Income Insurance Online :: News
SHARE

Share this news item!

What the Right to Disconnect Means for Restaurant Risk

After-hours calls, roster changes and staff expectations now need clearer controls

What the Right to Disconnect Means for Restaurant Risk?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Australia's right-to-disconnect rules are now part of the employment landscape for small businesses, adding a fresh compliance issue for restaurants, cafes and takeaway operators.
The change gives eligible employees a workplace right to refuse unreasonable work-related contact outside their ordinary hours, depending on the circumstances.
For hospitality venues, where rosters shift quickly and managers often rely on texts, calls and group chats, the practical impact can be significant.

This is not only an HR issue. It can also affect the way restaurant owners think about legal risks, management liability, employment practices cover and workers compensation exposure. A dispute over repeated after-hours contact may start as a roster complaint, but it can grow into a broader allegation about unreasonable work demands, stress, adverse action or poor workplace systems. Insurance may help with certain defence costs or claims, but it will not replace sound policies, good records and compliant management behaviour.

The challenge for restaurants is that genuine operational needs do arise outside normal hours. Staff call in sick, supplier issues affect prep, bookings change, equipment fails and delivery platforms can create sudden pressure. The key question is whether contact is reasonable in context. Factors may include the employee's role, level of responsibility, whether they are paid to be available, the reason for the contact, the urgency of the issue and the way the venue usually manages rostering.

Restaurant owners should consider several practical steps:

  • Update employment policies so managers understand when after-hours contact is appropriate and when it should wait.
  • Set clear escalation rules for urgent matters such as safety incidents, major equipment failures or last-minute roster gaps.
  • Review salary arrangements, allowances and on-call expectations for supervisors, chefs and managers.
  • Keep written records of roster requests, staff responses and any agreed availability arrangements.
  • Train venue managers not to penalise staff for reasonably declining contact outside working hours.

From an insurance perspective, this is a timely prompt to review more than public liability and property cover. Employment-related disputes may sit under management liability or employment practices liability, while stress-related allegations may interact with workers compensation settings. Policy wordings vary widely, and some exclusions can be strict where breaches are deliberate or where penalties and unpaid entitlements are involved.

A practical review should bring together employment contracts, rostering systems, payroll settings, incident records and current insurance schedules. Where there is uncertainty, a broker or adviser can help identify whether the venue's cover aligns with its actual staffing practices. For busy hospitality businesses, the safest approach is to make after-hours contact the exception, not the operating model.

Published:Wednesday, 16th Sep 2026
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Rate this article

0 Comments

No comments yet. Be the first to share your thoughts.

Insurance News

Why rising builder failures matter for contract works cover
Why rising builder failures matter for contract works cover
17 Sep 2026: Paige Estritori
Australia's construction sector remains under pressure, with recent insolvency figures continuing to show building and construction as one of the most exposed parts of the economy. Higher material costs, tight margins, labour shortages, delayed payments and fixed-price contract stress have all contributed to a tougher operating environment for builders, subcontractors and project owners. - read more
How Softer Truck Sales Can Affect Insurance Decisions
How Softer Truck Sales Can Affect Insurance Decisions
17 Sep 2026: Paige Estritori
Recent transport industry sales updates point to a more selective new-truck market, with operators weighing replacement timing against finance costs, emissions planning, availability and contract confidence. For truck businesses, that matters well beyond the showroom. A change in buying momentum can flow through to vehicle values, repair economics, insurer appetite and the way fleets should set insurance sums before renewal. - read more
Cyber Scam Alerts: What Trade Businesses Should Check Now
Cyber Scam Alerts: What Trade Businesses Should Check Now
17 Sep 2026: Paige Estritori
Fresh small business cyber warnings are a practical reminder that digital risk is no longer just a concern for large companies with complex IT systems. For Australian tradespeople, the most damaging cyber incident may be far simpler: a fake invoice, altered bank details, a compromised email account or a scam message that looks like it came from a supplier, builder, real estate agent or client. - read more
Why Super Service Standards Matter for Your Income Protection
Why Super Service Standards Matter for Your Income Protection
17 Sep 2026: Paige Estritori
ASIC’s continuing focus on superannuation member services has put another practical issue in front of Australian workers: insurance inside super is not just about whether cover exists, but whether members can understand and use it when they need help. Recent regulatory attention on trustee administration, communication and claims support is a timely reminder for anyone relying on salary continuance or income protection benefits through their fund. - read more
What More PBS Trucking Means for Insurance Cover
What More PBS Trucking Means for Insurance Cover
17 Sep 2026: Paige Estritori
Recent transport industry reporting has again highlighted growing interest in Performance Based Standards vehicles and other high-productivity truck combinations across Australia. For operators, the attraction is clear: fewer trips, better payload efficiency and stronger productivity on approved routes. For insurers, however, the shift is not simply a matter of adding another truck to the schedule. PBS combinations can alter exposure across vehicle value, route compliance, load responsibility, driver capability and recovery after an incident. - read more


Life Insurance Articles

Income Protection Insurance for Casual and Part-Time Workers
Income Protection Insurance for Casual and Part-Time Workers
Casual and part-time workers in Australia may be able to get income protection insurance, but eligibility often depends on income consistency, hours worked, occupation, health, employment history and the insurer's underwriting criteria. - read more
Income Protection Insurance: Understanding Waiting Periods and Benefit Periods
Income Protection Insurance: Understanding Waiting Periods and Benefit Periods
Income protection insurance is a financial product designed to support individuals in the event that they are unable to work due to illness or injury. This type of insurance provides a regular income, helping to replace a portion of lost earnings and meet daily living expenses. Virtually anyone earning an income, especially those with financial dependents or significant debts, should consider the peace of mind that income protection can offer. - read more
Deciphering Your Policy: A Beginner's Guide to Insurance Terminology
Deciphering Your Policy: A Beginner's Guide to Insurance Terminology
Welcome to the world of insurance – a domain where words like 'deductible' and 'premium' can significantly impact your financial protection and peace of mind. As a beginner, grasping the basics of insurance terminology is the first step towards making informed decisions about the policies that safeguard your assets and future. In this guide, we will embark on a journey through the language of insurance, which can often seem as complex as the policies themselves. - read more
5 Key Factors to Consider When Shopping for Income Protection in Australia
5 Key Factors to Consider When Shopping for Income Protection in Australia
Welcome to our comprehensive guide on securing your financial future in Australia. In a world of uncertainties, income protection insurance plays a critical role in maintaining your financial security and peace of mind. - read more
Finding Accidental Coverage When Comprehensive Income Protection Isn't an Option
Finding Accidental Coverage When Comprehensive Income Protection Isn't an Option
Income protection is an integral part of maintaining your financial security, especially in the event that unforeseen illnesses or injuries prevent you from working. Enabling you to receive a percentage of your regular income, this type of insurance provides a safety net, ensuring that you can continue to cover your living expenses and financial obligations whilst recovering. - read more

Knowledgebase
Beneficiary:
The person or entity designated to receive the death benefit from a life insurance policy.