Guide

The extra week of notice for employees over 45 in Australia

Updated

It is the part of the Australian notice rules most often missed, and it is worth a week of pay to anyone it applies to.

Both tests, on the same day

The Fair Work Ombudsman states that under the NES, employees over 45 years old get an extra week of notice if they have at least 2 years of continuous service with their employer (Fair Work Ombudsman). Two things have to be true at once, and both are measured on the day notice is given: the employee is over 45, and continuous service is at least two years.

Where the extra week does and does not apply
Situation on the day notice is givenNES noticeExtra week?
44 years old, 8 years' service4 weeksNo, under 45
50 years old, 18 months' service2 weeksNo, under 2 years' service
50 years old, 2 years' service exactly2 weeksYes, 3 weeks in total
60 years old, 20 years' service4 weeksYes, 5 weeks in total

What it is worth

One extra week of notice is one extra week of pay if the notice is paid out rather than worked. On $1,500 a week that is $1,500; on $2,500 a week it is $2,500. The Fair Work Ombudsman says a payment in lieu must equal the full amount the employee would have been paid had they worked to the end of the notice period, including incentive payments and bonuses, loadings, monetary allowances, overtime, penalty rates and any other separately identifiable amounts, so the true figure is often higher than base pay alone.

It is an addition, not a replacement

The extra week sits on top of the length-of-service figure. It does not raise the four-week cap into a new band; it adds one week to whichever band applies, which is why the practical maximum under the NES is five weeks. A longer period in an award, enterprise agreement or contract still overrides both.

Verify your own position against your award or agreement before acting. This is general information about the NES minimum and not advice on an individual dismissal.

Questions, answered directly

Does the extra week apply to employees over 45 with less than 2 years' service?

No. The Fair Work Ombudsman states the extra week applies to employees over 45 who have at least 2 years of continuous service with their employer. Below two years the ordinary scale applies with no addition, whatever the employee's age.

Is the extra week paid on top of redundancy pay?

Notice and redundancy pay are separate entitlements. Redundancy pay is worked out on its own scale under the NES, and the notice figure, including the extra week where it applies, does not replace it. Use the Fair Work Ombudsman's Notice and Redundancy Calculator for the redundancy side.

Check the number before you sign anything.

The NES scale, the over-45 week and any longer period in your award, in one calculation.

Calculate notice period