Why It’s Crucial to Update Employee Contracts and Handbooks in Every New Financial Year
As we step into the new financial year, it’s not just budgets and forecasts that need reviewing — your employee contracts and handbooks must also be updated. For every business, this is not just best practice but a legal and ethical responsibility.
The Fair Work Commission has announced a 3.5% increase to the national minimum wage and award wages, effective 1 July 2025. This change must be reflected in your employment contracts. Failing to update pay rates in writing can lead to confusion, disputes, and even penalties for non-compliance.
But contracts aren’t the only documents that need attention. Your Employee Handbook must also be reviewed to reflect any changes in legislation, workplace policies, and entitlements. This includes updates to the Right to Disconnect, workplace flexibility, and leave entitlements — just to name a few. A well-maintained handbook ensures that your team understands their rights, responsibilities, and the culture of your company.
Once updates are made, it is mandatory to provide all employees with the revised contract and handbook. Every employee should sign and acknowledge receipt of the new documents. This protects both the employer and employee by ensuring mutual understanding and up-to-date compliance with workplace laws.
Regularly reviewing and issuing updated employment documentation builds trust, supports transparency, and reduces risk. It also ensures your business is future-ready and legally sound.
If you’re unsure how to navigate these updates or need assistance reviewing or implementing changes, HR Bridge is here to help. Our team can guide you through the process, ensuring full compliance and peace of mind.