Right to Disconnect 2026: Compliance Guide for Employers

Payroll 3 min read By the Supertax team

Late emails. Weekend messages. “Quick” after-hours requests.

For many businesses, this has been normal.
But under Australia’s Right to Disconnect law, this is now a compliance issue — not just workplace culture.

If employees can legally refuse unreasonable after-hours contact, your business must have clear rules, systems, and payroll processes in place.

What Is the Right to Disconnect Law in Australia?

The Right to Disconnect allows employees to:

  • Refuse to monitor, read, or respond to work communications
  • Outside their ordinary working hours
  • Unless the refusal is considered unreasonable
  • Key point:
  • It’s not about how politely a message is sent —
  • It’s about whether the contact itself is reasonable

What Has Changed for Employers?

The law does NOT ban after-hours contact.

It requires employers to assess:

  • Timing of contact
  • Purpose of communication
  • Role of the employee
  • Urgency of the situation
  • Example:
  • Emergency payroll issue = may be reasonable
  • Routine admin request at night = usually not reasonable

Why This Is More Than an HR Issue

This law directly impacts:

  • Payroll
  • Timesheets
  • Overtime / time in lieu
  • Recordkeeping
  • ATO compliance

If an employee works after hours, even briefly:

  • It may count as paid work
  • It must be recorded properly
  • It may affect super & wage compliance

When Does This Law Apply?

Business Size Start Date
More than 15 employees 26 August 2024
Fewer than 15 employees 26 August 2025

For small businesses:
You must be fully compliant before August 2026

The 5 Key Factors of “Reasonable Contact”

Employers must assess:

  • 1 Reason for contact (urgent vs routine)
  • 2 Level of disruption (email vs repeated calls)
  • 3 Employee role & pay level
  • 4 Personal circumstances (family, health, etc.)
  • 5 Existing agreements or policies

What Reasonable Contact Looks Like

Acceptable:

  • Emergency system failure
  • Security or compliance issue
  • On-call employee contacted

Risky:

  • Late-night “quick questions”
  • Routine follow-ups
  • Group messages without clear responsibility
  • Expecting instant replies

Employer Obligations (Practical Requirements)

You must be able to show:

  • Why contact happened
  • Who approved it
  • Whether response was required
  • If work was performed how it was recorded & paid

If your system relies on WhatsApp, texts, or calls
You likely have a compliance gap

Step-by-Step Compliance Plan

1 Audit After-Hours Communication

  • Emails, Teams, WhatsApp, SMS
  • Who contacts staff
  • Frequency & expectations

2 Define Ordinary Working Hours

  • Clear hours per role
  • On-call arrangements
  • Availability expectations

3 Categorise Contact Types

Type Action
Routine Wait until next day
Time-sensitive Escalate carefully
Emergency Contact allowed

4 Train Managers

  • Apply “reasonableness” test
  • Use delayed emails
  • Avoid unnecessary contact
  • Document urgent cases

5 Link to Payroll Systems

  • Record after-hours work
  • Track approvals
  • Separate ordinary vs extra time
  • Align with Xero / MYOB

6 Create Dispute Process

  • Clear escalation path
  • Record issues
  • Internal resolution steps

Right to Disconnect Policy Checklist

  • Defined working hours
  • Clear after-hours rules
  • Emergency contact process
  • Response expectations
  • Payroll recording system
  • Manager training
  • Employee escalation pathway

Common Mistakes Employers Make

  • Treating it as HR-only issue
  • No record of after-hours work
  • Managers creating informal expectations
  • No clear urgency definition
  • Payroll & contracts not aligned

Where the Risk Actually Happens

The biggest issue is poor recordkeeping.

If after-hours work happens but is NOT recorded:

  • Wage disputes can arise
  • Super obligations may be affected
  • ATO & Fair Work risk increases

Practical Fix for Small Businesses

  • Create one approval system for after-hours work
  • Record time in payroll/timesheets
  • Assign manager responsibility
  • Review records each pay cycle

Frequently Asked Questions

Can employees refuse after-hours calls?

Yes, unless refusal is unreasonable

Does this ban all after-hours contact?

No — only unreasonable contact

Do small businesses need a policy?

Yes, strongly recommended

What if employee works after hours?

Must be recorded and may require payment

Does seniority matter?

Yes, part of reasonableness test

Final Takeaway

This law is about control + documentation

If your business:

  • Sends after-hours messages
  • Expects quick replies
  • Doesn’t record extra time

You are exposed to compliance risk

How Supertax Helps

  • Payroll system setup & compliance
  • Xero / MYOB workflow alignment
  • Award & wage compliance review
  • Recordkeeping system design
  • Business advisory support

CONTACT SUPERTAX

Website: https://supertax.com.au/

  • Suite 1, 7 Bridge St, Werribee VIC 3030
  • (03) 7074 8818
  • info@supertax.com.au

This article contains general information only and does not take your personal circumstances into account. Tax and superannuation rules change, and some measures discussed may be subject to legislation. Speak with a registered tax agent before acting.

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