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.
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Resigning from a job is a big step - and getting the notice period right helps you leave on good terms, protect your entitlements, and avoid last‑minute disputes.
In Australia, resignation notice periods aren’t one‑size‑fits‑all. The length and rules usually come from your employment contract, and in many cases a modern award or enterprise agreement. There isn’t a universal notice rule for employees in the National Employment Standards (NES), so it’s important to check which terms apply to you.
In this guide, we’ll break down how resignation notice periods work, how to give notice properly, what happens during your notice, and what you should be paid when you finish. We’ll also flag common pitfalls so you can plan a smooth exit.
How Long Are Resignation Notice Periods In Australia?
The “right” notice period depends on the legal terms that apply to your employment. Here’s how to work it out step by step.
1) Start With Your Employment Contract
Most employment contracts specify how much notice you must give if you resign - for example, two weeks, four weeks, or a tiered period depending on seniority or length of service.
It’s also common to see a shorter notice requirement during probation (for example, one week). Make sure your understanding aligns with the wording in your agreement, including how you must deliver notice (email, letter, or a specified inbox).
Employers can reduce confusion by setting out clear resignation notice terms in the Employment Contract so expectations are aligned from day one.
2) Check Any Modern Award Or Enterprise Agreement
Many modern awards require employees to give notice when resigning. The length is often similar to (but not always the same as) the employer’s termination notice under that award.
Some awards also permit an employer to withhold up to one week’s wages from wages due if an employee over 18 does not give the required notice. This only applies if your award expressly allows it, and even then, deductions must meet strict requirements under the Fair Work Act (for example, only when authorised by law/award/agreement, or in writing and primarily for your benefit). If you’re unsure, get advice before making or accepting any deduction.
3) NES Doesn’t Set A Universal Employee Resignation Notice
The NES sets minimum notice periods when an employer terminates employment. It doesn’t prescribe a universal minimum for an employee’s resignation notice.
If you’re not covered by an award or enterprise agreement and your contract is silent, a “reasonable” period may be implied based on the role, seniority and practical handover needs. In practice, it’s far better to agree a clear period up front to avoid doubt. If you want a broader comparison with employer termination notice, this overview of resignation notice periods in Australia is a helpful starting point.
4) Special Cases To Keep In Mind
- Casual employees: Casuals generally don’t have a resignation notice period because employment is offered and accepted shift by shift. Check any applicable award for nuances around minimum engagements and rostering.
- Fixed‑term employees: If the contract runs to a set date, it may not allow early resignation unless there’s a specific clause permitting it (or you and the employer mutually agree to end early).
- Senior executives: Contracts often require longer notice (for example, three months). Employers sometimes exercise “garden leave” for part or all of this period - more on that below.
How To Give Notice Properly
There’s no special legal form required, but following the process in your contract or policy keeps things clean and avoids arguments later.
Write A Short Resignation Letter Or Email
Keep it simple and professional. State that you’re resigning and confirm your last working day based on the notice period in your contract, award or enterprise agreement. If your contract requires a signed letter, attach a PDF to your email.
Send It To The Right Place
Usually this is your manager or HR. If your contract says notice must be sent to a particular address or inbox, follow that process so your notice is valid.
Confirm Your Last Day And Offer A Handover
Let them know when you’ll finish and offer to help with handover. Listing key projects, deadlines and logins helps everyone and reduces the chance of last‑minute disputes.
Can You Ask To Leave Earlier?
Yes. You can request a shorter notice or a waiver of notice. Your employer can agree, decline, or agree with conditions (for example, approving annual leave to cover part of the period, placing you on garden leave, or agreeing to a payment in lieu of notice if your contract allows). Whatever you agree, put it in writing.
What Happens During Your Notice?
Once you’ve given notice, you remain employed until your final day - so normal duties, pay and obligations continue unless you and your employer agree otherwise.
Working Out Your Notice
Most employees simply work as normal. Your employer can set priorities and handover tasks, and must continue to provide a safe workplace and your usual entitlements until your end date.
Garden Leave
Your employer might direct you not to attend work (or to perform limited duties) during notice while still paying you. This is called garden leave and is common for senior or client‑facing roles.
Usually, a contract clause is required to direct garden leave. Without contractual authority, changing your duties or excluding you from the workplace can be problematic. If directed to stay away, you should remain available as required and keep complying with confidentiality and restraint obligations.
Annual Leave During The Notice Period
You can request to take annual leave during notice, but your employer doesn’t have to approve it unless your contract or award says otherwise. Many employers prefer you to work through your notice and then pay out any accrued but unused leave in your final pay. Employers can approve leave where it suits operational needs, and should act reasonably and consistently with policy.
Sick Leave And Evidence
If you’re genuinely unwell, you can take paid personal/carer’s leave (if you have it available) and provide evidence if requested. Employers should manage this carefully and follow policy - especially for last‑minute absences. For practical guidance, this resource on sick leave during an employee’s notice period covers the basics.
Payment In Lieu Of Notice (PILON)
Some contracts allow an employer to end employment immediately and pay out the remaining notice instead (often called payment in lieu). This generally requires clear contractual authority or a mutual agreement with you.
Tax and super treatment can differ from ordinary wages. Superannuation is typically calculated on ordinary time earnings, and it’s generally not payable on some termination components like payment in lieu. The rules can be technical, so employers often confirm the correct approach to super on termination using a guide to payment in lieu and superannuation or by seeking payroll advice.
What If You Don’t Work Your Notice?
If your contract or award requires notice and you leave earlier, you could be in breach. Some modern awards permit an employer to withhold up to one week’s wages from wages owing if an employee over 18 fails to give the required notice. Outside of awards, an employer generally can’t deduct wages unless authorised by law, an award/agreement, or in writing and primarily for your benefit.
Employers considering deductions should proceed carefully. A quick read on withholding pay and practical options when an employee doesn’t work their notice can help you stay compliant.
Final Pay And Entitlements On Resignation
Your final pay (often called termination or separation pay) should include everything you’re owed up to your final day, plus any entitlements that must be paid out. Timing for payment may be set by your award, enterprise agreement, contract or employer policy.
1) Wages To Your Final Day
This includes any ordinary wages and any overtime or allowances that are still payable under your contract or award. If your employer elected to pay in lieu of notice, that amount is normally added as a separate line item.
2) Accrued But Unused Annual Leave
Accrued annual leave must be paid out on termination. Some employees are also entitled to annual leave loading when leave is paid out - this depends on your award, enterprise agreement or contract. Employers can cross‑check their obligations using this guide to annual leave on resignation.
3) Long Service Leave (State And Territory Rules)
Long service leave (LSL) is governed by state and territory law, and the thresholds differ. A quick overview:
- New South Wales: Pro‑rata LSL is generally payable after 5 years of continuous service if employment ends (including resignation).
- Victoria, Queensland, South Australia, ACT, Northern Territory: Pro‑rata LSL commonly becomes payable after 7 years of continuous service (including on resignation). Exact accrual and access rules vary between jurisdictions.
- Western Australia: Different rules apply - employees typically qualify for pro‑rata after 7 years if employment ends, and can generally take LSL after a longer threshold (historically 10 years). Check the current WA legislation or get advice.
The exact entitlement, how it’s calculated, and when it’s paid can vary, so it’s wise to confirm the rules that apply where you work. If you want a deeper employee‑focused explainer, start with long service leave payouts on resignation for your state or territory and verify the details for your situation.
4) Bonuses, Commissions And Incentives
Whether incentives remain payable after resignation depends on your contract or plan rules. Some plans require you to be employed (and not serving notice) on the payment date; others allow pro‑rata payments. Always check the plan terms and any employer policy.
5) Superannuation
Super is generally paid on ordinary time earnings. It usually applies to ordinary wages paid during the notice period, but not to some termination components like payment in lieu. Because the treatment can vary by component, it’s best practice to confirm the correct approach when calculating final pay. Payroll or accounting advice can also help you get the tax and super settings right.
6) Deductions And Set‑Off
Some contracts include clauses allowing amounts owed by an employee (for example, an overpayment or reasonable value of unreturned property) to be set off against final pay - but only where lawful under the Fair Work Act and any applicable award. If in doubt, seek advice before applying any deduction.
When Should Final Pay Be Made?
Payment timeframes are often set by an award or enterprise agreement (for example, within 7 days of termination), or by company policy. Where no specific timeframe applies, best practice is to process final pay promptly after employment ends.
Practical Tips And Common Questions
Good planning goes a long way. Whether you’re the employee resigning or the employer receiving notice, a simple process helps avoid surprises.
Quick Tips For A Smooth Resignation
- Check your documents early: Review your contract and any award or enterprise agreement so you know the right notice period and how to give notice.
- Confirm in writing: State your last day, and keep a copy of your resignation. If you’re asking for a shorter period, put that request in writing too.
- Plan the handover: Document key tasks, deadlines and access. Return property and revoke access on or before the final day.
- Be clear about changes: If the employer approves garden leave or payment in lieu, confirm it in writing so there’s no confusion.
- Close off entitlements: Process final pay accurately, including annual leave, any payable long service leave, and the correct treatment of superannuation.
Common Questions
Do You Have To Give Notice If You’re Casual?
Generally no. Casuals typically don’t have to give notice because there’s no ongoing commitment beyond each shift. That said, always check any applicable award or enterprise agreement for your industry.
Can An Employer Refuse A Shorter Notice Request?
Yes. An employer doesn’t have to accept a shorter notice or waive notice. If they agree, they might approve annual leave to cover part of the period, put you on garden leave, or end employment earlier with a payment in lieu of notice if the contract allows.
Can You Take Sick Leave During Your Notice?
Yes, if you’re genuinely unwell and have paid personal/carer’s leave available. You may need to provide evidence if requested under policy. Employers should handle this consistently - the essentials are covered in our overview of sick leave during the notice period.
What If Your Contract And Award Say Different Things?
Awards set minimum terms that can’t be undercut by a contract. If both apply, the term that’s more favourable to the employee usually prevails. Be cautious about wage deductions - they’re only permitted in limited circumstances and must meet Fair Work Act requirements.
Is There A Universal Notice Rule In The NES For Employee Resignations?
No. The NES sets employer termination notice, but not a universal employee resignation notice. Your notice obligation comes from your contract and any applicable award or enterprise agreement. For a quick comparison, see this explainer on resignation notice periods in Australia.
Key Takeaways
- Employee resignation notice periods in Australia are set by your employment contract and any applicable award or enterprise agreement - there’s no universal NES minimum for employees who resign.
- Give notice in writing, confirm your final day, and follow any process your contract specifies so your resignation is valid.
- During notice, you remain employed; your employer may approve leave, place you on garden leave if permitted, or agree to a payment in lieu of notice.
- Your final pay should include wages to your last day, accrued annual leave (and possibly leave loading), and long service leave where the state or territory rules say it’s payable (for example, pro‑rata after 5 years in NSW, and commonly 7 years in several other jurisdictions).
- Deductions for not working notice are only allowed in limited, award‑specific scenarios and must comply with the Fair Work Act - otherwise they’re generally unlawful.
- Tax and super treatment differs across components of termination pay. Confirm how super applies (for example, to ordinary time earnings, but typically not to payment in lieu).
If you’d like a consultation on resignation notice periods for your workplace, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no‑obligations chat.
