Why EOFY is Crucial for HR
As the end of the financial year (EOFY) approaches, businesses across Australia are reviewing their financials, but HR shouldn’t be left behind. The EOFY period is the perfect time to ensure your people processes, policies, and compliance measures are not only up to date but positioned for strategic success in the year ahead.
With increasing regulatory obligations, evolving employee expectations, and rising workplace stress, HR has never been more important. Here’s your ultimate HR checklist to help you enter the new financial year organised, compliant, and ready to grow.
1. Review Employee Contracts and Awards
Employment contracts should accurately reflect current employee roles, responsibilities, and entitlements. This includes checking for:
- Fair Work compliance
- Updated salary rates (especially if minimum wage changes were announced)
- Accurate job descriptions
- Appropriate award coverage
Misclassification or outdated terms can lead to costly legal challenges. EOFY is a great time to tidy this up.
2. Audit Employee Records
Under the Fair Work Act, businesses must maintain detailed and accurate records for all employees. This includes:
- TFN declarations
- Leave balances
- Superannuation contributions
- Pay slips and payment summaries
- Emergency contact details
Make sure all files are secure and accessible, especially if you’ve recently onboarded new team members or had staff turnover.
3. Update HR Policies and Procedures
A new financial year often brings changes in legislation. Review and update key workplace policies such as:
- Code of Conduct
- Work Health and Safety
- Remote or Hybrid Work Policies
- Leave Policies (including parental and personal leave)
- Equal Opportunity and Anti-Discrimination Policies
Having clear, current policies protects both your business and your team.
4. Plan for Upcoming Staffing Needs
The start of a new financial year is a strategic moment to assess your team structure. Ask yourself:
- Are you staffed adequately for your growth plans?
- Is anyone due for long service leave or parental leave?
- Are key roles vulnerable to burnout?
Workforce planning ensures you’re prepared — and not scrambling to fill gaps mid-year.
5. Conduct a Training & Development Review
EOFY is ideal for setting new performance goals and revisiting training needs. Consider:
- Leadership training for managers
- Compliance training updates (e.g., WHS or anti-bullying)
- Soft skills training to boost morale and retention
Upskilling your team improves performance and helps retain top talent — both critical in today’s competitive market.
6. Evaluate Staff Performance and Engagement
Annual performance reviews or check-ins can help:
- Recognise top performers
- Identify underperformance early
- Understand employee aspirations
- Uncover workplace culture issues
Don’t wait until there’s a problem. Regular engagement helps with retention and alignment.
7. Ensure Payroll and Superannuation Compliance
With single-touch payroll (STP) and superannuation changes, EOFY is a high-risk area if not managed well. Check:
- Super payments are up to date
- Bonuses or commissions are correctly processed
- PAYG summaries are reconciled
- Payroll software is aligned with ATO requirements
Also ensure that the super guarantee rate (currently 11% as of 1 July 2024) is correctly applied.
8. Update Leave Balances and Public Holidays
Ensure all accrued annual and personal leave balances are correct in your system. It’s also a good idea to:
- Remind employees to take breaks
- Plan around public holidays and long weekends
- Review any leave carryover policies
Burnout is real — encourage time off to refresh and recharge.
9. Assess Employee Wellbeing and Benefits
EOFY is a chance to reflect on your employee experience as a whole. Consider:
- Are employees satisfied with current benefits?
- Could you offer more flexibility, EAP support, or mental health days?
- How do your offerings compare to competitors?
Small improvements in benefits and wellbeing support can dramatically impact staff happiness and loyalty.
10. Set Clear HR Goals for FY25/26
A proactive HR strategy should align with your broader business goals. Whether it’s reducing turnover, improving diversity, or automating HR processes, set clear KPIs and track your progress.
Don’t just focus on compliance — use the new year as a launchpad for long-term success.
Bonus Tip: Don’t Overlook Government Incentives
EOFY is also the time to take advantage of available government support. One notable opportunity is:
$20,000 Instant Asset Write-Off
This allows you to claim 100% of a business purchase (like HR software or office upgrades) this financial year — instead of depreciating over time. The $20,000 limit applies per asset, so multiple purchases may be eligible.
To claim, make sure assets are purchased and installed by 30 June 2025.
Priority Hiring Incentive – Up to $5,000
To help tackle skills shortages, the Australian Government has introduced the Priority Hiring Incentive — offering businesses up to $z5,000 when hiring eligible apprentices or trainees in occupations listed on the Australian Apprenticeships Priority List.
This is a valuable opportunity to bring in fresh talent, boost productivity, and contribute to workforce development, while receiving financial support to ease initial costs.
Disability Australian Apprentice Wage Support
Employers who take on an Australian Apprentice with disability may be eligible for additional financial support through the Disability Australian Apprentice Wage Support program. This provides weekly payments to help offset wages and support inclusive hiring practices.
For more information about Government Incentives, visit the ATO website.
Final Thoughts: Use EOFY to Strengthen, Not Just Survive
EOFY is more than just a paperwork deadline. It’s a powerful opportunity to realign your HR foundation and lead your business confidently into the new financial year.
Not sure where to begin? Let us help.
📞 Ready to Simplify Your HR and Plan for Growth?
At People By Design HR, we specialise in helping Australian businesses audit, optimise, and elevate their HR systems. Whether you need support with compliance, policies, hiring or leadership — we’re here to partner with you.
👉 Contact our HR team today and make this new financial year your best yet.