Alex is Sprintlaw’s co-founder and principal lawyer. Alex previously worked at a top-tier firm as a lawyer specialising in technology and media contracts, and founded a digital agency which he sold in 2015.
- Why Notice Periods Matter For Small Businesses
- What Is The Standard Notice Period In Australia?
- Do State Differences (NSW, Victoria, QLD) Change Notice?
Common Scenarios Employers Ask About
- 1) The Employee Wants To Leave Immediately-What Are Our Options?
- 2) Can We Use Payment In Lieu Of Notice?
- 3) Can We Direct An Employee Not To Work During Notice?
- 4) What Happens To Leave During The Notice Period?
- 5) Does Probation Change The Notice Period?
- 6) What About Senior Executives Or Long Notice Periods?
- 7) Do Casuals Need To Give Notice?
- Policy Tips To Reduce Resignation Headaches
- Common Pitfalls To Avoid
- Key Takeaways
When a team member decides to resign, the first thing most business owners ask is: how much notice do they need to give?
Getting the notice period right helps you plan handovers, protect client relationships, and manage rostering or project timelines. It also reduces the risk of disputes about unpaid wages, leave, or whether you can accept (or insist on) a shorter notice period.
In Australia, there isn’t a single “one-size-fits-all” rule. The required notice depends on your employment contracts, any applicable modern award or enterprise agreement, and what you agree with the employee at the time of resignation.
In this guide, we’ll break down the key rules, answer common employer questions, and share practical steps so you can handle resignations smoothly and lawfully.
Why Notice Periods Matter For Small Businesses
Notice periods are about fairness and business continuity. They give you time to redistribute work, recruit, and complete proper offboarding (including safeguarding access, IP and client data).
Handled well, a clear notice process also protects your brand. Exiting employees who feel respected and properly paid for their final period are less likely to raise disputes or leave poor reviews.
Most importantly, clear notice obligations in your contracts reduce ambiguity, which means fewer last-minute surprises and stronger compliance with workplace laws.
What Is The Standard Notice Period In Australia?
There is no single “standard notice period” across Australia. Instead, notice is usually set by three things working together:
- Your Employment Contract (what you and the employee agreed, in writing)
- Any applicable modern award or enterprise agreement (which can set minimums)
- Any policy or practice your business follows (provided it doesn’t undercut the law)
For many roles, two to four weeks is common. Senior roles sometimes have longer periods (for example, six to twelve weeks) to reflect the complexity of handover.
What about location? Whether you’re in NSW, Victoria or Queensland, resignation notice typically comes from the contract and the relevant award, not state legislation. So the rules are largely consistent nationwide, but the exact period still depends on the employee’s classification and agreement.
If you’re unsure where to start, this overview of resignation notice periods outlines how contracts and awards interact for different roles.
Do State Differences (NSW, Victoria, QLD) Change Notice?
We often hear questions like “how much notice to resign Victoria” or “notice period QLD”. In practice, the state doesn’t usually change the minimum resignation notice. The key driver is the employee’s award or enterprise agreement and the notice clause in their contract.
That said, local practicalities can affect your planning. For example, recruitment markets can differ between regions, which may change how long you want your notice period to be for certain positions. But legally, look to the contract and the applicable award first.
If you need to check how long notice should be for a particular classification, work through your agreement and award alongside your contract. This guide to calculating notice periods sets out a step-by-step approach for employers.
How To Set And Enforce Notice In Your Employment Contracts
The best time to get notice right is before you hire. Clear, tailored contracts help you set expectations and avoid undercutting any minimums in an award or enterprise agreement.
What To Put In The Contract
- The length of notice the employee must give if they resign (e.g. 4 weeks)
- Any different periods for probation, seniority levels or specific roles
- Whether you can require the employee not to attend work during notice (and on what terms)
- When payment in lieu might be used, and how it will be calculated
- What happens to annual leave, bonuses and commissions on exit
Make sure your notice clause is consistent with any applicable award. If your contract sets a longer period than the award minimum, that’s usually fine-provided it’s reasonable and not unfair.
If you need robust templates or a tailored agreement, consider a professionally drafted Employment Contract that aligns with your award and your operational needs.
Common Scenarios Employers Ask About
1) The Employee Wants To Leave Immediately-What Are Our Options?
Sometimes an employee asks to finish earlier than their required notice. You have options:
- Agree to a shorter period (ideally confirmed in writing)
- Require full notice to be worked (if that’s what the contract says)
- Accept a shorter period and consider any impact on entitlements
Be careful about withholding pay unless you have a clear contractual basis and are compliant with the Fair Work Act and any award. If you plan to offset or adjust pay because required notice wasn’t worked, get advice and check your contract first. Our guide on employees not working their notice explains the risks and legal considerations.
2) Can We Use Payment In Lieu Of Notice?
Yes-if your contract allows it, you can usually pay out the notice instead of requiring the employee to work it. This is common where continued attendance isn’t practical, or where you want to remove access immediately for confidentiality or safety reasons.
Payment in lieu must be calculated correctly and paid on time with the final pay. You’ll also need to consider superannuation and any outstanding leave or loadings. For the compliance detail, refer to Payment in Lieu of Notice for employers.
3) Can We Direct An Employee Not To Work During Notice?
Often called “gardening leave”, this involves directing the employee to stay away from the workplace during all or part of their notice period.
This is usually allowed if your contract gives you that right, the employee is paid as normal, and any post-employment obligations (like confidentiality) remain intact. It’s useful to protect client relationships or sensitive information.
4) What Happens To Leave During The Notice Period?
Annual leave can sometimes be taken or paid out depending on timing and your policy. Personal/carer’s leave (sick leave) can be used if the employee is genuinely unwell and they provide evidence as required by your contract or policy. Public holidays during notice are generally paid as usual.
It’s important to handle leave requests fairly and lawfully during notice, especially around evidence requirements and pay calculation. For specifics, see our guides on leave during the notice period and sick leave during the notice period.
5) Does Probation Change The Notice Period?
Many businesses set a shorter notice period during probation (for both parties). This can make sense operationally and is generally permissible if your contract clearly states it and it doesn’t conflict with any award or agreement.
Remember: probation is not an exemption from Fair Work obligations-it’s just an initial period with adjusted expectations. Keep your documentation clear and consistent with your policies.
6) What About Senior Executives Or Long Notice Periods?
Longer notice periods (for example, 8-12 weeks) can be reasonable for senior roles where the handover is complex, you need time to manage market communications, or the person holds significant client relationships.
Just ensure the period is reasonable, clearly drafted, and aligns with your operational needs and any incentive plan rules.
7) Do Casuals Need To Give Notice?
Casual employees generally do not have a set notice period unless it’s in their agreement or an award provision applies. In practice, it’s still helpful to set expectations through your casual engagement terms and workplace policies so you can plan rosters.
How To Respond When You Receive A Resignation
A simple, consistent process will keep everything on track and reduce risk. Here’s a practical approach you can tailor to your business.
Step 1: Confirm The Details In Writing
- Acknowledge the resignation, note the date of receipt, and confirm the last working day
- Restate the required notice under the contract (and any award if relevant)
- Confirm whether the employee will work the notice, be placed on gardening leave, or be paid in lieu
Step 2: Plan The Handover
- Identify critical tasks, client handovers and access removal timelines
- Set clear expectations for performance during notice (including confidentiality)
- Decide who will receive passwords, IP and files, and record the handover status
Step 3: Calculate Final Pay Correctly
- Include wages to the final day, any payment in lieu, and accrued annual leave (and leave loading if it applies)
- Check whether superannuation is payable on any components (this can vary with the type of payment)
- Pay by the required time under any award or agreement
Step 4: Close Out Compliance
- Confirm return of company property and revoke access
- Remind the employee of ongoing obligations (confidentiality, IP, restraint-if applicable)
- Document what was paid and why, in case of later questions
Policy Tips To Reduce Resignation Headaches
Clear, easy-to-follow documentation helps you avoid rushed decisions. A few ideas to consider:
- Use tailored contracts for each employment type and seniority level, so your notice clauses fit the role
- Have a simple offboarding checklist to standardise handovers and access removal
- Keep a short policy on resignations that covers timelines, communications, and references
- Train managers to acknowledge resignations promptly and follow the checklist
If you’re refining your templates, a well-drafted Employment Contract and clear policies will set you up for consistent, compliant outcomes.
Common Pitfalls To Avoid
- Assuming state-based rules set notice: in practice, your contract and the relevant award are key
- Withholding pay without a solid contractual basis (and legal compliance) when someone leaves early
- Ignoring leave requests or evidence requirements during notice, which can trigger disputes
- Forgetting to document decisions about payment in lieu or gardening leave
- Underpaying final pay by missing loadings or miscalculating superannuation on termination components
When in doubt, refer to your documentation and get advice early-especially if the resignation is sensitive, involves senior roles, or raises performance or conduct issues.
Key Takeaways
- There is no universal “standard notice period”; the contract and any applicable award or enterprise agreement set the minimums.
- State location (NSW, Victoria, QLD) doesn’t usually change resignation notice-focus on the employment instrument.
- Set clear, role-appropriate notice periods in your contracts, with options for gardening leave or payment in lieu where appropriate.
- Handle leave and final pay carefully during notice to stay compliant and reduce the risk of disputes.
- Use a consistent offboarding process so handovers, access removal and communications are well managed.
- For tricky situations, check resources on employees not working notice, payment in lieu and leave during notice, or get tailored advice.
If you’d like a consultation on setting or managing resignation notice periods for your business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.


