Given the recent increase in COVID-19 cases across Australia, employers want clarification around leave provisions for employees who have tested positive, or who are considered close contacts. Employers may also be concerned about employee eligibility for government payments, as they potentially face financial hardship when having to pay out personal leave entitlements on a wider scale than before.
1. Personal Leave Provisions for Employees
Full and part time employees are entitled to paid accrued personal leave if they have contracted COVID-19. If they have not accrued sufficient personal leave, they may access other forms of leave entitlements, including annual and long service leave. If no accrued entitlements exist, a period of unpaid leave may be considered.
2. Employees who are Close Contacts
Full and part time employees required to self-isolate or quarantine after becoming a close contact may use any accrued annual or long service leave entitlements if available. If they don’t have enough appropriate leave accrued, then an employer and employee should discuss flexible working arrangements which can include working from home if practical, or a period of unpaid leave.
As for personal leave in this case, an employee must be sick to access this and just being a close contact will not entitle an employee to use personal leave.
It is also important to note that if an employee on annual leave or any other type of leave subsequently becomes sick, they can request to have personal leave substituted for the relevant period, with their annual leave balance recalculated. You won’t have to pay annual leave loading (if applicable) for substituted periods of personal leave.
3. Pandemic Leave Disaster Payment
As of 27 January 2022, a government payment of $450.00 (if an employee has lost 8 hours but less than 20 hours of work) or $750.00 (if an employee has lost 20 or more hours of work) can be accessed by eligible employees for each 7-day period of self-isolation, quarantine, or caring.
Eligibility criteria for employees includes:
- quarantining because of having COVID-19
- being a close contact of a person with COVID-19
- a child under 16 they care for is a close contact of a person with COVID-19
- caring for someone with COVID-19
- caring for someone with a disability or severe medical condition who is isolating as a close contact of a person with COVID-19
- no remaining personal leave entitlements
- not having liquid assets of more than $10,000 on the first day of the period claimed for
Employers should note that although a worker must generally have used up accrued available personal leave before accessing this payment, they can still apply if the business is suffering financial hardship and cannot pay out the leave entitlements. However, note that where an employee is ineligible for personal leave, for example where they are not feeling unwell but are required to isolate as a close contact, they can then access this payment directly without reference to their accrued personal leave balance.
4. COVID-19 Test Isolation Payment (VIC)
As of 27 January 2022, an employee who has taken a PCR test (not rapid-antigen test), or who is a carer for someone who has taken a PCR test within the previous two weeks may be eligible for this government payment of $450.00. An employee cannot claim this payment in addition to the Pandemic Leave Disaster Payment for the same period and must not have received any income or earnings during the self-isolation period.
5. Evidence Requirements
There have been no changes to evidence requirements when accessing personal leave. If requested, the provided evidence must satisfy a reasonable person that the employee is not fit for work. This is usually satisfied with a medical certificate or statutory declaration.
In addition, requiring specific testing information, or detailed personal health information from employees, would create extra privacy obligations for employers under the Privacy Act 1988 (CTH). Therefore, employers should limit the collection, use and disclosure of sensitive information where possible.
Further Information and Assistance
If you require further assistance during this difficult period, please contact Constructive Workplace Solutions at info@portal.businesssolutionshub.com.au or via our Contact Us page.
If you would like to discuss your privacy obligations to employees and/or obtain a privacy policy, please contact Constructive Legal Solutions at admin@constructivelegalsolutions.com.au.
