3 reasons you shouldn’t copy-paste employment contracts

Feb 6
3 min read

Updated: Apr 13

Hiring a new employee can be exciting! But before you reach for an old or generic employment contract, pause and consider the risks to your business or health practice.

Employment contracts are not a “one size fits all” document. In fact, using another employee’s contract without tailoring it to your new recruit can expose your business to compliance breaches under the Fair Work Act 2009 (Cth), modern awards, and recent workplace law reforms.

In 2026, the risks are higher than ever. With increased enforcement, criminal wage theft laws in some jurisdictions, and upcoming changes like Payday Super, even small contract errors can have serious consequences.

Here’s why:

1. Every role is different

Your new team member may have a different role, type of engagement, or working arrangement. A generic contract often misses these nuances.

That could mean:

Incorrect duties or classification
Misaligned hours or overtime expectations
Unclear flexibility or hybrid arrangements
Missing or inconsistent probation and termination clauses

Low role clarity is also a recognised psychosocial hazard under work health and safety laws. Poorly defined roles can contribute to stress, conflict, and performance issues, putting both your staff and your business at risk.

Clear, tailored contracts are not just a legal document, they are a risk management tool that supports performance, wellbeing, and compliance from day one.

A woman in a red shirt reads papers at a desk in a bright office. She looks focused. A computer is nearby, and the background is blurred.

2. Award Classifications Matter

Modern awards set minimum standards for pay, hours, allowances, penalties, and entitlements. If your contract doesn’t align with the correct award and classification, you could be underpaying staff - even unintentionally.

For example, many health and community sector employers must comply with awards such as:

Health Professionals and Support Services Award (HPSS)
SCHADS Award
ATSI Health Award
Nurses Award
Aged Care Award
Clerks Award

Getting classifications wrong can lead to:

Underpayment claims and backpay liabilities
Civil penalties under the Fair Work Act 2009
Reputational damage
In serious cases, exposure to criminal wage theft laws (depending on the state)

A contract that doesn’t correctly reflect the applicable award and classification is one of the most common causes of systemic underpayment, and one of the easiest to avoid with proper drafting by an experienced HR professional.

3. Laws Change (and so should your contracts)

Workplace laws are subject to reforms This means, workplace laws are evolving rapidly and contracts need to keep up.

Recent and upcoming changes include:

The “Closing Loopholes” reforms, which introduced stronger protections for workers and increased compliance expectations for employers
Stricter limits on fixed-term contracts, now restricting when and how they can be used under the Fair Work Act 2009
Increased scrutiny and enforcement activity from the Fair Work Ombudsman
The introduction of Payday Super (from July 2026), requiring superannuation to be paid at the same time as wages

Learn more about recent changes to workplace laws >

If your contracts haven’t been reviewed in the past 1–2 years, they may already be outdated - or worse, non-compliant.

An outdated employment contract can be partially or entirely unenforceable, leaving your business exposed at the exact moment you need protection most (e.g. disputes, termination, or underpayment claims).

Woman allied health practice owner with glasses in a polka-dot blouse smiles while talking on the phone and using a laptop at a black desk.

What to do when you need an employment contract

A tailored employment contract protects both your business and your employee. It ensures compliance with the Fair Work Act 2009, applicable modern awards, and current reforms, while setting clear, practical expectations for the employment relationship.

It also gives you confidence that:

Your pay and conditions are compliant
Your clauses are enforceable
Your business is protected

WorkPlacePLUS specialises in customising employment contracts for private practices, small businesses, medium enterprises, health services and community organisations.

Contact us and we’ll make sure your documents are legally compliant, practical, and aligned with your specific workforce, awards, and risk profile.