
What Constitutes Unfair Dismissal?
An employee’s contract may be deemed to have been unfairly dismissed if their dismissal does not follow fair procedures. Common grounds for unfair termination claims include:
Lack of valid reason
Employers must provide a legitimate reason for dismissing an employee, such as performance issues or serious misconduct.
Failure to follow proper procedures:
Employers must adhere to the procedures outlined in employment contracts and relevant workplace policies.
Eligibility for Unfair Dismissal Claims
To lodge a claim in case of unfair dismissals with the Fair Work Commission, employees must meet specific eligibility criteria:
Minimum Employment Period
Employees must have been employed for at least six months in a large business or twelve months in a small business (defined as having fewer than 15 employees).
Notice Period
Employees should have received appropriate notice of termination as stipulated in their employment contract or relevant modern awards.
High Income Threshold
Employees earning above a certain threshold may not be eligible to file a claim.


The Claim Process for Unfair Termination
If you believe you have been unfairly dismissed, it is essential to act quickly. The process involves several steps:
Lodging an Application
Submit an unfair dismissal application (Form F2) to the Fair Work Commission within 21 days of your termination date.
Conciliation Conference
After your application is lodged, the Commission will arrange a conciliation conference where both parties can discuss the matter and seek a resolution.
Formal Hearing
If conciliation fails, the dispute may proceed to a formal hearing where a decision will be made regarding the claim.
Legal Obligations for Employers in Australia
Employers have specific legal obligations under the Fair Work Act when dismissing an employee:
Reasons for Termination
Employers must ensure that dismissals are based on reasonable grounds like employee’s conduct or operational requirements.
Compliance with National Employment Standards
Employers must adhere to minimum standards set by law regarding notice periods and severance pay for termination of employment.
Documentation
Keeping detailed records of performance issues and the dismissal process is crucial in defending against potential claims.

Small Business Employers and Fair Dismissal
Small businesses have additional protections under the Small Business Fair Dismissal Code. If employers follow this code during dismissals, they can demonstrate that their actions are fair and reasonable. This includes providing appropriate notice and ensuring that dismissals are based on valid and fair reasons.
Exit Interviews and Employee Rights
Conducting exit interviews can provide valuable feedback for employers and help clarify any misunderstandings regarding an employee’s dismissal. It also allows employees to express their concerns about their termination, which can be crucial if they choose to pursue an unfair dismissal claim. If you believe you have been unfairly dismissed or need guidance or training on managing dismissals within your organisation, consider seeking professional advice from HR Gurus.
Get Started with HR Gurus
For assistance with unfair dismissals or navigating the complexities of employment termination, you need legal HR advice or contact HR Gurus today!
