Public holidays: What employers need to know

Article by HR Legal

Each year, ANZAC Day and Easter public holidays present compliance challenges for employers, particularly those operating across multiple jurisdictions or within hospitality, retail and essential services. While public holidays are often viewed as automatic ‘days off’, the legal position under Australian employment law is more complex.

Employers often need to carefully manage requirements to work, consider the potential substitution of public holidays and account for restricted trading obligations to minimise legal and operational risk.

Across Australia, most states/territories recognise Good Friday and Easter Monday as public holidays. However, there are some differences in which other days over the Easter period are formally recognised by each state or territory.

Further, while ANZAC Day is observed on 25 April each year, its operation as a public holiday varies across the states or territories. In 2026, the New South Wales and West Australian governments have imposed an additional public holiday on Monday, 27 April, in addition to the traditional 25 April date (a Saturday in 2026), due to ANZAC Day falling on a weekend this year. The ACT has transferred the public holiday to Monday, 27 April in 2026.

In addition to employment law obligations, ANZAC Day is subject to specific trading restrictions and commemorative requirements, particularly in the morning. Employers should be cautious of how they approach rostering and operational planning on this day.

Working on a public holiday

Under the Fair Work Act 2009 (Cth) (FW Act), permanent employees are entitled to be absent from work on a public holiday and are entitled to their normal pay for that day if the public holiday falls on a day they would normally work.

However, employers may request that an employee work on a public holiday, provided the request is considered as ‘reasonable’. An employee may refuse to work on a public holiday where the refusal itself is ‘reasonable’.

Whether an employer’s request or an employee’s refusal to work on a public holiday is reasonable depends on a number of factors, including:

  • The nature of the employer’s requirement.
  • The employee’s role and responsibilities.
  • The employee’s personal circumstances (e.g. caring responsibilities).
  • Whether the employee will receive any additional pay (e.g. penalty rates).
  • Whether the employee was given adequate notice of the request.

Employers should also be mindful that Modern Awards and Enterprise Agreements may impose additional obligations, including enhanced penalty rates or minimum engagement periods on public holidays.

Substituting public holidays

Many Modern Awards and Enterprise Agreements mandate substituted days off work for public holidays or may otherwise allow for the substitution of a public holiday with another day by mutual agreement.

Substitution can provide flexibility for both employers and employees, particularly where operational continuity is required or employees prefer to take an alternative day off. Where an employee is not covered by a Modern Award or Enterprise Agreement, a business may still agree with the employee to substitute the public holiday for another day off work.

Restricted trading

ANZAC Day is subject to strict state-based retail trading restrictions, particularly during the morning. In many jurisdictions, non-exempt businesses are prohibited from opening before 1pm, with some variations depending on location and business type. Easter public holidays, especially Good Friday and Easter Sunday, are also subject to trading restrictions in several states and territories.

These trading laws operate independently of employment law obligations. Even where employees are willing to work, businesses must comply with applicable trading legislation. Breaches can attract significant penalties for both companies and individuals.

Key takeaways

ANZAC Day and Easter public holidays require a tailored approach rather than a blanket solution. Employers should ensure they have correctly identified public holiday entitlements, reviewed applicable Modern Awards and Enterprise Agreements, and carefully assessed whether requests to work are reasonable and properly communicated. Any substitution arrangements should be clearly documented, and trading restrictions confirmed before staff are rostered to work.

Proactive planning and early advice can assist employers in navigating these obligations while balancing operational requirements with employee rights and entitlements. If your business requires further assistance in checking the entitlements that apply to your workplace, please contact HR Legal for further legal advice: [email protected]

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