So, your business is growing and you need to employ your first employee. You acknowledge that you can’t keep doing everything yourself.
What do you need to consider?
The cost of employing someone
Wages, superannuation, workers' compensation insurance, annual leave, long service leave, leave loading, sick leave, induction, training, uniform/protective clothing, tools, plant and equipment, computer, workstation.
Decide on the person’s employment status
Do you need a full-time, part-time or casual employee? Is it for a fixed term or is the employment ongoing? Or maybe you need a contractor.
What qualifications or experience does the person need?
Do you need someone with experience or will you train them?
Hiring someone who will fit into your company culture is important. Find someone who shares your values and will fit in.
Write a position description.
How will you find the new employee?
Recruit for attitude and fit with your business culture.
Be thorough - make sure you have a good recruitment process and reference check any candidates you are considering.
Know the award/agreement & the correct pay rates
What Award will your new employee will be employed under?
An employee’s minimum conditions of employment will come from their Award or your Enterprise Agreement.
Most employees will be entitled to things like annual leave, sick leave and parental leave if they are permanent employees. They could also be entitled to the allowances and penalty rates.
Casuals don't get leave, but do get an extra 25% in their pay.
Make sure you understand the correct pay rates, allowances and penalty rates that apply to your staff.
WHS and worker’s compensation
You need to provide your employees with a safe workplace. You also need to have workers compensation insurance for your workers.
Paperwork
You should provide new employees with:
- An employment contract
- a Fair Work Information Statement
- a Tax File Declaration Form
Other information:
get the person’s superannuation, bank account details, citizenship status & emergency contact details
I'm passionate about helping businesses get the best out of their team and that staff are happy at work. I can act as your outsourced HR Manager & provide a comprehensive range of HR services including HR support & advice, training, HR documentation, policies & procedures, performance management. I have a strong background in employment relations, & I have over 20 years’ experience in human resources for public sector organisations, not-for-profits & private enterprises, mostly SMEs.
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