Why the right to disconnect law should serve as a wake-up call

Proritising employees’ wellbeing and supporting them to achieve a better work-life balance should not come about only because of legislation.
By: | September 25, 2024

The right to disconnect workplace era in Australia has begun.

Since last month, employees working for organisations with a headcount of more than 15 can refuse to monitor, read or respond to contact or attempted contact from their employers.

This means that while managers can send an email after official work hours, employees are not obliged to respond unless it is deemed ‘reasonable’ for them to do so. Any disputes arising over the “reasonableness” of an employee refusing to respond to work communications outside of work hours will be adjudicated by Australia’s Fair Work Commission.

While the discourse over the necessity of the ‘right to disconnect’ law will continue – Australia, after all, is not the first country to introduce such legislation – forward-thinking workplace leaders can transcend the chatter by truly understanding how the legislation will reshape the workplace and elevate the focus on employee wellbeing, said Dr Fiona McIntosh, Partner at Heidrick & Struggles and Heidrick Consulting Lead in Melbourne.

She told HRM Asia, “In today’s fast-paced environment, where burnout and fatigue can significantly undermine individual performance, this bill offers a critical opportunity for organisations to reset their approach to company culture and flexible working.”

According to research by Heidrick & Struggles, 71% of global CEOs identified a strong company culture as a key driver of financial performance and success. They are increasingly focusing on culture by proactively engaging employees, providing an inclusive and psychologically safe workplace, and creating an environment where leaders genuinely care about their teams.

Leaders must take the lead in modelling work-life balance, clearly defining after-work boundaries, and encouraging employees to disconnect.” – Dr Fiona McIntosh, Partner at Heidrick & Struggles and Heidrick Consulting Lead in Melbourne.

This is why embedding the principles of the right to disconnect law into workplace policies goes beyond just compliance. “It’s about creating a sustainable, engaged workforce,” Dr McIntosh explained. “Leaders must take the lead in modelling work-life balance, clearly defining after-work boundaries, and encouraging employees to disconnect. A way to promote wellbeing is to ensure employees feel heard and that they are engaged in decision-making processes that affect them.”

An advocate of creating a work environment that fits around life, Jo Scard, CEO and Founder of Fifty Acres, applauds the right-to-disconnect law as a positive move towards protecting work-life balance.

As a virtual strategic communications agency with team members spread across Australia and Singapore, flexibility is paramount for Scard and her team, although she was quick to add, “But that flexibility must go both ways. It’s about respecting personal time just as much as we respect the need to get the job done.”

With the right to disconnect law in Australia also coming into effect in August 2025 for small organisations, this is likely to represent a learning curve for employers and employees alike as they seek to find the right balance, a point Scard acknowledged.

For the industry Fifty Acres is in, for instance, the nature of communications and media work means they will need to be available after work hours for urgent requests. The challenge for organisations is to create a boundary that respects the time and space employees need to recharge and focus on the people and things they love outside of work, said Scard, who added, “It’s a challenge to find that balance in a world that’s increasingly connected, but I believe it’s crucial for our wellbeing.”

“It’s about fostering a culture where people can be fully present in their work and personal lives, without one overshadowing the other.”Jo Scard, CEO and Founder of Fifty Acres.

“This new law won’t solve everything overnight, but’s it’s a significant move towards ensuring that employees don’t feel pressured to be ‘always on’. It’s about fostering a culture where people can be fully present in their work and personal lives, without one overshadowing the other.”

There may also be unintended consequences from the right to disconnect law for workplace leaders in Australia to contend with, Heidrick & Struggles’ Dr McIntosh pointed out.

“Greater flexibility in work hours is often expected of employees in Australia post-COVID and has been instrumental in enabling working parents to achieve a better work-life balance. This may also affect organisations who offer a compressed work week, where employees work longer hours within four days, rather than the standard five.”

With many variables in play, the right to disconnect law represents new ground for employers and employees in Australia alike and both must work together to make it a success for all.

“Experimentation, open dialogue and a continued focus on wellbeing and productivity will ensure that both employees and organisations can mutually benefit,” said Dr McIntosh.

Flexible work defined by a fluid and borderless workforce

In today’s new world of work, there is no longer a one-size-fits-all approach to when and where people want to work and aligning organisational goals with flexible work options can positively impact the bottom line and boost employee engagement, said Brian Donn, Managing Director for APJ, Dayforce.

Sharing with HRM Asia how Dayforce is helping employees in Australia to adjust to the new right to disconnect law, he added, “Communication, respect, and thoughtfulness are all key to helping employers and employees navigate new workplace legislation. At Dayforce, we have held education sessions with our managers and used case studies to help guide teams on when contact would be appropriate, when it isn’t, and the principles of the legislation. We have also communicated the changes to all employees so they are aware of the new regulations and can raise any questions or concerns they may have.” 

READ: Right to disconnect: Australia says no to after-work calls

Even before the right to disconnect law was introduced in Australia, employee wellbeing and engagement has long been a top priority for Dayforce, with their Our Life at Dayforce framework designed to enhance employees’ development, empowerment, and sense of belonging.

Donn elaborated, “As a virtual-first organisation, Dayforce offers a flexible workplace that recognises the world of work is far more fluid and borderless than ever before. The way we work has changed, it can now be done from anywhere and doesn’t necessarily need to be completed during the traditional 9-5 hours.”

“As a virtual-first organisation, Dayforce offers a flexible workplace that recognises the world of work is far more fluid and borderless than ever before.”Brian Donn, Managing Director for APJ, Dayforce.

“The flexibility that we offer to our employees includes working patterns, unlimited time away from work, time off for volunteering, and global wellness days. By offering employees this flexibility we have seen enhanced productivity, reduced attrition and greater employee engagement.”

These efforts by Dayforce perhaps, serve as a timely reminder that even without the presence of legislation, organisations can, and should do more to proritise the health and wellbeing of their employees.

As Dayforce’s brand promise highlights, the end goal is to “make work life better”, and in the long term, organisations will only benefit if their people are happy and engaged – and it should not take legislation to motivate organisations to try to achieve this lofty goal.

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