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By giving notice

The most common way to end a contract of employment is an employee giving notice or resigning. A reason is not required. Once notice has been given and accepted it cannot be withdrawn unless both parties agree to the withdrawal of the notice.

The contract of employment may state the amount of notice required. If the contract does not specify the period of notice, the courts require that reasonable notice be given. What is reasonable depends on a number of factors, including the status of the worker, the length of service, the customs and practices of the particular industry and how the wages are paid (that is, whether weekly or fortnightly). However, even reasonable notice cannot be used to bring to an end a contract of employment made for a fixed time (such as 3 years).

The law requires that employers provide a certain minimum notice period when terminating the employment of one of their workers. The Fair Work Act 2009 (Cth) [s 117] sets out the minimum notice periods (for national system employees). These are the same as those set out in the Fair Work Act 1994 (SA).

Where an award an award or agreement does not state what notice must be given, the following times are required [Fair Work Act 1994 (SA) sch 8]:

Period of continuous service Minimum notice
less than 1 year 1 week
1 - 3 years 2 weeks
3 - 5 years 3 weeks
more than 5 years 4 weeks

If the employee is over 45 years of age and has completed at least 2 years' continuous service, an extra week of notice must be added to these periods of minimum notice.

Under the Fair Work Act 2009 (Cth), continuous service does not include periods of employment as a casual [s 117(4)]. For further information about what is to be disregarded in determining the period of continuous service under the Fair Work Act 1994 (SA), see the Fair Work (General) Regulations 2024 (SA) [reg 11].

An enterprise agreement or award may also state the period of notice that must be given (such as 2 weeks or one month). Where these are more generous than the statutory minimum, they will prevail. By strictly following the requirements of the agreement or award, the contract will be brought to an end at the end of the notice period. If the agreement or award provides for the payment of wages instead of giving notice, the contract of employment comes to an end when the payment is accepted. However, if this is not expressly provided for, the termination of the employment contract will not necessarily be affected by giving the employee wages instead of notice.

By giving notice  :  Last Revised: Mon Jan 15th 2024
The content of the Law Handbook is made available as a public service for information purposes only and should not be relied upon as a substitute for legal advice. See Disclaimer for details. For free and confidential legal advice in South Australia call 1300 366 424.