Research suggests the change increases engagement and productivity, but employer groups warn it's too early to tell.
When many Australians gained the 'right to disconnect' from after hours calls and emails from work in August last year, it was viewed as a win for a stressed, always-on workforce or a threat to productivity and economic growth.
Almost 12 months on, HRD spoke to academics and a leading business group about what happened when the pings stopped.
Figures from the Australian Human Resources Institute (AHRI) show 58% of employers reported the right to disconnect increased both employee engagement and productivity.
“In contrast, just 4 per cent of organisations reported that the right to disconnect legislation had either ‘significantly decreased’ or ‘somewhat decreased’ both employee engagement and productivity levels. There were no significant differences by sector,” the report reads.
Source: The Australian HR Institute Quarterly Australian Work Outlook (March 2025)
Associate Professor in Discipline of Work and Organisational Studies at the University of Sydney, Martijn Boersma, says he isn't surprised by these figures and believes initial concerns about a loss of productivity have been dispelled.
“Practitioners in the workplace are more aware of the clear expectations and guardrails that are in place – and how they can be communicated effectively, which is a big win. This isn’t new, it’s been implemented in several different regions which also saw increased benefits. Australia is no different,” Boersma told HRD.
Boersma adds that the legislation’s intentionally broad language allows for flexibility, enabling organisations to tailor it to their specific environments—helping avoid a one-size-fits-all pitfall.
CEO of the Australian Industry Group, Innes Willox told HRD that businesses are moving in the right direction but there are still some unanswered questions.
"The reality at this stage is however that the new provision has been in place for less than a year for large businesses and hasn’t even commenced for employees of small businesses. It is far too early to jump to conclusions about its impact on productivity," he said.
"The Government has identified productivity as its key focus and we welcome that, as it is the key to improving living standards and wages. We will need detailed and thorough evidence that measures this into the future before any meaningful assessment of its impact of the change can sensibly be made."
Boersma says that respecting employees' personal time can lead to a more motivated, energised workforce.
“When you respect someone’s personal life, caring responsibilities, availability, your people are going to feel more respected, more heard. You’re naturally going to get more out of people because they know there’s an end to the day – they’re not coming to work tired or burned out.”
“Industry bodies were concerned about the loss of productivity,” Boersma added, “but, in fact, if you find the right balance then you’re more likely to see better performance and the energy to do so. By having guardrails in place, you also see people more willing to answer calls, emails, Teams messages, outside of traditional hours.”
This one of the surprising impacts of the new law, with employers potentially gettting better engagement from employees outside of working hours because of the choice it gives workers.
“Knowing there’s an end to the work day and knowing you have time to yourself gives you the choice of working more or less – especially with working from home, I even find myself working beyond my traditional hour and that’s because I want to, not because I have to," Boersma said.
Research, conducted by Boersma and Emmanual Josserand, highlights this idea and showcases some of the steps needed to address the “complexities of technology-enabled flexible work arrangements”.
Published in December, it found this development is “rooted in the need to balance the benefits of flexibility with the risks of hyperconnectivity. The Australian context reflects a broader global trend where the boundaries between work and personal life have become blurred, necessitating clear policies and cultural shifts in workplaces.”
Some critics argued the law would be less applicable in sectors like law or healthcare, where long hours are more common. But Boersma disagrees.
He recounts a conversation with a junior lawyer who noted the intense expectations in her field.
“In these high-pressure industries, guardrails help define what’s reasonable and what’s excessive. That clarity is crucial,” he explained.
Rather than discouraging necessary after-hours work, the law encourages intentionality—ensuring that extended hours are justified and sustainable, not habitual.
With Right to Disconnect laws coming into effect for small businesses in August this year, Boersma concluded the last year has been a blueprint for how the law benefits all businesses, no matter the size.
