Nearly three-quarters of Australian companies are yet to have a formal policy in place around the Right to Disconnect, representing a “ticking time bomb” for these businesses, new research has found.

HR software company Rippling’s Workforce Dynamic Report 2025 is based on a survey of 1,000 Australian workers across a range of different demographics, conducted by Censuswide.

Despite the Right to Connect coming into effect from August 2024, only 26 per cent of respondents said their workplace had a formal policy or structure in place around it.

The Right to Disconnect aims to prevent workers from being punished for not responding to “unreasonable” contact outside of their paid work hours.

It was passed into law in February 2024 and came into effect six months later for companies with more than 15 employees.

But if the survey results are indicative of the broader formal adoption of the Right to Disconnect, Australian companies are yet to properly bake in the workplace right.

The regulation is yet to be tested at the Fair Work Commission, but the Rippling report argued there would be formal disputes relating to the Right to Disconnect once employees grew bolder and were more educated about their rights.

This meant there was a “ticking time bomb for employers that fail to implement clear boundaries”, the report said.

“This lack of clarity leaves workers unsure of their rights and opens the doors to blurred boundaries between work and personal time,” it said.

Data from the Centre for Future Work revealed the amount of overtime worked by the average Australian fell from 5.4 to 3.6 hours per week in the three months after the Right to Disconnect came into effect.

The Right To Disconnect and working from home arrangements have become key election issues, with Opposition Leader Peter Dutton pledging to scrap the Right to Disconnect if he wins government in the 3 May election.


Australia's Right to Disconnect laws came into effect in August 2024. Image: Shutterstock

More than just transparency needed on equality

Another workplace reform of the Labor government has been reporting of gender pay gap data to the Workplace Gender Equality Agency (WGEA), which is then made public.

But respondents to the Rippling survey said much more than just transparency around these issues was needed.

More than a third of those surveyed said the reporting on workplace equality had helped, while just over 15 per cent said more needed to be done to drive real change.

“These figures suggest that while transparency is a start, it’s not enough on its own,” the report said.

“Employees are looking for action, not just compliance.”

There will be further requirements for companies coming into effect soon after legislation was passed by Parliament last month requiring firms with 500 or more employees to achieve, or at least improve on, measurable targets relating to gender equality across three-year cycles.

Unmet expectations

The Rippling survey also painted a dire picture of the health and happiness of the Australian workplace, and identified a gap between what workers expected and what they experienced at work.

More than a third of respondents said they were dissatisfied or neutral about their current role, 15 per cent said their employer’s mental health support was “poor”, while a further 15 per cent said there were no policies in place at all.

“Trends like quiet quitting, coffee badging and mouse jiggling reflect a deeper sense of disengagement,” the report said.

“These aren’t passing fads. They’re signs of a workforce that is quietly pulling away when expectations aren’t being met.

“When people are already dealing with financial stress or unclear expectations, a lack of support can quickly lead to burnout or turnover.”

The report also found nearly 40 per cent of those surveyed would consider leaving their current role if diversity, equity, and inclusion was not prioritised, with this figure rising to 55 per cent among Gen Z workers.

“These stats reveal a workforce that is more informed, more vocal and more willing to walk if expectations aren’t met,” it said.

The report revealed more than 40 per cent of the workers surveyed had been underpaid last year, whether by mistake or deliberately, before wage theft became a criminal offence at the start of 2025.

It found this could have “serious repercussions” for workers, with 40 per cent saying they would struggle to pay essential bills if they were underpaid, more than a third saying it would be difficult to buy groceries, and more than 30 per cent saying they would risk missing rent or mortgage payments.