Given that we are coming into a busy season coupled with adverse weather forecast and questions being raised about the continuity of power supply in Victoria in peak summer times, it is timely that we remind members of employee issues in these circumstances.

If your business is not able to operate due to circumstances beyond your control (fire, flood, external power failure etc) then as an employer you are able to stand down your employees, without pay, for the duration of the inoperative period. A permanent employee may wish to take annual leave in these circumstances:

“If employees cannot be usefully engaged by the employer, there is a statutory right to stand down an employee without pay under the Fair Work Act (FWAct) (s524 and s525), provided the employer cannot reasonably be held responsible.

Under the FWAct, an employer may stand down an employee during a period in which the employees cannot be usefully employed because of one of the following circumstances:

• Industrial action (other than industrial action organised or engaged in by the employer locking employees out);
• A breakdown of machinery or equipment, if the employer cannot reasonably held responsible for the breakdown; and
• A stoppage of work for any cause for which the employer cannot reasonably be held responsible”.

Best regards

John Sweetman

Workplace Relations Advisor