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Upcoming workplace law changes in Australia: What employers need to know


gavel 2026

Significant reforms are on the horizon for Australian workplaces. From the inquiry into the National Employment Standards (NES) to upcoming bans on non-compete clauses, new payday super requirements, and restrictions on non-disclosure agreements in sexual harassment cases, these changes will impact employment contracts, payroll processes, and workplace policies.

This article outlines what’s happening, when changes take effect, and practical steps your business can take to stay compliant and prepared.

Inquiry into National Employments Standards (NES)

On 27 November 2025, the House of Representatives Standing Committee on Employment, Workplace Relations, Skills and Training commenced an inquiry into the operation and adequacy of the National Employment Standards under the Fair Work Act 2009 (Cth). 

Key areas under review

The inquiry will consider: 

(a)    the objective and purpose of the NES and its entitlements;
(b)    if the NES is fit for purpose, having regard to the changing nature of work;
(c)    the role of the NES in promoting the objectives of the Fair Work Act;
(d)    the adequacy, relevance and coherence of existing NES entitlements;
(e)    the effectiveness and application of the NES, including exploring opportunities of technical improvement;
(f)    the interaction of the NES and other workplace instruments;
(g)    the types of workers covered by the NES and their differences in experience of the NES;
(h)    whether there are any gaps in data information about any of these matters; and 
(i)    other related matters. 

The following provisions and their operations will be excluded from the scope of the review on the basis that separate statutory reviews have either occurred or will occur:

  • Flexible Working Arrangements
  • Casual Employment
  • Parental Leave
  • Family and Domestic Violence Leave.

However, this does not prevent broader consideration of the interaction of these provisions with other NES entitlements.

What employers should do now

  • Monitor developments. Australian Business Lawyers & Advisors will be keeping a close eye on key developments with this inquiry. You can subscribe to receive our alerts via email.
  • Review current compliance. The Inquiry presents a good opportunity to audit any existing policies and contracts and ensure that they align with the NES entitlements. 
  • Prepare for potential changes. Identify areas within policies and contracts where additional entitlements may be introduced.
  • Engage in the consultation process. The Inquiry Committee invites individuals and organisations to send their opinions proposals and do so in writing, For more details you can read more on the Parliament of Australia website page. 

Ban on Non-Compete Clauses by 2027

In March of 2025, the Treasury of the Albanese Government announced that as part of its 2025/2026 budget, it would be taking action to stop unfair non-compete clauses, especially where the non-compete clauses have no justification and drag down wages. 

The ban on non-compete clauses will apply to workers earning less than the high-income threshold in the FW Act (currently $183,100 per annum). 

The Treasury will also be considering and consulting further on non-solicitation clauses for clients and co-workers, no-poaching agreements, wage-fixing agreements and non-compete clauses for high-income workers. 
Following consultation and the passing of legislation, the reforms will take effect from 2027. The new reforms will operate prospectively to give businesses and workers time to adjust. 

Steps to prepare your business

  • Audit existing employment contracts. Identify roles with non-compete clauses, especially those below the high-income threshold.
  • Plan for removal and modification of non-compete clauses. Begin drafting alternative protections, such as confidentiality clauses, that would comply with the new laws. 
  • Communicate early. Inform leadership and HR teams about upcoming changes to avoid potential enforceability issues. 
  • Review current data accessibility permissions across your company to ensure sensitive data is shared with essential personnel only and cannot be downloaded to personal drives.

Payday Superannuation from July 2026

The Australian Government announced that from 1 July 2026, employers will be required to pay their employee’s superannuation guarantee (SG) at the same time as their salary and wages, instead of the current regime that allows employers to pay this amount quarterly.

New requirements for employers

  1. The new law will:Require employees to ensure super contributions are received by the employee’s fund within seven business days of payday, or they will be liable for the superannuation guarantee charge;
  2. Help the Australian Taxation office enforce the law and more quickly identify employers who do not make contributions.

Compliance tips for payroll teams

  • Update payroll systems. This will ensure capability to process super contributions at the same time as wages.
  • Train payroll staff. Ensure that the appropriate teams are educated on new compliance requirements and deadlines.
  • Engage with super funds. Confirm processing timelines to meet the new requirements

Restrictions on NDAs in sexual harassment cases

On 2 December 2025, the Restricting Non-disclosure Agreements (Sexual Harassment at Work) Bill 2025 (Vic) was passed, and Victoria is set to become the first Australian Jurisdiction to significant reduce the use of non-disclosure agreements (NDAs) in the workplace sexual harassment cases. 

The Act is to commence on 1 November 2026 and will not operate retrospectively.

Key provisions of the Victorian law

The key restrictions imposed under the Act include the following: 
(a)    a complainant needs to request, at their free will and express wish, to enter into a Workplace Non-Disclosure Agreement (Agreement) before it can be done so;
(b)    after requesting the Agreement and before entering into the Agreement, the complainant must be given a copy of the Agreement;
(c)    the complainant must be given at least 21 days to review the Agreement (unless the complainant requests a shorter review period or waives the period);
(d)    The Agreement needs to be written in plain language; and 
(e)    a person who enters into an Agreement with a complainant must ensure to give the complainant a copy of the signed Agreement and an acknowledgement that preconditions in the Act are met. 

It is expected that other states will introduce similar measures in the coming months and we will keep you updated on these developments.

How to update policies and templates

  • Review NDA templates. Ensure compliance with new requirements and preconditions
  • Train those responsible. Educate HR teams and any other relevant personnel on restrictions and consent requirements for NDAs
  • Update policies to reflect the Act’s updated provisions in the workplace.

If you need any assistance in review your policies or this article has raised concerns for your business, get in touch for a confidential discussion.

If your business hasn't exercised their positive duty obligations to eliminate sexual harassment and other unlawful behaviour, have a look at the toolkit we have created to streamline the process for your business.
 

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