This Christmas Feels Different: Shutdowns, Leave and the Right to Disconnect

For many Australian businesses, December is usually a mix of deadlines, Christmas parties and trying to get everyone on leave at the right time.

This year there’s an extra layer: the new “right to disconnect” is bedding in at the same time as shutdown rules and annual leave obligations. For employers, the holiday period is now a live test of how clearly you set boundaries and how well you manage time off.

What the Right to Disconnect Actually Means

Recent changes to the Fair Work Act give employees a right to disconnect from work outside their ordinary hours, which means they can:

  • Refuse to monitor, read or respond to work contact (calls, emails, messages) outside working hours

  • Unless that refusal would be unreasonable in the circumstances

The law doesn’t ban after-hours contact. It focuses on reasonableness. When working out whether an employee’s refusal is unreasonable, things like these are relevant:

  • Why you are contacting them (genuine urgency vs convenience)

  • How often you contact them out of hours

  • Their role and level of responsibility

  • Whether they are compensated or formally “on call”

  • Their personal circumstances (for example, caring responsibilities)

Importantly, the right to disconnect is now a workplace right. That means you can’t take adverse action against an employee (for example, cutting hours or overlooking promotion) because they reasonably push back on out-of-hours contact.

Shutdowns, Annual Leave and Notice

At the same time, many modern awards now have refreshed temporary shutdown clauses:

  • Employers can usually require employees to take paid annual leave during a shutdown, but only if the award or enterprise agreement allows it

  • Most awards require at least 28 days’ written notice of a shutdown and the requirement to take leave

  • If there is no shutdown clause, you generally cannot force unpaid leave – you need agreement

So you may be asking people to use leave while also needing to respect their right to be properly “off” once that leave starts.

Why This Matters Now

Put simply:

  • Staff will be on annual leave or during a shutdown

  • You may still need someone to deal with genuine issues

  • Old habits (texting people at all hours, late-night emails) now sit uncomfortably against the new legal framework

This holiday period is a live test of your culture: do you respect people’s time off, or do you treat it as “always available unless they complain”?

Practical Actions Before the Break

You don’t need a 30-page policy to get this right. A few clear, practical steps will do most of the heavy lifting.

Get honest about your current habits

Ask yourself (and your managers):

  • Who do we regularly contact out of hours?

  • How often is it genuinely urgent?

  • Are any employees effectively “on call” with no formal arrangement or compensation?

Even an informal stocktake will highlight where you need to tighten things up.

Set simple boundaries for the holiday period

Decide and communicate some basic rules, for example:

  • During shutdown/leave, contact will be limited to genuine emergencies affecting safety, security or critical operations

  • Non-urgent matters will be emailed or added to a task list to be dealt with when staff return

  • If someone needs to be on call, that will be agreed in advance, documented and paid in line with the relevant award

This can be a short paragraph in your shutdown or leave communication – it doesn’t need to be complex.

Align your shutdown notice and your contact expectations

If you are closing over Christmas and New Year:

  • Check the relevant award shutdown clause and notice rules

  • Confirm shutdown dates, leave requirements and pay arrangements in writing

  • In the same notice, spell out what employees can expect in terms of contact (for example, “no expectation to check email while on leave”)

This shows you have genuinely considered both leave and the right to disconnect in one go.

Brief your managers

Most day-to-day issues will come from managers, not owners.

Give them a short briefing and some examples of:

  • Reasonable contact (genuine emergencies, pre-agreed on-call arrangements)

  • Likely unreasonable contact (late-night texts about non-urgent tasks, repeated calls on annual leave)

Provide some simple phrases they can use with clients (“We’re in shutdown but our on-call manager can help if it’s urgent”) and with staff (“No need to check emails while you’re on leave – we’ll catch you up when you’re back”).

What If You Get It Wrong?

If you ignore the new framework:

  • Employees may complain internally, go to the Fair Work Ombudsman or raise a dispute in the Fair Work Commission

  • The Commission can make orders about contact and boundaries, and breaching those orders can lead to penalties

  • You may also face general protections claims if adverse action is linked to someone exercising their right to disconnect

Beyond the legal risk, constant after-hours contact erodes trust and burns people out. That’s expensive in recruitment, retention and productivity terms.

Bringing It Together for 2026

The message from all of this is simple:

  • Be clear about when people are working and when they’re not

  • Pay them correctly for the time they genuinely work

  • Don’t treat personal time as an unlimited extension of the workplace

This holiday season is a chance to reset expectations, not just tick a compliance box.

If you put in place a few clear boundaries now – around shutdowns, annual leave and after-hours contact – you’ll start 2026 with fewer disputes, better engagement and a much stronger story to tell your team about how you respect their time.

If you’re not confident your shutdown plans, leave processes or after-hours expectations align with the current Fair Work framework, Winnchester Consulting can help. Book your consultation now.

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