EMPLOYMENT LAW
Employment Law
We act for employees and employers in respect of all matters arising out of the employment relationship. Our focus is to determine the outcome you want and work with you to achieve that in the most cost-effective way. Areas which we practice are:
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Unfair dismissal
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Redundancy
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General Protections/Adverse Action claims
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All discrimination-based claims
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Sexual harassment claims
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Breach of contract
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Underpayment claims
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General employment advice
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Contract preparation / policy preparation / performance management documentation
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Executive coaching
Areas of Specialisation
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Unfair dismissal
Who can make a claim for unfair dismissal?
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Full-time or part-time Employees who have been employed continuously for six months and are not employed by a small business. A small business is one with less than 15 employees.
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Employees of a small business who have been continuously employed for 12 months.
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Casual employees who have worked regular and systematic hours of employment and who had a reasonable expectation of ongoing employment.
Employees who earn more than $175,000 per year cannot make a claim for unfair dismissal. This is called the high-income threshold. When calculating earnings for the purpose of determining the high-income threshold you exclude the value of commissions, bonuses, irregular overtime and superannuation paid at the statutory guarantee rate. If an employee is excluded from making a claim for unfair dismissal because of the high income threshold, there may be other remedies such as a general protections claim or a claim for breach of contract / Enterprise Agreement.
What is an unfair dismissal?
In order to terminate someone’s employment there must be a valid reason which is sound and defensible and has been determined applying procedural fairness and proper methods of investigation. The legal requirements for a successful unfair dismissal claim are:
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The dismissal must be harsh, unjust or unreasonable
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The dismissal must be inconsistent with the Small Business Code
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The dismissal must not be the result of genuine redundancy.
Generally, someone is unfairly dismissed when the conduct the employer relies upon to terminate the employment, even if it did occur, was not so bad that it would have prevented the employment relationship from continuing.
Strict timelines on making an unfair dismissal claim
An employee has 21 days to bring a claim for relief from unfair dismissal at the Fair Work Commission. The 21 days is counted from the day the dismissal took effect, and it is only in very exceptional circumstances that a claim can be made outside of the 21-day period.
Making a claim for unfair dismissal
Should you wish to proceed with a claim we will assist you by first engaging with your employer to see if a resolution can be reached. If a resolution cannot be reached then we will file an application for you at the Fair Work Commission seeking compensation and/or reinstatement. That application will then be served on your employer. The Fair Work Commission will then convene a conference to occur via telephone. That conference will be conducted by a Fair Work Conciliator and we will represent you at the conference. Settlement can generally be achieved at conference. If a settlement cannot be achieved then the matter will proceed to a hearing to be heard at a later date determined by the Fair Work Commission.
Unfair dismissal claims generally take 4 to 6 weeks to get to a conference, this is dependent on the timetabling of the Fair Work Commission.
If you win or you lose your claim, generally you are not able to claim your legal costs from the other side and the other side cannot claim their legal costs from you. This is a general rule only and in situations where there is a finding of dishonesty, or one party has conducted the litigation unreasonably, costs may in fact be claimable or payable by you.
What are the remedies?
If you have been unfairly dismissed, the remedies that are available to you are compensation (capped at 6 months lost wages) and/or reinstatement. Other matters which are achievable on settlement are a statement of service, confidentiality and mutual non-disparagement (meaning the employer can’t say anything bad about you and you can’t say anything bad about them).
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Redundancy
What is a redundancy?
A genuine redundancy occurs when the role that you are employed to perform no longer exists. It may cease to exist by deliberate design, which is the employer’s prerogative, or it may cease to exist for some other reason such as a downturn in business. Additionally, most Enterprise Agreements and Awards require employees to be consulted about a redundancy before it occurs and the failure to consult can of itself make the redundancy not genuine.
Is there an obligation to redeploy?
In the case of a genuine redundancy the general answer is No, unless there is something written to the contrary in your Award, Enterprise Agreement or contract. That said, if an employee has been made redundant and there is another role within the business that they could have performed and they were not offered that role, then that may be a basis to argue that it was not a genuine redundancy. This interrelates with the obligation to consult employees about the redundancy before it occurs.
What is redundancy payment?
A payment for redundancy is a payment to compensate you for the fact that your role has ceased to exist, and the loss of your job was in no part reflective on your performance. Redundancy pay is paid in addition to the notice pay which an employer must pay you.
Minimum standards for redundancy payment are set out in the Fair Work Act however your Award or Enterprise Agreement or contract employment may provide for greater redundancy benefits. The minimum redundancy benefits are as follows:
Minimum of 1 years but less than 2 years: 4 weeks
Minimum of 2 years but less than 3 years: 6 weeks
Minimum of 3 years but less than 4 years: 7 weeks
Minimum of 4 years but less than 5 years: 8 weeks
Minimum of 5 years but less than 6 years: 10 weeks
Minimum of 6 years but less than 7 years: 11 weeks
Minimum of 7 years but less than 8 years: 13 weeks
Minimum of 8 years but less than 9 years: 14 weeks
Minimum of 9 years but less than 10 years: 16 weeks
10 years or more: 12 weeks capped
Redundancy payments are calculated in accordance with your base rate of pay and do not include commissions, bonuses, overtime or allowances.
If you are employed by a small business, which is one that has less than 15 employees, then unless you have a written contact that states otherwise, you are not entitled to a redundancy payment. Similarly casual employees are not entitled to a redundancy payment.
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General Protections / Adverse Action Claim
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Fair Work Act
If you have been discriminated against or treated adversely because of a protected attribute, then you are entitled to make a claim for compensation. An employee (permanent or casual), a prospective employee, a volunteer or an independent contractor are all covered by the general protections provisions. You do not have to be dismissed to make a claim pursuant to the general protections provisions.
The essential elements to bring a general protections claim are that:
(1) You have a protected attribute; and
(2) Because of that protected attribute you were treated adversely.
Importantly, whether you have been subject to adverse treatment because of that attribute is not determined based on what a reasonable person would conclude looking at the evidence. Rather, it must be established that when the decision maker determined to treat you adversely, in their mind at that time, was your protected attribute and that motivated the adverse treatment. This is difficult to establish as it looks at the subjective mindset of the decision maker which can be difficult to prove.
If you have a WorkCover claim you should not pursue a general protections claim which concerns the same subject as the WorkCover claim. This is because any compensation you receive from the general protections claim can result in the WorkCover insurer terminating your WorkCover claim and/or requiring a pay back from you of all benefits you have received. If you have a WorkCover claim and you wish to pursue a claim for the breach of your employment law rights, we recommend that you contact us for specific advice.
What are protected attributes?
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Engaging in industrial activity
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Exercising a workplace right (which can include the making of a WorkCover claim)
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Temporary absence from work because of injury
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Discrimination on the basis of a person’s race, colour, sex, sexual orientation, age, physical or mental disability, marital status, family or carer’s responsibilities, pregnancy, religion, political opinion, national extraction or social origin.
Making a claim pursuant to the general protections provisions
Prior to making a claim we recommend that we engage with your employer to see if a resolution can be achieved without instigating litigation. If this is not possible then we will file a claim for you at the Fair Work Commission. That claim will detail the conduct complained of, the reasons why we say it is a breach of the general protections provisions and the compensation sought. The respondent will then provide a written response and the Fair Work Commission will then assign a conference date. That conference will be in person or on the telephone. We will represent you at that conference. The purpose of the conference is to achieve a settlement. If a settlement cannot be reached then you must issue proceedings in the Federal Court/Federal Circuit Court. In some circumstances, and only with the consent of the respondent, it may be possible to not go to Court but proceed to a final determination made by a Fair Work member.
Irrespective of whether you win or lose, absent fraud or vexatious conduct, you cannot claim your legal costs from the other side and the other side cannot claim legal costs from you.
What remedies are available?
The remedies are variable, and they can include but are not limited to compensation, reinstatement and orders to make reasonable adjustments. There is no cap on the compensation payable.
What are the time limits?
There is no minimum period of time which you have to be employed to bring a general protections claim. The only applicable time limit to making the claim is that if your claim involves a dismissal, then you have 21 days from the dismissal date to bring the claim.
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Discrimination based claims
A myriad of legislation exists which provides for compensation in situations of discrimination. Legal advice is dependent on the individuals’ circumstances. Discrimination may occur at work or elsewhere. The key pieces of legislation under which we conduct discrimination claims are:
Equal Opportunity Act 2010 (Vic)
Anti-Discrimination Act 1988 (Tas)
Age Discrimination Act 2004 (Cth)
Disability Discrimination Act 1992 (Cth)
Racial Discrimination Act 1975 (Cth)
Generally, you have 1 year from the date of the discriminatory conduct to bring a claim however in certain circumstances this time period may be extended. If you believe you have been discriminated against, you should seek legal advice at the earliest possible opportunity.
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Sexual harassment
Sexual harassment is defined under the Fair Work Act as:
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The making of an unwelcome sexual advance; and/or
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Request for sexual favours; and/or
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Unwelcome conduct of a sexual nature.
In determining whether the complained of conduct is sexual harassment, it must be established that a reasonable person, in that person’s situation, would expect that there is a possibility that the complained of conduct would offend, humiliate, or intimidate.
Depending on the nature of the sexual harassment and the circumstances in which it occurred, a claim for compensation may be made pursuant to the following legislation:
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Sentencing Act 1991 (Vic). This is an avenue available where a Court has determined that the perpetrator has been guilty of a criminal offence.
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Equal Opportunity Act 2010 (Vic)
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Fair Work Act 2009
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Victims of Crime Assistance Tribunal
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Sex Discrimination Act 1984 (Cth)
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Wrongs Act 1958 (Vic) – this is often referred to as a civil action or an intentional tort.
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WorkCover – Common Law damages claim
Recent changes to the Fair Work Act also enable employees who have been sexually harassed at work to make an application to Fair Work and request that an order be made requiring that the sexual harassment stop.
It is important that the claim you make is made pursuant to the legislation that best compensates your circumstances. It is also important that you seek advice early as time limits to pursue claims vary significantly across the different pieces of legislation.
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Breach of contract
If you have a contract of employment which has been breached it will generally give rise to a claim for compensation and/or specific remedy of performance dependent on the breach and the contract.
The first step in a breach of contract claim is to clearly set out in writing to the other side what it is that you say is breached and what it is that you are seeking. If resolution cannot be achieved as a result of that communication, then it is necessary to issue Court proceedings. The Court that those proceedings are issued in depends on the value of the damages you are seeking.
When pursuing a breach of contract claim it may be necessary to make an urgent application for injunctive relief preventing the other party to the contract from taking action until the dispute is resolved.
You generally have six years to pursue a claim for breach of contract. If you are successful in your claim you may be able to claim legal costs from the other side and if you are unsuccessful, you may be required to pay the other sides legal costs.
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Underpayment claims
An underpayment claim is made when you have been paid less than the Award / Enterprise Agreement sets as the minimum payment to be made to you. This may be because of a clear underpayment on the calculations, or it may be because you are performing a role which is paid at higher than you are classified on paper. If you are purely claiming unpaid Superannuation, you should pursue this through the ATO who will assist you for free.
A claim for underpayment can be made when you are employed or after your employment ends. To commence a claim for underpayment you must first write to your employer/former employer and request that they pay you the unpaid amount. If the payment is not made you can then issue Court proceedings.
If you win or you lose your claim, generally you are not able to claim your legal costs from the other side and the other side cannot claim their legal costs from you. This is a general rule only and in situations where there is a finding of dishonesty, or one party has conducted the litigation unreasonably, costs may in fact be claimable or payable by you.
You have a strict time limit of 6 years to pursue an underpayment claim. The 6 years is calculated from the date of the underpayment.
Services for Employers
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Contract preparation / review
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Policy preparation /review
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Implementation of Performance review processes
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In person management training (how to conduct a performance review process / when and how to issue a warning / basic Enterprise or Award conditions applicable to the workplace / what is reasonable management action / an overview of WorkCover)
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Defending a claim for unfair dismissal / underpayment / discriminatory conduct / breach of contract.
We also offer several yearly packages for employers which enables an employer to have constant access to a lawyer. These packages are tailored to the needs of an employer and will generally also include matters such as defence of litigated claims, contract and policy review and yearly training.