Why is it important for employers to keep track of changes to workplace laws and regulations?
As an employer, it is important to proactively manage HR-related risks. This applies to any workplace regardless of the industry or jurisdiction.
Legislative changes can increase employers’ non-compliance risk. The penalties for non-compliance have never been higher, even if it’s an honest mistake.
For example, under Closing Loopholes laws, incorrectly classifying an employee as an independent contractor exposes employers to:
Serious penalties for sham contracting: up to $21,840 for individuals, $109,200 for businesses with fewer than 15 employees, and $546,000 or more for larger businesses, per contravention.
Serious penalties for intentional underpayment of your employee’s lawful entitlements - the financial penalties are severe and can include up to 10 years in prison.
Additional penalties for breaching your taxation and superannuation obligations.
In another example, the Work Health and Safety (Sexual and Gender-based Harassment) Code of Practice 2025 is a model code that establishes sexual and gender-based harassment as a known psychosocial risk. While the code itself provides guidance, failure to follow it can be used as evidence of a breach of the WHS Act, which carries severe maximum penalties:
Corporations: Over $16 million per contravention.
Individuals: Over $3 million per contravention and potential imprisonment.
How can employers avoid unnecessary risks and costly penalties?
Whether you run a small business, a community organisation or a large health service, staying compliant comes down to a few good habits:
Keep track of changes. Know what’s changing and when, so you have time to prepare before new rules take effect.
Review regularly. Check your HR, payroll and WHS practices from time to time, including how you manage psychosocial risks.
Keep your policies current. Make sure contracts, policies and pay rates reflect the latest laws and awards.
A small mistake, like an incorrect classification or a missed pay increase, can quickly become a costly problem. A little planning now can help you spot issues early and fix them before they become bigger risks.
Free Download: Compliance Checklist for Employers
Workplace Plus has developed a free compliance checklist, updated December 2026.
Track and manage your employer obligations with our quick-glance timeline of recent and upcoming changes to workplace laws and regulations.
HR Compliance and Risk Management Support
Workplace Plus can support you to meet your employer obligations under workplace laws and regulations. We offer
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