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.
As a small business owner, you’ll inevitably face moments where an employee experiences a death in their family or household. It’s a difficult time for them, and it can also be a stressful time for you if you’re unsure what the law requires.
One of the most common questions we hear from employers is: how many days of bereavement leave are employees entitled to in Australia?
In this guide, we’ll walk you through how bereavement (also called compassionate leave) works under Australian employment law, what you need to pay, what evidence you can request, and how to set your business up with the right documents and policies so you can handle these situations respectfully and compliantly.
What Is Bereavement (Compassionate) Leave In Australia?
In Australia, “bereavement leave” is generally referred to as compassionate leave under the National Employment Standards (NES) in the Fair Work Act 2009 (Cth).
Compassionate leave is designed to give an employee time away from work when:
- a member of their immediate family or household dies; or
- a member of their immediate family or household contracts or develops a life-threatening illness or injury.
From an employer perspective, compassionate leave is one of those entitlements where it’s important to get the basics right (days, pay, eligibility), and then have a clear process for how your team should request leave and how you will record it.
Getting this wrong can create more than just administrative headaches. It can affect morale, create reputational risks, and in some cases expose your business to Fair Work disputes if an employee believes they’ve been denied an entitlement.
How Many Days Bereavement Leave Do You Get Under The NES?
If you’re wondering how many days of bereavement leave employees can take, the NES position is relatively straightforward:
Employees are entitled to 2 days of compassionate leave for each permissible occasion.
A “permissible occasion” is when the relevant death or life-threatening illness/injury happens to an immediate family or household member.
Is It 2 Days Per Year Or Per Event?
It’s 2 days per occasion, not a yearly “pool” of days.
For example, if an employee experiences two separate permissible occasions in the same year, they may be entitled to 2 days for each event (so, 4 days total across the year).
Do Employees Have To Take The 2 Days All At Once?
Compassionate leave is typically taken as a short block. However, it may be taken as:
- a single continuous 2-day period; or
- 2 separate periods of 1 day each; or
- another arrangement agreed between you and the employee.
In practice, many employers allow some flexibility, especially where funeral arrangements, travel, or cultural obligations mean the employee needs time away on non-consecutive days. The key is to clearly document what you’ve agreed.
Is Compassionate Leave Paid Or Unpaid?
This is where employment status matters:
- Full-time and part-time employees: compassionate leave is paid at the employee’s base rate of pay for their ordinary hours (for the time they would have worked).
- Casual employees: compassionate leave is unpaid, but they still get the entitlement to take the time off.
Even though casual compassionate leave is unpaid, you still need to treat it as a workplace entitlement (for example, not penalising a casual for taking compassionate leave, and recording it properly).
If you want your contracts to clearly reflect entitlements and expectations for leave, it’s worth making sure you have the right Employment Contract in place for permanent staff, and a tailored casual employment contract for casual team members.
Do Shift Workers “Lose” Compassionate Leave If The Death Happens On A Non-Work Day?
Compassionate leave is time away from work, so it’s usually taken for rostered shifts or ordinary hours the employee would otherwise have worked.
If a death occurs on a day the employee isn’t rostered (or not due to work), there may be no shift to be “on leave” from that day. However, the employee can still take compassionate leave on the days they are rostered to work around the permissible occasion (for example, to attend a funeral or manage urgent arrangements), and in practice many workplaces agree on flexible options where needed.
Because shift patterns and pay can vary, if your employee works irregular shifts, you may need to look at:
- what shifts they were rostered for (or otherwise would have worked);
- what shifts they are unable to work due to the permissible occasion; and
- what flexibility you can reasonably offer (for example, swapping shifts, unpaid leave, or annual leave if requested).
It’s a good idea to build a consistent approach into your workplace policies, so managers aren’t guessing in the moment.
Who Counts As An Immediate Family Or Household Member?
Compassionate leave is tied to who the affected person is. This is one of the biggest “grey areas” for employers, because people often use the word “family” differently to how employment law defines it.
Under the NES, immediate family includes:
- a spouse or de facto partner
- a child (including adult children)
- a parent
- a grandparent
- a grandchild
- a sibling
It also includes the immediate family of the employee’s spouse or de facto partner (for example, the employee’s mother-in-law).
Household members can also qualify, even if they’re not related, as long as they live with the employee.
What About Extended Family, Close Friends Or Cultural Kinship?
Extended family and close friends are not automatically covered by the NES definition.
However, this doesn’t necessarily mean “no leave is possible” - it just means it may not be NES compassionate leave. Depending on the circumstances, you might consider:
- annual leave (if the employee requests it),
- unpaid leave,
- flexible work arrangements temporarily, or
- any more generous entitlement in an applicable award, enterprise agreement, or your own policies.
Many small businesses choose to be more flexible than the minimum legal standard. The key is doing it consistently and documenting what you’re offering, so you don’t create confusion or accidental “custom and practice” obligations.
What Do You Need To Pay, And What Evidence Can You Ask For?
Once you know the employee is eligible, the next questions tend to be:
- What do we have to pay?
- Can we ask for proof?
- How should we handle the request in writing?
Pay Rules For Permanent Employees
For full-time and part-time employees, compassionate leave is paid at the base rate of pay for the hours they would have worked.
This generally means:
- you pay the ordinary hours they would have worked during the leave period; and
- you usually don’t pay overtime, penalty rates, allowances, or loadings unless an award, enterprise agreement, employment contract, or other workplace instrument specifically requires it.
If you’re unsure because your employee’s pay structure is more complex (for example, regular allowances or shift penalties), it’s worth getting advice from an employment lawyer so you don’t accidentally underpay or overpay.
Evidence: Can You Request Proof Of The Death Or Illness?
Yes - you can request evidence that would satisfy a reasonable person that the compassionate leave is taken for a permissible occasion.
In practice, evidence might include:
- a death notice, funeral notice, or service booklet
- a medical certificate or letter from a treating doctor (for life-threatening illness or injury)
- other formal documentation that supports the request
As an employer, the best approach is to handle evidence requests carefully. Often, employees will offer it without being asked. If you do need to request it, keep the request respectful, and only ask for what you genuinely need for your records.
Notice: Does The Employee Have To Tell You In Advance?
Employees should notify you as soon as practicable that they’re taking compassionate leave, and let you know how long they expect to be away.
Of course, in many bereavement situations, employees may not be able to give much notice. That’s normal. Your goal should be to have a process that allows for urgent notifications (text message, phone call) and then follow up later for formal record-keeping.
How Does Compassionate Leave Interact With Awards, Enterprise Agreements And Your Policies?
The NES is the minimum safety net. Many employers then ask: can an award or agreement change the rules?
Generally:
- an award or enterprise agreement can provide more generous entitlements (for example, extra paid days, broader definitions of family, or extra flexibility); but
- it can’t provide less than the NES minimum.
This is why it’s important not to rely solely on “what we’ve always done” or “what another business does”. Your obligations can change depending on the award coverage and the employee’s classification.
Do You Need A Bereavement Leave Policy?
You’re not always legally required to have a standalone “bereavement leave policy”, but having clear policies is one of the simplest ways to reduce risk and admin stress.
At a minimum, your policies should clearly explain:
- how employees should notify you (who to contact and how)
- whether evidence may be required and what kind
- how leave will be recorded
- who approves leave requests (especially if you have team leaders or managers)
- options for extra flexibility (annual leave, unpaid leave, shift swaps) where appropriate
Many businesses include compassionate leave processes inside broader leave and conduct documentation, like a staff handbook, so everyone knows what to expect without needing to search for multiple documents.
Can An Employee Choose Annual Leave Instead?
Sometimes an employee may want more time away than the minimum compassionate leave entitlement. They might ask to use annual leave (or take unpaid leave) to extend the time off.
From your side, you generally can’t force an employee to use annual leave instead of compassionate leave (if they’re entitled to compassionate leave). However, you can agree on using annual leave in addition to compassionate leave if the employee requests it and it’s workable for the business.
If the time away will be extended or unpredictable, it’s sensible to confirm the arrangement in writing (even a short email) so payroll and rostering remain accurate.
What About Contractors?
Independent contractors are not covered by the NES, which means they typically don’t have a legal entitlement to compassionate leave in the same way employees do.
This is one reason why getting worker classification right is so important. Misclassifying an employee as a contractor can create major legal risk, including unpaid entitlements.
If you’re engaging contractors, your agreements should clearly set out what happens when they can’t perform services for personal reasons, and what notice they must give.
Practical Steps For Employers: Handling Bereavement Leave Without Creating Risk
When a team member is grieving, the “human” side and the “compliance” side need to work together. The best systems are the ones that are both clear and compassionate.
1) Confirm The Basics Quickly (Then Keep It Simple)
Once you’re notified, confirm:
- the relationship (immediate family/household),
- whether the employee is full-time/part-time/casual, and
- the dates or shifts affected.
In many cases, you can do this in one short message and then deal with admin later.
2) Keep Your Records Clean
Make sure you record compassionate leave correctly in your payroll system. Good records help you:
- avoid pay errors,
- respond to questions later (from the employee or Fair Work), and
- ensure consistent treatment across your team.
3) Train Managers On What They Can (And Can’t) Say
If you have supervisors or managers, they’re often the first point of contact for leave requests.
Consider giving them simple guidance such as:
- don’t refuse compassionate leave without checking eligibility and award coverage,
- don’t pressure an employee to “find a replacement” for their shift, and
- don’t ask intrusive questions about the death or illness.
This kind of guidance is usually included in well-drafted workplace policies and reinforced in onboarding.
4) Make Sure Your Employment Documents Match How You Actually Operate
Policies and contracts should reflect what you do day-to-day. For example:
- If you run a shift-based business, your documents should clearly deal with notice and rostering changes.
- If you offer extra discretionary leave, your documents should describe it as discretionary (and who approves it) so it doesn’t become an unintended entitlement.
Having tailored documents in place (rather than generic templates) makes it much easier to act consistently and fairly when a difficult situation arises.
Key Takeaways
- Under the NES, employees are entitled to 2 days of compassionate (bereavement) leave per permissible occasion.
- Full-time and part-time employees take compassionate leave as paid leave (at base rate for ordinary hours), while casual employees can take it as unpaid leave.
- Eligibility depends on whether the death or life-threatening illness/injury affects an immediate family member or household member (as defined under the NES).
- You can request reasonable evidence of the permissible occasion, but it’s best to do so sensitively and only when necessary.
- A modern award or enterprise agreement may provide more generous compassionate leave terms, so it’s important to check what applies to your employees.
- Clear contracts, consistent record-keeping, and well-drafted policies (including manager guidance) help you handle bereavement leave requests respectfully while reducing legal risk.
If you’d like help reviewing your leave entitlements and putting the right employment documents in place, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.








