Unfair Dismissal

What is an unfair dismissal?

Today we look at the concept of unfair dismissal.

Contrary to urban myth, the protection against unfair dismissal does not apply to all employees in Australia covered by the Fair Work Act. It is important that you check whether you qualify prior to filing any application contesting your dismissal.

Up front, you have to know that if you want to bring a claim of unfair dismissal you must do so within 21 days of the dismissal. This is a strict time limit. Do not delay.

The Fair Work Commission has jurisdiction to determine unfair dismissal applications. The Fair Work Commission must find:

1. The person has been dismissed from the employment; and
2. The dismissal was harsh, unjust or unreasonable; and
3. The dismissal was not consistent with the Small Business Fair Dismissal Code; and
4. The dismissal was not a case of genuine redundancy.

Dismissal?

A person has been dismissed from employment if:

1. The persons employment has been terminated on the employers initiative; or
2. The person resigned from their employment but was forced to do so because of conduct or a course of conduct engaged in by their employer.

Harsh, Unjust, Unreasonable?

The Fair Work Commission considers set criteria in answering this question:

1. Whether there was a valid reason for the dismissal related to the employees capacity or conduct; and
2. Whether the person was notified of the reason for dismissal; and
3. Whether the person was given an opportunity to respond related to any reason related to the capacity or conduct of the person; and
4. Any unreasonable refusal by the employer to allow a support person to be present to assist in any discussions relating to the dismissal; and
5. If the dismissal related to unsatisfactory performance, whether the person was warned about that performance prior to the dismissal; and
6. The degree to which the size of the employers enterprise would be likely to impact on the procedures followed in effecting the dismissal;
7. The degree to which the absence of dedicated human resource management specialists or expertise would likely have impacted on the procedures followed in effecting the dismissal; and
8. Any other matters that FWC considers relevant.

The role of the Fair Work Commission is to weigh up all of the factors in totality before deciding whether it was an unfair dismissal.

Small Business?

A small business employer is defined as an employer with less than 15 employees. Because of complex company and corporate structures, counting the 15 can be a complex task and it is always important to check to determine how you might context an unfair dismissal as the Small Business Fair Dismissal Code might apply.

Genuine Redundancy?

A genuine redundancy can defeat an unfair dismissal claim. A genuine redundancy is defined as:

1. The employer no longer requires the job to be performed by anyone or because of the changes in the operational requirements of the employers enterprise; and
2. The employer has complied with any obligation in a modern award or enterprise agreement that applied to the employment to consult about the redundancy.

Importantly, if the employee could have been redeployed, then the dismissal will not be a genuine redundancy.

Who is protected?

An employee is protected from unfair dismissal is they are able to satisfy the following criteria:

1. The person is an employee;
2. The person has completed a minimum period of employment with their employer (the minimum period is 6 months or if you are employed by a small business employer – one year); and
3. A modern award covers the employee; OR
4. An enterprise agreement applies to the employee in relation to the employee; OR
5. The employee income and other relevant earnings do not exceed the high income threshold (set at $158,500 as at July 2021. This amount is indexed each year on 1 July so you should check the new threshold before lodging your claim).

How to bring a claim?

An employee who wishes to bring an unfair dismissal claim must file a claim with the Fair Work Commission within 21 days of the dismissal. This is a strict time limit and can only be extended by the Fair Work Commission in exceptional circumstances. Do not delay.

AEN Legal

AEN Legal have successfully represented countless persons before the Fair Work Commission in unfair dismissal applications.

Our fees for representation are flexible and we offer a fixed fee for representation up until the conciliation stage in the Fair Work Commission. This allows you to have certainty around your legal costs. We are always happy to discuss legal costs with you.

We will disclose all of our costs up front, so you make an informed decision.

It is important you do not delay in dealing with an unfair dismissal application. If you think you need advice or assistance concerning an unfair dismissal, please get in touch with us today on 0415991191 and speak with Aron Neilson.