By Catherine Ngo Content writer, presenter and podcaster

The Fair Work Commission (FWC) has initiated a significant case that may influence millions of Australian employees' working from home privileges. The FWC intends to investigate including a working from home term within the Clerks Private Sector Award 2020, the most prevalent Award where work-from-home arrangements are likely to occur.

"The term is intended to be one which facilitates employers and employees making workable arrangements for working at home and removes any existing award impediments to such arrangements," the FWC said in a statement.

As noted by the Commission, working-from-home arrangements require priority consideration due to their significant impact on work-life balance.

"The term that is developed may serve as a model for incorporation in other modern awards, with or without adaptation," the FWC added.

Review could remove impractical barriers

Employer Groups have long advocated for the practical flexibilities proposed by the Commission during the Review. These changes would enable clerical staff and their employers to establish work-from-home arrangements, provided that both parties agree. Various technical barriers within the Clerks - Private Sector Award 2020 would need to be removed to facilitate this.

Millions of employees are covered by the Clerks Award, where a substantial portion have been working remotely for a considerable time. Additionally, they are more likely to be employed at a small or medium-sized Australian business. 

Employers have argued that it is essential to acknowledge that work-from-home setups might not always be appropriate. They should not be obligated to consent to such arrangements unreasonably, especially when operational factors make them impractical.

The Fair Work Act has existing provisions allowing specific employee categories to request remote work or other flexible arrangements. It is believed that awards should not add complexity or regulations beyond these provisions. Matters like these are best managed within each enterprise, fostering mutual discussion and collaboration between employers and employees.

History of working from home arrangements in the Clerks Award

Working from home provisions are not currently a feature of modern awards. However, it was temporarily inserted as Schedule I into the Clerks Award to facilitate working from home arrangements during the COVID-19 pandemic.

In a decision of 6 October 2020, considering whether an extension to the initial Schedule was warranted, a Full Bench of the Commission observed the lack of a specific provision in the Clerks Award to accommodate working from home arrangements, indicates the need to assess whether modifications to the Award are necessary to establish more permanent means of facilitating such arrangements. 

The extension of Schedule I offers an opportunity for the parties involved to evaluate the need for a more lasting solution and, if required, to determine the appropriate form that solution should take.

On 22 December 2020, the Full Bench granted an application to vary Schedule I and further extended its operation until its cessation on 30 June 2021.

The hearing is set for 13 September 2024

Read more into the FWC statement on the variation on the Commission's own initiative — Clerks—Private Sector Award 2020 here.

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