When a school employee passes away, the impact extends beyond personal grief – it triggers a complex legal and administrative process for school leaders.
Beyond finalising pay, principals must navigate superannuation, taxation, and determining rightful recipients of entitlements. If the death occurs on school grounds, notifying authorities and supporting staff adds further challenges. The situation becomes even more intricate if the employee dies without a will. Understanding these obligations ensures schools manage such sensitive matters with clarity and compassion.
The Educator recently sat down with Megan Kavanagh, a partner in Colin Biggers & Paisley’s employment and safety team, and Conor Sheridan, a Senior Associate at the firm, to discuss how school leaders should approach this delicate matter in the context of their unique roles.
When asked what steps principals can take to ensure their school is fully prepared for the complex processes involved when an employee passes away, Kavanagh and Sheridan pointed to the importance of establishing clear policies and procedures that function effectively regardless of testacy status.
“This preparation should include creating a checklist that covers all aspects of final payments, superannuation management, and documentation requirements,” Kavanagh and Sheridan told The Educator.
“It's essential to designate a single point of contact within the school for all family communications and estate matters, while maintaining detailed, up-to-date payroll records of the employee for the family.”
Seeking legal and financial guidance during this stage can also be valuable for the school, they noted.
“The cornerstone of preparation is clear documentation outlining the process for calculating and disbursing final entitlements, encompassing unused leave, bonuses, and death benefit employment termination payments.”
There’s also the matter of striking the right balance between respecting the family’s wishes with the legal requirements around final payments and accessing personal information on work devices, Kavanagh and Sheridan said.
“Schools should establish an approach that carefully balances family sensitivity with legal compliance requirements,” they said.
“While it's important to await the Legal Personal Representative and the Grant of Probate before disbursing wages and entitlements, schools can proactively prepare summaries of all relevant financial information.”
When handling work devices, schools should review personal content such as family photos before wiping and offer to provide copies to the family, Kavanagh and Sheridan said.
“Having one compassionate staff member serve as the family's point of contact creates consistency and builds trust. All decisions should be documented, with clear records maintained of any information or property exchanges.”
Looking ahead, Kavanagh and Sheridan said there are proactive measures schools can take to reduce potential challenges when navigating these complex situations.
One of these, they say is encourage staff to maintain updated wills and note the school's role in the event of an employee's death.
“Schools should develop policies and procedures for managing school property at employees' homes and personal items left at school,” they said.
“Schools should ensure that staff are aware of their Employee Assistance Program provider so that they might offer it to the family in the event of an employee's death, allowing them access to grief counselling when needed.”
Kavanagh and Sheridan said payroll should be aware of the relevant policies and procedures for handling final payments and benefits.
“This will allow clear communication with the family on the relevant processes in the event of an employee's death,” they said.
“Regular review and updates of these protocols ensure they remain current with legal requirements while maintaining appropriate sensitivity to families.”