The case of Elizabeth Naden v Catholic Schools Broken Bay Limited as Trustee for the Catholic Schools Broken Bay Trust [2025] FWC 317 involved a dispute between Sacred Heart Primary School and one of its employees, a religious education coordinator, who sought to return from parental leave in a part-time capacity for the first two school terms. Despite the employee’s request, the FWC sided with the school’s decision to deny the request, citing reasonable business grounds and the potential impact on the quality of education provided to students.

Catholic Schools Broken Bay (CSBB), which manages Sacred Heart Primary School, responded that it could not accommodate the employee’s request to return part-time as a coordinator. CSBB explained that the role required a full-time presence to ensure continuity in teaching and leadership—both crucial for maintaining quality education. 

The FWC agreed with the school’s position, emphasising that the role was essential to the effective delivery of education and that having multiple teachers in charge of the same class could disrupt student learning. In addition, the school highlighted the increased costs and workload pressures that would arise from accommodating a part-time arrangement in such a critical position.

While the request for part-time work in the coordinator role was denied, the school offered several alternatives, including a lower-paying, part-time classroom teaching role for the first two terms before returning to the coordinator role full-time in term three. Although this arrangement would result in a 15% pay cut, it allowed the employee to maintain a work-life balance and care for her child during the initial stages of her return.

The FWC found  the school’s offer was appropriate, noting that it provided a reasonable compromise that allowed the employee to manage her family responsibilities while continuing to contribute in a teaching capacity. 

This decision underscores the critical importance of carefully considering requests for flexibility and establishing reasonable business grounds for any refusal to grant a flexible work requests.

In education roles it may be more difficult for employers to grant flexible working arrangement due to continuity of care being an essential part of the role. Similar considerations apply to other types of work. 

Whatever the industry, prior to deciding whether to accept or refuse a request for flexible working arrangements, employers should evaluate each request on a case-by-case basis, considering the operational impact, the nature of the role, the potential disruption to business operations, and the consequences of the refusal for the employee.

Moreover, the ruling reinforces those businesses in the education sector, where the product—student learning—is of paramount societal value, can consider how flexible work arrangements might affect the quality and delivery of their services in deciding whether to accept or reject requests for flexible work arrangements.

1. Communicate Clearly: All discussions held around flexible work requests should be held openly and clearly. If you need to refuse a request for flexible working arrangements, you should explain the potential limitations and operational challenges behind flexible work to the employee (both in person and in the written response).

2. Ensure any refusal is in writing and clearly sets out reasons for the refusal, including the reasonable business grounds being relied on: This ensures a clear record is maintained as to why the flexible work request could not be accommodated, and how those reasons align with legitimate business needs. This can easily be referred to in the event a dispute in the FWC arises around a decision to refuse a request for flexible work arrangements.

3. Offer Reasonable Alternatives: If accommodating a request is not feasible, consider offering reasonable alternatives that can balance the employee's needs with the employer’s requirements. Sometimes, an employee will be just as happy with an alternate outcome. However, if a dispute does arise, being able to demonstrate that the employer made all reasonable attempts to offer an employee flexible work, adds credibility to the employer's argument that it had reasonable business grounds to refuse the request for flexible work arrangements.

4. Consult Specialist Lawyers: As illustrated by this case, navigating flexible work requests from employees in leadership roles can be complex. If an employer needs to refuse a request for a flexible working arrangement, they should seek legal guidance to ensure it is complying with the Fair Work Act and to ensure that the response the employer gives will assist the employer should a FWC dispute arise.

The Independent Education Union, who was involved in representing the employee in this decision, indicated it was disappointed in the decision is currently exploring options to appeal. 

Gender equality and the challenges women face in balancing leadership roles with family responsibility in the workplace has recently become a popular topic of discussion. Employers need to be mindful that the FWC and Federal Court's expectations around work-life balance are always changing, and that employers, where possible, should attempt to strive for more inclusive policies, to ensure they can stay ahead of what the Courts and Commission consider to be "reasonable" workplace requirements.

The Sacred Heart Primary School case serves as a reminder to employers in all sectors, particularly those in education, that handling flexible work requests requires careful legal and operational consideration. Colin Biggers & Paisley Lawyers has specialist teams experienced in employment law, with a particular focus on the education sector, who can help businesses navigate these complex issues, ensure compliance with the Fair Work Act and minimise the risk of disputes.

If you’re unsure how to approach flexible work arrangements or need guidance on navigating employee disputes, contact our Employment & Safety team to schedule a consultation.