When you start a new job as a nanny, you may agree to working terms with a verbal or handshake agreement. After all, you want to establish a good relationship with this family, and asking them to sign a formal contract might feel uncomfortable.
Imagine you start working for a new family without a contract and then it quickly becomes apparent that they expect you to be available on public holidays and work two full weeks in a row with no break. Without a contract, you would have nothing legally binding to fall back on. To prevent such unfortunate situations, it’s always a good idea to use a written contract with your employers.
While employers in Australia are not legally obliged to give employees a written employment agreement, the law does require them to provide employees with a copy of the Fair Work Information Statement (FWIS) before they start their new job or as soon as possible afterwards. This informs employees of their rights. Even so, it’s a good idea to have a contract, as it also establishes up front exactly what both parties are expecting of the arrangement, which makes for a better working relationship.
Here’s what you need to know about the benefits of using a nanny contract, what it should include and how to obtain one.
Why you should use a nanny contract
Even if a verbal agreement can technically be considered a contract, it becomes much harder to prove what was agreed if you don’t get everything down in writing. Additionally, when a contract is concluded verbally, what you agree upon is open to interpretation. A written contract helps ensure you and your employer are on the same page about your role and what’s expected of both parties. You can make sure that any ambiguities are ironed out before starting work so that everything is crystal clear.
It’s also important to note that requesting a contract adds a layer of professionalism. Instead of coming across as difficult or high-maintenance, you’ll gain more trust and respect from the families you work for. It shows you take the role seriously enough to set boundaries and protect yourself so you can focus on doing a great job as a nanny.
What to include in a nanny contract
Aim to include the following in any nanny contract with the families that employ your services:
1. Your role and nanny responsibilities
It’s really important to have a very clear, detailed outline of the responsibilities that the family expects you to take on.
For example, many parents put “light housekeeping” in their job descriptions. The family could interpret this as vacuuming the entire house, whereas the nanny may think it only means taking care of the areas of the home related directly to childcare. The trick here is to be clear in the contract, outlining in detail the responsibilities that are expected and agreed.
This also means that if the family later asks you to do something that falls outside the original agreement, such as looking after a friend’s dog or taking care of another child, you can always refer back to your contract and say that this was not agreed.
2. The employer family’s responsibilities
While your contract should state your responsibilities, it should also explain what the employer will offer. For example, will they provide you with a credit card or cash for outings with the kids, or do you need to pay upfront and request reimbursement later?
3. Your pay rate
Your contract should clearly state your payment rate in line with the minimum wage, how overtime pay works, what your employer is withholding for taxes and how and when you will receive your pay.
4. Paid time off, including sick days
In Australia, full-time and part-time employees are entitled to at least four weeks of annual leave, based on their ordinary hours of work. This basic requirement should be included in your contract, as well as any additional weeks of leave you might agree with your employer. It’s important to note that in Australia, annual leave is accumulated from the first day of employment. You can work out how much paid holiday you have accrued using this calculator. Your contract should also outline how you’ll handle sick days and carer’s leave, and whether they will be paid.
It’s worth considering that even if you’re physically capable of working, you don’t want to bring germs into the house, so you should have a mutually agreed policy on what to do if you’re sick.
If the family asks you to accompany them on long trips, it can also be a good idea to request a guaranteed day off. The most important thing is to be realistic about your needs for time off and have them explicitly stated in your contract.
5. Your work schedule
Your contract should also state the planned days and number of hours that you are agreeing to work, including when you start and finish a shift. It should take into consideration maximum weekly working hours and your break entitlements.
The contract should also outline what to do in the event that the parents can’t stick to the schedule. A one-off emergency is one thing, but if schedule changes become a regular occurrence, the contract needs to state how to handle this.
6. Terms of termination
The contract should also include the terms of termination and how to handle things if circumstances change and you need to part ways. If you resign, how much notice you need to give will depend on your award, agreement or employment contract, and it’s always best to give notice in writing. You’re entitled to your normal pay rate during your notice period.
If your employer decides to dismiss you, they must observe the minimum notice periods stipulated by Fairwork, which increase the longer an employee has been employed. Your employer is not required to provide specific grounds for your dismissal if they end the employment relationship during the minimum employment period. However, if they terminate you for a prohibited reason, you can take legal action for unlawful dismissal.
7. Performance review schedule
It’s wise to include a provision in the contract which covers reviews, including frequency. Some nannies may want regular reviews every month to get on the same page as the parents and receive feedback. Others may want one check-in at 30 days and another at six months. Having this outlined in advance can be really beneficial for setting expectations.
8. Other topics for the contract
Other information in a contract might include details of how to make amendments, any house rules, driving rules and responsibilities, any benefits such as private health insurance, and whether the nanny is expected to come on family holidays.
Where to get a nanny contract
If you are working with a nanny agency, they will probably require you to use a contract. Any contract they provide is a good place to start, but you can also make amendments to ensure it reflects your personal preferences and capabilities.
If you’re not working with an agency and you’re looking for a budget-friendly option, you can download our free sample nanny contract. You can also ask other nannies on online discussion boards or social media, as they are often willing to share their contracts with other nannies.
Asking your new employer family for a contract may feel a little uncomfortable at first, but keep in mind that it protects you and the family, and reinforces the fact that you are a professional with rights. Remember that nannies work in a specialised field; this is not the same as doing a favour for a friend or family member. As a nanny, you are helping raise people’s children, so the profession needs to be taken seriously. Working under a contract is a simple yet effective way to stand up for yourself as a nanny and legitimise your career.