As of 26 August 2025, the new casual employment rules under the Fair Work Act are fully rolled out and now apply to small employers (those with fewer than 15 staff). If you employ a nanny, housekeeper, au pair, or other domestic staff, here’s what you need to know.
Who is a casual employee?
Under the new rules, someone is considered a casual employee if:
- there’s no promise of ongoing, guaranteed hours, and
- staff are paid the casual loading (currently 25% on top of the base rate).
For employers?
Employers must provide:
- the Fair Work Information Statement (to all new employees at the start of employment), and
- the Casual Employment Information Statement (to all casuals at the start, and again after 12 months).
The right to go permanent
The biggest change is that eligible casuals can now ask to become permanent part-time or full-time employees.
- For small employers, the casual employee must have been with you for at least 12 months, working regular, ongoing hours.
- Employers can only refuse on reasonable, documented grounds.
- The Fair Work Commission can step in if there’s a dispute.
Important protections
Employers must not:
- Cut hours or change rosters to stop someone becoming eligible.
- Dismiss or treat an employee unfairly for making a request.
These rules make sure the process is fair and transparent.
What this means for domestic employers
This change applies to families employing nannies, housekeepers, au pairs, and other domestic staff under the Fair Work Act and the Miscellaneous Award.
These changes don’t apply to most WA-based employers, who follow local rules instead.
While some employers worry about the costs of permanent staff (like paid leave), here’s the upside:
- Good quality staff often prefer the security of leave entitlements.
- Payroll software makes leave accruals simple to manage.
- The cost difference can balance out, since you don’t pay the 25% casual loading.
Need help?
Our Domestic Payroll DIY Pack and Gold Service take the stress out of payroll, so you can stay compliant while keeping things simple.
