Case study 2

James had been working in hospitality in Sydney for years. Following the news about the first hard lockdown in Melbourne due to COVID-19, he became concerned about his employment. He feared losing his job, if similar lockdowns would be imposed in New South Wales. He was also worried about the restrictions of movement (5km radius from the place of residence) that were imposed in Melbourne. James saw a Facebook post by his cousin Lance, who owns a cattle farm in rural New South Wales, complaining that his station manager had left and that Lance would not mind some help to keep going.

James decided to reach out to Lance and offered his help as he was looking for a new employment opportunity outside hospitality. Lance was grateful for James agreeing to help out, although he knew that James had very little relevant work experience. Lance offered to provide lodging and food for the time being and a weekly allowance of $300. James accepted, quit his hospitality job, terminated his tenancy agreement and sold most of his belongings, as he was determined to succeed as station manager. James quickly learned the necessary skills and took over the duties that are generally expected of a station manager within weeks. James loved his new job, the newfound freedom working in the outdoors and the fact that his life is not restricted by any lockdowns. He worked every day as he saw no reason to take any holidays. After two years of working as Lance's station manager, James has had enough. He misses the big city and quits. James now demands that Lance compensates him for all the untaken holidays over the last 2 years. Lance refuses and claims that he never signed an employment contract and therefore is not entitled to any annual leave.

Advise James.

Please use relevant case law to support your answer.

Please DO NOT discuss any employment related legislation.

Word count: 300 words (7.5 marks)

Please note that the facts provided in the hypothetical fact situations are purely fictional and any similarity to real life events are purely coincidental. You are not expected to consider Covid or employment related laws, only contract principles.