Secondment Agreement (Australia)
Employee Secondment — Tripartite Arrangement, Ongoing Employment Preserved
This Secondment Agreement (the “Agreement”) is made on [Agreement Date] between:
[Employer Name] (ABN [Employer ABN]), of [Employer Address], [Employer City] [Employer State] [Employer Postcode] (the “Employer”);
[Host Name] (ABN [Host ABN]), of [Host Address], [Host City] [Host State] [Host Postcode] (the “Host Organisation”); and
[Employee Name], of [Employee Address], [Employee City] [Employee State] [Employee Postcode] (the “Employee”).
The Employer, the Host Organisation, and the Employee are referred to collectively as the “Parties”.
BACKGROUND
A. The Employee is employed by the Employer as [Employee Position].
B. The Employer and the Host Organisation have agreed that the Employee will be temporarily seconded to the Host Organisation to perform the role of [Secondment Role] for a fixed period.
C. The Parties acknowledge that this Agreement creates a tripartite secondment arrangement. The Employee’s employment relationship with the Employer continues throughout the secondment period. The secondment is not a transfer of employment and does not affect the Employee’s continuity of service, leave accruals, or other entitlements under the Fair Work Act 2009 (Cth) and the Employee’s existing employment contract.
D. The Employee consents to the secondment on the terms set out in this Agreement.
1. SECONDMENT ROLE AND PURPOSE
1.1 During the secondment period, the Employee will perform the role of [Secondment Role] at the Host Organisation.
1.2 The purpose of the secondment is: [Secondment Purpose].
1.3 The Employee’s day-to-day duties during the secondment will be directed by the Host Organisation, consistent with the role described in clause 1.1. The Host Organisation must not direct the Employee to perform duties that are materially outside the scope of the secondment role without the Employer’s prior written consent.
2. SECONDMENT PERIOD
2.1 The secondment commences on [Secondment Start] and is expected to conclude on [Secondment End] (the “Secondment Period”).
2.2 The Secondment Period may be extended by written agreement of all three Parties. Any extension does not constitute a permanent transfer of employment or a variation to the Employee’s ongoing employment contract with the Employer.
2.3 At the conclusion of the Secondment Period, the Employee will return to their substantive role with the Employer as [Employee Position], unless otherwise agreed in writing.
3. EMPLOYMENT RELATIONSHIP
3.1 Throughout the Secondment Period, the Employee’s employment relationship remains with the Employer. The Employee is not employed by the Host Organisation and does not acquire any employment entitlements from the Host Organisation as a result of this secondment.
3.2 The Employer remains responsible for: (a) paying the Employee’s salary and superannuation guarantee contributions; (b) PAYG withholding and payroll tax obligations; (c) maintaining workers’ compensation insurance for the Employee; (d) managing all leave entitlements and liabilities; and (e) disciplinary matters and termination of employment, in consultation with the Host Organisation where relevant.
3.3 The Employee’s continuity of service, for the purposes of long service leave, notice of termination, redundancy pay, and all other service-based entitlements under the Fair Work Act 2009 (Cth) and the National Employment Standards, is not broken by the secondment.
4. REMUNERATION
4.1 During the Secondment Period, the Employee will receive a salary of [Salary]. Superannuation guarantee contributions will be made by the Employer at the applicable rate (currently 11.5% as at the 2024–25 financial year) on top of the salary.
4.2 The Employer will continue to pay the Employee’s salary and superannuation directly. Any variation to the Employee’s remuneration during the Secondment Period requires the written agreement of all three Parties.
5. LEAVE ENTITLEMENTS
5.1 The Employee continues to accrue annual leave, personal/carer’s leave, and long service leave with the Employer throughout the Secondment Period, in accordance with the National Employment Standards under the Fair Work Act 2009 (Cth) and any applicable modern award or enterprise agreement.
5.2 [Leave Arrangement].
5.3 The Employee must comply with the Employer’s leave application procedures when requesting leave during the Secondment Period. The Employee must also give reasonable notice to the Host Organisation of any planned absence.
6. WORK HEALTH AND SAFETY
6.1 Both the Employer and the Host Organisation are Persons Conducting a Business or Undertaking (PCBUs) under the Work Health and Safety Act 2011 (Cth) and [WHS State] WHS legislation, and each owes concurrent primary duties to ensure the health and safety of the Employee during the Secondment Period.
6.2 The Host Organisation has primary day-to-day WHS responsibility for the Employee during the Secondment Period and must: (a) provide and maintain a safe work environment at the host site; (b) provide the Employee with site-specific induction, information, instruction, and supervision; (c) consult with the Employer about any WHS hazards or risks affecting the Employee; and (d) notify the Employer immediately of any workplace injury, incident, or dangerous occurrence involving the Employee.
6.3 Workers’ compensation insurance for the Employee remains the responsibility of the Employer. The Host Organisation must provide full cooperation in the management of any workers’ compensation claim arising from an injury at the host site.
7. EARLY TERMINATION AND RETURN
7.1 The Host Organisation or the Employer may end the secondment early by giving the other parties [Termination Notice Days] calendar days’ written notice.
7.2 The secondment may be terminated immediately by any party by written notice if: (a) the Employee commits serious misconduct in accordance with the Employer’s disciplinary policy; (b) the Host Organisation or Employer is subject to insolvency, administration, or winding-up proceedings; or (c) circumstances at the host site make it impracticable or unsafe for the Employee to continue working there.
7.3 On early termination of the secondment, the Employee will return to their substantive role with the Employer as [Employee Position] (or such other role as may be agreed in writing). Early termination of the secondment does not constitute a termination of the Employee’s employment with the Employer.
8. GENERAL PROVISIONS
8.1 Governing Law. This Agreement is governed by the laws of [Governing State], Australia, and the Parties submit to the exclusive jurisdiction of the courts of [Governing State].
8.2 Entire Agreement. This Agreement (together with the Employee’s existing employment contract with the Employer) constitutes the entire agreement between the Parties in relation to the secondment.
8.3 Amendments. No amendment to this Agreement is effective unless it is in writing and signed by all three Parties.
8.4 Severability. If any provision of this Agreement is void or unenforceable, it may be severed without affecting the validity of the remaining provisions.
8.5 Privacy. The Parties must handle the Employee’s personal information in accordance with the Privacy Act 1988 (Cth) and any applicable state privacy legislation.
EXECUTED as an Agreement on the date first written above.
EMPLOYER
[Employer Name]
ABN: [Employer ABN]
Address: [Employer Address], [Employer City] [Employer State] [Employer Postcode]
HOST ORGANISATION
[Host Name]
ABN: [Host ABN]
Address: [Host Address], [Host City] [Host State] [Host Postcode]
EMPLOYEE
[Employee Name]
Address: [Employee Address], [Employee City] [Employee State] [Employee Postcode]
Employer
________________
Signature
Date: ________________
Host Organisation
________________
Signature
Date: ________________
Employee
________________
Signature
Date: ________________
What Is a Secondment Agreement (Australia)?
A Secondment Agreement in Australia sets out the duties, hours, pay, leave, and termination terms between employer and employee, consistent with the minimum entitlements guaranteed by the Fair Work Act 2009 (Cth).
In Australia, secondments are used extensively in the corporate sector, the public service, not-for-profit organisations, and multi-national companies. They serve a range of business purposes: transferring specialist skills and expertise between organisations, providing leadership development opportunities for high-potential employees, supporting collaborative or joint venture projects, and enabling staff exchanges between organisations in the same industry or regulatory sector.
A secondment is legally distinct from a transfer of employment. In a transfer, the employee leaves one employer and starts a new employment relationship with another. In a secondment, the original employment contract remains on foot. The employee retains their continuity of service, their leave entitlements (annual leave, personal/carer's leave, long service leave), and all rights under the Fair Work Act 2009 (Cth) and their existing employment contract. At the end of the secondment, the employee returns to their substantive role with the employing organisation.
The Australia Secondment Agreement (Australia) Australian Secondment Agreement template is designed for commercial, corporate, and government secondment arrangements and covers all of the key issues that must be addressed in a tripartite secondment, including the preservation of employment entitlements, allocation of WHS responsibilities, cost reimbursement, confidentiality obligations, and early termination provisions.
The legal framework governing the Secondment Agreement (Australia) in Australia draws on several key statutes and regulatory bodies. Under the Fair Work Act 2009 (Cth), the Fair Work Commission (FWC) adjudicates workplace disputes. Section 394 of the Fair Work Act 2009 governs unfair dismissal claims. The Fair Work Ombudsman (FWO) enforces compliance with the National Employment Standards (NES). The Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs) govern personal data handling. The Australian Taxation Office (ATO) administers PAYG withholding and superannuation guarantee obligations under the Superannuation Guarantee (Administration) Act 1992. Parties executing a Secondment Agreement (Australia) in Australia should confirm the document reflects current law, including any amendments enacted since the original drafting date. The Fair Work Act 2009 (Cth) sets the foundational requirements.
When Do You Need a Secondment Agreement (Australia)?
A Secondment Agreement is needed whenever an employee is temporarily assigned to work at or for another organisation in Australia, while remaining employed by their original employer. Both the employing organisation and the host organisation need a written agreement to document their respective rights and obligations.
Common situations in which an Australian Secondment Agreement is essential include: when a large corporation temporarily assigns a specialist manager, engineer, or consultant to a subsidiary, related entity, or joint venture partner; when a government agency seconds a public servant to another agency, a statutory body, or a private sector partner for a specific policy or infrastructure project; when a professional services firm seconds a solicitor, accountant, or advisor to a client for an extended engagement; when universities, TAFE colleges, or research organisations second academic or research staff to industry partners; when two companies collaborate on a shared initiative and each seconds staff to a joint project team; and when a multi-national company rotates staff between its Australian entity and an overseas affiliate.
Without a written Secondment Agreement, there is significant risk of dispute about: who bears WHS responsibility if the employee is injured at the host site; whether the host organisation can direct the employee to perform duties outside the agreed role; whether the employee's leave entitlements are preserved; how the cost of the employee is allocated between the organisations; and what happens if the secondment needs to end early.
The Australia Secondment Agreement (Australia) template is suitable for all Australian states and territories including New South Wales, Victoria, Queensland, Western Australia, South Australia, and the Australian Capital Territory.
Parties in Australia should prepare a Secondment Agreement (Australia) proactively rather than waiting for a dispute to arise. Courts interpret agreements based on the written terms rather than oral representations. Under the Fair Work Act 2009 (Cth), the Fair Work Commission (FWC) adjudicates workplace disputes. Section 394 of the Fair Work Act 2009 governs unfair dismissal claims. The Fair Work Ombudsman (FWO) enforces compliance with the National Employment Standards (NES). The Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs) govern personal data handling. The Australian Taxation Office (ATO) administers PAYG withholding and superannuation guarantee obligations under the Superannuation Guarantee (Administration) Act 1992. Where the transaction involves regulated activities, prior approval from the relevant authority may be required before execution.
What to Include in Your Secondment Agreement (Australia)
A well-drafted Australian Secondment Agreement must address several key elements to protect all three parties.
Preservation of the employment relationship is the fundamental element. The agreement must clearly state that the employment relationship remains between the employee and the employing organisation throughout the secondment, and that the secondment does not constitute a transfer of employment. This protects the employee's continuity of service, leave accruals, and entitlements under the Fair Work Act 2009 (Cth) and their employment contract.
The secondment role and purpose must be clearly defined. The host organisation can only direct the employee to perform work within the agreed secondment role. If the host organisation requires the employee to perform materially different or additional duties, this should be treated as a variation to the secondment arrangement, requiring the employing organisation's written consent.
Remuneration and cost reimbursement arrangements must be transparent. The agreement should specify the employee's salary during the secondment, whether the host organisation will reimburse the employing organisation for payroll costs (including salary, superannuation guarantee at 11.5% in 2024-25, payroll tax, and workers' compensation insurance premiums), and the payment terms for any reimbursement invoice.
Leave management provisions clarify how the employee's leave entitlements are administered. Because the employment relationship remains with the employing organisation, all leave applications should be approved by the employing organisation (and notified to the host organisation). The agreement should address whether leave taken during the secondment is reimbursed by the host organisation as part of the cost recovery arrangement.
Work Health and Safety responsibilities must be allocated clearly. Both the employing organisation and the host organisation are PCBUs under the Work Health and Safety Act 2011 (Cth) with concurrent duties. The host organisation has primary day-to-day WHS responsibility, while the employing organisation retains workers' compensation insurance obligations.
Early termination provisions allow the secondment to be wound up if circumstances require, without triggering a termination of employment. The agreement should specify the notice period for early termination and confirm that the employee returns to their substantive role on conclusion.
Additional compliance elements for a Secondment Agreement (Australia) used in Australia include: Under the Fair Work Act 2009 (Cth), the Fair Work Commission (FWC) adjudicates workplace disputes. Section 394 of the Fair Work Act 2009 governs unfair dismissal claims. The Fair Work Ombudsman (FWO) enforces compliance with the National Employment Standards (NES). The Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs) govern personal data handling. The Australian Taxation Office (ATO) administers PAYG withholding and superannuation guarantee obligations under the Superannuation Guarantee (Administration) Act 1992. Forms-legal.com provides this template as a starting point for Australia-compliant documentation.
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Reference this free template in an article, syllabus, or research note:
Forms Legal. (2026). Secondment Agreement (Australia) (Australia) [Legal document template]. Forms Legal. https://forms-legal.com/australia/employment/contracts/secondment-agreement-australia
"Secondment Agreement (Australia) (Australia)." Forms Legal, 2026, https://forms-legal.com/australia/employment/contracts/secondment-agreement-australia.
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author = {{Forms Legal}},
title = {Secondment Agreement (Australia) (Australia)},
year = {2026},
howpublished = {\url{https://forms-legal.com/australia/employment/contracts/secondment-agreement-australia}},
note = {Free legal document template. Based on Fair Work Act 2009 (Cth)}
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Frequently Asked Questions
A secondment is a temporary assignment of an employee from their employing organisation (the 'employer' or 'seconding organisation') to another organisation (the 'host organisation') for a defined period, after which the employee returns to their substantive role. The critical legal distinction between a secondment and a transfer of employment is that a secondment does not terminate the employment relationship between the employee and the employing organisation. The employee retains their continuity of service, their leave entitlements (annual leave, personal/carer's leave, long service leave), and all rights under their existing employment contract and the Fair Work Act 2009 (Cth) National Employment Standards. A transfer of employment, by contrast, involves the employee ceasing employment with the original employer and commencing a new employment relationship with the receiving organisation. Under s22A of the Fair Work Act 2009, certain transfers may preserve service continuity in limited circumstances, but a transfer is fundamentally different from a secondment.
The employing organisation (seconding employer) remains responsible for paying the seconded employee's salary, superannuation guarantee contributions, PAYG withholding, and payroll tax throughout the secondment period. This is because the employment relationship remains with the employing organisation. The Superannuation Guarantee rate is currently 11.5% (2024-25 financial year), increasing to 12% from 1 July 2025. In many commercial secondment arrangements, the host organisation reimburses the employing organisation for all or part of these payroll costs. The reimbursement amount typically covers base salary, superannuation, payroll tax, workers' compensation insurance premiums, and an administrative levy. The cost reimbursement arrangement should be clearly documented in the secondment agreement.
Both the employing organisation and the host organisation are Persons Conducting a Business or Undertaking (PCBUs) under the Work Health and Safety Act 2011 (Cth) and equivalent state and territory WHS legislation, and each owes concurrent primary duties to requires the health and safety of the seconded employee. In practice, the host organisation bears primary day-to-day WHS responsibility because it controls the work environment and directs the employee's activities at the host site. The host organisation must provide a safe work environment, conduct site-specific inductions, provide information and supervision, and notify the employing organisation immediately of any injury or incident. Workers' compensation insurance for the seconded employee remains the responsibility of the employing organisation as the employer of record. The host organisation should be aware that where a workplace injury arises from conditions at the host site, the workers' compensation insurer may seek to recover costs from the host organisation.
No. A secondment does not break the employee's continuity of service and does not affect their entitlement to annual leave, personal/carer's leave, or long service leave. All leave continues to accrue with the employing organisation throughout the secondment period in accordance with the National Employment Standards under the Fair Work Act 2009 (Cth) and any applicable modern award or enterprise agreement. Long service leave entitlements are governed by state and territory legislation (such as the Long Service Leave Act 2018 (VIC) or the Long Service Leave Act 1955 (NSW)), and a secondment within or between organisations generally does not break service for long service leave purposes, provided the employment relationship with the original employer is maintained. The secondment agreement should specify how leave applications are managed and how any leave taken during the secondment is allocated for cost reimbursement purposes.
The host organisation cannot terminate the seconded employee's employment, as the employment relationship is between the employee and the employing organisation. The host organisation may request that the employing organisation recall the seconded employee from the host site, and may take day-to-day management actions consistent with its workplace policies (such as issuing directions about attendance or conduct), but formal disciplinary action and termination of employment must be handled by the employing organisation. If the host organisation has concerns about the employee's conduct or performance, it should raise these with the employing organisation, which will then follow its usual disciplinary procedures under the employee's employment contract and the Fair Work Act 2009 (Cth). Unfair dismissal claims arising during or at the end of a secondment would generally be brought against the employing organisation, not the host organisation, as the employing organisation is the employer.
This template is provided for informational purposes only and does not constitute legal advice. Laws vary by jurisdiction and change over time. Consult a qualified attorney for advice specific to your situation.Full disclaimer
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