Ongoing increases in operating costs continue to impact workplaces, and the real estate industry is no exception.
Rising expenses including fuel, utilities, wages and general business overheads are affecting both employers and employees, leading to operational challenges, workforce conversations and broader business decisions.
See how CCIWA can support businesses in navigating these pressures.
Employers across the real estate sector have increasingly asked whether additional allowances or reimbursements can be introduced to help offset rising costs. Any such payment would sit above existing minimum entitlements and is therefore a discretionary business decision.
Where employers choose to provide additional support, it is important to clearly define the parameters. Without clear limits, a temporary allowance may unintentionally become an implied term of employment. To manage this risk, any increase should be documented in writing, specifying the amount, duration and whether it is intended as a one‑off or time‑limited measure.
At this stage, there is no legal requirement under the Real Estate Industry Award 2020 to increase vehicle allowances in response to cost pressures.
Where rising operating costs require changes to business structure or staffing levels, employers should ensure they follow a procedurally fair redundancy process to reduce the risk of an unfair dismissal claim.
A redundancy is genuine only where the role itself is no longer required to be performed by anyone. Employers must also meet consultation obligations before any final decision is made.
In practice, this usually involves a three‑step process, with reasonable notice (generally around 24 hours) provided before each meeting:
Broader cost‑of‑living pressures may also contribute to stress, fatigue or distraction among employees, which can impact performance. In these circumstances, it is important to distinguish between issues of capacity or capability rather than motivation.
A fair and effective performance management process typically progresses through three stages:
CCIWA’s Employee Relations Helpline can:
For further information, please call the Employee Relations Helpline on 08 9365 7660 or email advice@cciwa.com.
CCIWA’s Policy and Advocacy team is also advocating to State and Federal Governments to:
Feedback to support ongoing advocacy can be provided at policy@cciwa.com.
In addition, CCIWA’s Human Resource and Workplace Relations Consultants can work directly with businesses to manage redundancy and performance processes, either in an advisory role or by undertaking these processes on the business’ behalf.
Written By Ravini Coorey – Employee Relations Officer
CCIWA, Business Law WA and REEFWA has taken all reasonable care in preparing this document. The contents of this document do not constitute legal advice and should not be relied upon as such. Specific advice for your situation should be sought from CCIWA, Business Law WA or a professional adviser before any action is taken. Neither REEFWA, CCIWA nor Business Law WA accept responsibility for any claim that arises from any person acting or refraining from acting on the information contained in this document.
“REEFWA are an exceptional corporate body that provides real time advice, advocacy and detailed information on all industrial relations matters pertaining to our industry. They operate with professionalism and personal service. Beneficially for you, they have a broad range of highly experienced personnel that work in the industry and offer years of knowledge.”
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