Impact of New “Right to Disconnect” Law on Employers

Legal
May 21, 2024

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With the implementation of the “Right to Disconnect” law, small to medium businesses must prepare for changes in managing employee communications outside standard working hours. This legislation takes effect on 26 August 2024 for non-small business employers and on 26 August 2025 for small business employers, marking a significant shift in workplace relations.

Overview of the “Right to Disconnect”

The “Right to Disconnect” allows employees to refuse contact outside regular working hours. This includes emails, calls, texts, or work-related messaging. Employees are not required to engage in work-related communications during their time unless such refusal is deemed unreasonable based on specific criteria.

Employers must assess several factors to determine if an employee’s refusal to engage outside working hours is unreasonable:

Urgency and reason for contact: Can the matter wait until the next working day?
Compensation for availability: Is the employee compensated for being available or working additional hours?
Role and responsibilities: Does the role require flexibility in availability?
Personal circumstances: Are there family or caring responsibilities to consider?

Compliance Requirements

By 26 August 2024, all awards must include a “right to disconnect term” explaining how this right applies across different industries and occupations.

What Employers Need to Do

Employers should review employment contracts and position descriptions to ensure that working hours, availability, and remuneration clauses align with the new legislation. Additionally, updating policies and procedures governing after-hours communication is essential to respect the new right to disconnect. Training is crucial; therefore, managers and employees must be educated on the new law’s implications. Managers should understand the legal boundaries, and employees should know their rights.

To address potential conflicts, employers must establish a procedure for resolving disputes related to the right to disconnect. If internal resolution fails, the Fair Work Commission can enforce compliance. This comprehensive approach ensures that businesses are well-prepared to adapt to the new regulations while maintaining a productive and respectful workplace.

Potential Challenges and Enforcement

Employers must not take adverse action against an employee who reasonably refuses contact outside working hours. Non-compliance can lead to civil penalties, similar to other areas regulated by the Fair Work Act.

Preparing for Compliance

The “Right to Disconnect” law promotes better work-life balance. Employers must review current practices, contractual obligations, and workplace culture. Assess the necessity of after-hours contact and consider the impact on employees’ personal lives versus their remuneration. Open a dialogue with employees about their preferences for being reached outside work hours.

AFP Accounting & Advisory is ready to assist businesses in adapting to these changes, ensuring compliance with the new law and maintaining a healthy, productive working environment. Contact us to ensure compliance before the new law is enforced.

If you’re not actively managing your loan, chances are you’re paying more than you need to — and missing out on savings of $50 a week or more.

Whether it’s a mortgage, personal loan, or asset finance, small tweaks can unlock big savings. At AFP Finance & Loans, we’ve helped clients reduce repayments by over $2,600 a year — without changing their lifestyle or taking on more risk.

This article breaks down practical, proven ways to help you save around $50 each week on your repayments — and why working with a broker enables you to reach your goal of paying off your loan more easily.

1. Lower Your Rate

One of the simplest ways to save $50 a week is by securing a better interest rate. According to findings by PEXA, homeowners who refinanced to a new lender saved an average of $1,908 per year (nearly $37 per week) compared to just $384 annually for those who stayed with their original lender.

The kicker? Existing customers often pay 0.21% more than new customers. That small difference could mean an extra $70 each month on a $526k mortgage.

Refinancing through a trusted broker at AFP Finance & Loans ensures you’re not just accepting the status quo. We compare lenders, negotiate better terms, and help you avoid hidden costs.

Tip: If your rate drops, keep repayments the same to pay off your loan faster and save more in interest.

2. Switch to Weekly or Fortnightly Payments

Most people don’t realise they can make an extra month’s repayment each year just by switching from monthly to fortnightly payments.

If your lender calculates interest daily, this simple change can cut years off your loan and save thousands in interest.

While more frequent payments may not free up the whole $50 immediately, the compound savings are significant over time.

3. Use an Offset Account

Do you have savings sitting in a separate account? You could be missing an opportunity to save $50 each week in interest.

An offset account is a type of bank account linked to your loan. The balance in this account is used to offset the principal (the amount you still owe) — meaning the interest you pay is calculated on a reduced balance.

An offset account allows your money to shrink your loan amount, without locking your savings away. Funds remain fully accessible — but while they sit in the account, they’re actively working to lower the interest you pay (without any extra repayments).

For example, keeping $50,000 in offset on a 6% loan saves about $3,000 a year — or $57 a week — making every dollar work harder for you.

4. Cut Hidden and Ongoing Fees

Fees can quietly erode your savings. Annual package fees can range from $300 to $400, and monthly service fees still exist on many products.

By switching to a low-fee alternative or refinancing smartly, you could reduce your outgoings by $10–$15 a week. We review fee structures and recommend lenders who offer genuine value — not just teaser rates.

Why Work with a Broker?

From refinancing and rate shopping to offset structuring and fee analysis, you will be supported from start to settlement with AFP Finance and Loans. We’ll act on your behalf, comparing options and securing better terms.

With access to over 50 lenders on our accredited panel, AFP Finance & Loans assists clients with residential loans, commercial loans, personal loans, investment finance, and more. We do the heavy lifting so you can focus on what matters to you.

How to Start Saving $50 a Week, Today

You came here to save $50 a week on your loan, and by now you should see it’s easier than it sounds.

Many people overpay without realising. However, with better advice and a few simple adjustments, you can lower costs, improve cash flow, and stay on track financially.

The next step? Get expert eyes on your current agreement. AFP Finance & Loans can help you reduce repayments, avoid fees, and structure your loan repayments to serve your goals.

Book your loan review today to put $50 a week back where it belongs: in your pocket.