday per year.

Sick Leave

At least ten days' paid annual sick and care leave, which can be used if the employee is unwell, or to care for someone else.

Parental Leave

• Maternity leave: up to 18 weeks' paid leave, plus the option to request up to 12 months' unpaid leave.
• Paternity leave: up to 2 weeks' paid leave, plus the option to request up to 12 months' unpaid leave.
• Parental leave (paid): as of 1st July 2024, eligible employees caring for a newborn or recently adopted child can receive a state-funded benefit, known as Parental Leave Pay, of up to 22 weeks.
  
  From 1 July 2025, eligible employees will receive parental leave pay up to 24 weeks, and up to 26 weeks from July 2026.

Termination Process

Employers in Australia can terminate a contract provided they give notice in line with legal requirements.

Additional grounds for termination include:

• Misconduct (including theft, assault, fraud, and failure to follow reasonable instructions)
• Conduct that jeopardises the business or a person's health and safety
• Redundancy

Employees can also give notice of termination in line with their contract terms.

Severance Pay

Employees are entitled to 4-16 weeks' severance pay depending on their length of service.

Under a Mauve Group Employer of Record solution, clients and workers can reap the benefits of Mauve’s Global Master Insurance Programme – a market-leading unified corporate insurance programme that connects all Mauve entities to its two preferred providers.

The insurance provides coverage in overseas locations through a combination of the master policy and its linked local policies, where required by law in certain jurisdictions.  The policies include:

• Employer’s Liability and Public Liability - £10,000,000 combined limit.
• Professional Indemnity - £5,000,000 limit.
• Worker’s Compensation – Limit is dependent on location of work.

For specific information about statutory and recommended insurances in your chosen country, get in touch with Mauve.