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Clerks Award Working From Home Clause Confirmed: What Employers Need to Know

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The Fair Work Commission has now formally varied the Clerks – Private Sector Award 2020 to include the ability for an employee covered by it to request a working from home arrangement.

 

The new provision takes effect from 26 October 2026 and represents a significant modern award change.

 
For employers affected by the change, the new award clause provides a framework for documenting and managing work from home arrangements while preserving employer discretion over whether such arrangements are approved.

What Has Changed?

Following its earlier substantive decision in August 2026, the Fair Work Commission has now issued a determination inserting a new clause 5A – Requests for Working from Home Arrangements into the Clerks Award.

The new clause expressly provides that:

An employee may request, and an employer may agree to, an arrangement permitting the employee to work from home.

Importantly, the provision does not create an automatic entitlement to work from home and does not impose an obligation on employers to approve requests. Rather, it establishes a mechanism through which employers and employees may agree to compliant working from home arrangement.

How Is "Working From Home" Defined?

The new clause defines working from home as:

The performance of duties by an employee at their residence or at another location chosen by the employee and approved by the employer.

Employee Requests Must Be in Writing

Employees seeking a work from home arrangement must submit a written request identifying:

  • the days they wish to work from home; or
  • the number, proportion or pattern of days the employee proposes to work from home

Greater Flexibility Under the Award

A key feature of the new clause is that employers and employees may agree to modify the application of certain award provisions to facilitate the grant of a working from home arrangement.

 

The parties may agree to modify:

  • the requirement for ordinary hours to be worked continuously;
  • the requirement that ordinary hours be worked at the employer’s discretion;
  • the time for taking rest breaks; and
  • the time for taking meal breaks.

The clause also permits facilitative agreements dealing with:

  • alteration of the spread of ordinary hours;
  • make-up time arrangements;
  • changes to the employee’s start and finish times; and
  • time off in lieu of overtime arrangements.

For many employers, these provisions will provide a practical and compliant way to align award obligations with the realities of hybrid work.

New Documentation Requirements

Any work from home arrangement agreed under the new clause must be documented in writing. The agreement must identify:

  • the days of he week, or the number, proportion or pattern of days, on which it is agreed the employee may work from home;
  • the approved work location;
  • any agreed modification of award provisions;
  • any facilitative agreement;
  • the start date of the arrangement; and
  • how the arrangement can be varied by agreement or terminated by either party.

Employers must keep the agreement as a time and wages record and provide a copy to the employee.

What Employers Should Know

Employers covered by the Clerks Award should:

  • understand their obligations under the Clerks Award commencement ;
  • assess whether current work from home practices should be updated in line with the Clerks Award requirements;
  • consider updating work from home policies as they relate to employees covered by the Clerks Award;
  • introduce a standard request and approval process;
  • prepare template agreements that satisfy clause 5A.

Many private sector businesses employing administrative and clerical employees have adopted informal remote working arrangements over recent years. The new clause provides an opportunity to formalise those arrangements and reduce compliance risk.

Commencement Date

The determination comes into effect on 26 October 2026. However, consistent with the Fair Work Act, it will not apply to a particular employee until the start of that employee’s first full pay period commencing on or after that date.

Key Takeaway

The new work from home clause is largely facilitative rather than prescriptive. It does not create a right to work from home, but it does provide a practical mechanism for employers and employees to agree on compliant working from home arrangements. For employers with employees covered by the Clerks Award, now is the time to review existing arrangements and ensure appropriate documentation is in place before the changes commence.

How HintonFlynn Legal can help

HintonFlynn Legal advises employers on award compliance, work from home arrangements, requests for flexible working arrangements, employment contracts and workplace policies. If your organisation is covered by the Clerks Award, HintonFlynn Legal can assist with reviewing policies, preparing compliant work from home agreements and managing requests under the new clause 5A.