Many employment contracts, both written and oral, do not contain clauses about the amount of notice required to terminate the contract. That does not mean an employer can terminate the contract without notice. Rather, in such cases, the law will imply a term providing that the contract can be terminated on ‘reasonable notice’. Recently, the Courts have taken inconsistent approaches to the issue of reasonable notice, with some ruling that the minimum entitlement to notice pursuant to the Fair Work Act 2009 (Cth) renders it unnecessary to imply reasonable notice in employment contracts. This issue awaits determination by a superior Court.

How long ‘reasonable notice’ is depends on the circumstances. Relevant factors include:

• seniority of position
• length of service
• salary
• age
• anticipated length of employment
• any detriment the employee suffered in order to take-up the position.

In some cases reasonable notice can be as much as 12 months. However, the cases on reasonable notice are increasingly difficult and complex. It’s important that you seek legal advice about your reasonable notice entitlement.