You Can’t Have Your Cake and Eat It Too: Consistency in Payroll, HR Policies and People Management
- Jul 12
- 5 min read
In Leadership and HR Management (HRM), the principle “you can’t have your cake and eat it too” is especially relevant. You cannot have an issue with a resource and consume the same resource simultaneously.
Money does not grow on trees — Business Costs and Resources are ALWAYS limited. As the Employer providing Employment and personally funding every salary, benefit and perk under Australian Law, you cannot support every Employee request or demand while still running a viable and sustainable Business that supports everyone working within it. You cannot enjoy the benefits of flexibility, team events and relaxed Policies while simultaneously criticising their cost or refusing to accept the associated responsibilities of being a worker for the business.
For Executives, Business Owners and HR Leaders, this is a fundamental truth. You carry the financial risk, drive the innovation, create the jobs — and personally face potential Criminal Charges for serious breaches under the Fair Work Act 2009 (Cth) and wage theft Laws in today's working world. Employees are PAID to deliver what the Employer needs and values — NOT the other way around. Inconsistent application and interpretation of Policies creates unnecessary complexity in payroll processing, heightens Compliance Risk under the Fair Work Act 2009 (Cth), increases the likelihood of underpayment claims and destroys Employee Trust. RUNPAY® exists precisely to help Employers implement systems and workforce-related workflows that apply rules consistently, accurately and defensibly.
The Hybrid Work Tension
Pre-COVID, many Businesses and their Leaders successfully used Remote and Hybrid arrangements when it suited them — delivering much lower costs and access to wider talent. Yet some Employees now demand and attempt to lock in those benefits permanently, while the Employer continues to carry the FULL additional cost, risk and Business operational burden under Australian Workplace Laws (e.g. Payroll Tax, WH&S, Insurance etc.) THEN the Employer faces the question WHY few OR no-one received a pay rise the following year.
The 2025 Fair Work Commission Decision in Karlene Chandler v Westpac Banking Corporation [2025] FWC 3115 makes this clear. The Commission ordered Westpac to grant full-time remote work because the Employer failed to follow the mandatory process under the Fair Work Act.
By contrast, in Mr Richard Johnson v PaperCut Software Pty Ltd [2026] FWC 178, the Commission fully supported the Employer because the Hybrid Policy was clear, properly consulted and applied consistently. The Employee’s refusal to comply did NOT succeed.
The clear Payroll and HR Lesson for Employers: Under Australian Law, you CANNOT bear the ongoing cost and risk of flexibility while denying or inconsistently applying and interpreting it to others without strong, documented, role-specific Business Reasons and proper process.
Workplace Events and Alcohol – Funded by the Employer
Employer-funded Team Events are another clear Test of Consistency. As an Employer, you pay for these events to build culture and engagement. You CANNOT then act as though you had no role in the environment YOU created and funded.
The case Keenan v Leighton Boral Amey NSW Pty Ltd [2015] FWC 3156 remains a powerful reminder. The Commission took the Employer’s provision of unlimited alcohol and poor supervision into account when assessing the fairness of dismissal. Poor Risk Management at Employer-funded events significantly weakens your position under Workplace Health and Safety and unfair dismissal laws.
Why Consistency Matters for Payroll Accuracy and Compliance
Inconsistent application and interpretation of policies turns Payroll into a Dangerous Compliance minefield. Unfortunately today, it exposes Employers to errors, back-pay claims, Single Touch Payroll issues and Fair Work Ombudsman scrutiny. The 'right' Payroll System though — chosen through proper comparison — is one of the smartest ways to enforce consistent rules, reduce manual risk and protect your Business.
Key Actions for Executives, Business Owners and HR Leaders
Review Policies regularly for true consistency — If only new to RUNPAY®, first thing you need to do is Audit all of your current Policies with an Employer lens otherwise, subscribe for free today to gain access for a limited time to the RUNPAY® Executive Dashboard. Demand they are applied and interpreted uniformly. Document every exception with clear, defensible Business reasons.
Follow the Fair Work process rigorously — For Flexible Work Requests, respond within 21 days, consult genuinely and ONLY refuse on Strong, Documented 'reasonable' Business grounds.
Lead by visible example — Hold Yourself and your Leadership Team to the same Standards you set for everyone else. Hypocrisy at the top destroys credibility.
Manage Employer-funded events responsibly — Implement strict controls around alcohol, behaviour and safety PRIOR to the event. Document everything.
Choose the right Payroll Technology — Use independent services such as RUNPAY® to find systems that enforce consistent rules, automate compliance, manage communications for workplace events, meetings and more, to protect your cashflow and Whole-Of-Business (WOB) reputation.
Communicate with clarity and confidence — Be transparent about Decisions. Ground them in the reality of running a Business that PAYS everyone’s wages.
A Final Reflection for today...
Consistency is NOT rigidity — it is strong, fair and responsible Leadership. As the Employer, YOU take the financial risk, meet the Payroll every cycle and drive the Business forward. You have every right as an Employer to expect your Policies to be applied consistently and your direction to be followed.
Employees are PAID to deliver what the Employer wants and needs. If an Employee fundamentally disagrees with your values, standards or way of operating, the solution is quite simple really: they are free to build their own Business too or leave to work for another Business that may align with their own purpose too. That is, at the end of the day, the essence of entrepreneurship. However, building and sustaining a successful Business is far harder than many realise — it demands REAL financial risk, tough decisions and the discipline of meeting Payroll every single cycle.
At the end of the day, these are NOT Government-funded organisations or large corporations. Most Australian Businesses are funded by the personal resources, savings, homes and alot of hard work of their Owners. Time is money. Every hour spent managing inconsistency, disputes, back-payments or compliance headaches directly reduces profitability, slows growth and limits the ability to employ more people.
When Employers across Australia are forced to operate under inconsistent rules and ever-increasing obligations, it ultimately harms productivity, stifles job creation and weakens the entire Australian Economy. Strong, consistent Payroll and HR practices are therefore NOT just good Business — they are vital for a strong economy.
Employers who uphold strong, consistent Payroll/HR practices are the ones who build profit and create genuine, sustainable opportunity across Australia.
RUNPAY® DISCLAIMER: This article is intended to stimulate discussion among Business Leaders. It does NOT constitute Legal, HR or Financial Advice.
References
Carroll & O’Dea Lawyers, “Case summary: Karlene Chandler v Westpac Banking Corporation [2025] FWC 3115” (29 October 2025)
Swaab Attorneys, “The Papercut Decision and the Current Position on WFH” (9 February 2026)
https://www.swaab.com.au/publication/the-papercut-decision-and-the-current-position-on-wfh
(discussing Mr Richard Johnson v PaperCut Software Pty Ltd [2026] FWC 178)
Piper Alderman, “Don’t tell me the party’s over: The Fair Work Commission considers the physical and temporal limitations to managerial intervention into the office Christmas party” (30 November 2015)
(discussing Keenan v Leighton Boral Amey NSW Pty Ltd [2015] FWC 3156)
Fair Work Ombudsman, “Flexible working arrangements”