The Australian government’s new Employment Contract Tool has been described as a red-tape buster for small business.

The recently launched online tool guides small business owners through a series of questions to generate a bespoke employment contract based on the relevant award terms and conditions.

Employment Contract Tool a red-tape buster

The Australian Small Business and Family Enterprise Ombudsman Bruce Billson has welcomed the new tool, suggesting it will remove the stress for small businesses when hiring their first employee. Billson says the tool will significantly reduce red tape for  those who want to expand their business – saving them time and money.

“This technology has been developed in close consultation with small business owners to ensure it meets their needs in regards to making the hiring process far simpler,” Billson says.

Simplifies the hiring process

Billson said it’s not uncommon for business owners to spend days investigating contract terms and processes when looking to hire their first staff member.

“We know that small business owners have found the experience of hiring their first staff member to be overwhelming. Research published by NAB shows a small business hiring its first worker can spend up to 18 hours understanding awards and pay rates and complying with taxation, OH&S and record-keeping obligations. That’s about five times more than a large business with more than 200 employees, when hiring additional staff.

“Unfortunately this can lead small business owners to delay their hiring plans or put it off altogether because they are afraid of making a mistake.

Employment Contract Tool will ensure businesses meet legal requirements

Billson says the Employment Contract Tool will remove roadblocks to the hiring process by taking the employer step-by-step through their obligations.

“Ultimately it is smart technological solutions like this that will cut red tape and reduce the regulatory burden on small business owners to make Australia the best place to start, grow and transform a business.

“The tool provides another support to help small business employers navigate this difficult space, alongside the valuable role that industry and professional associations continue to play in this complex area,” Billson concludes.

To access the Employment Contract Tool and explore hiring options for your business visit https://employ.business.gov.au/