In Australia, if an
employee is terminated unlawfully, then the business can be exposed to various
types of claims including unfair
dismissal, general protections, or discrimination claims. Therefore, it is
important to make sure that the procedures are followed correctly when
dismissing an employee.
Valid Reason
An employer must have
a valid reason to dismiss an employee. An employee should be notified of the
reason for their dismissal before their employment is terminated.
It is best practice
to either sit down with the employee and advise the employee of the reason, or
send written correspondence to the employee setting out the reasons before the
dismissal occurs.
An often relied on
reason for termination is redundancy.
Redundancy occurs when the employee’s position is no longer required to be
performed by anyone. Redundancy is about removing the position and not about
removing the employee. The business must also ensure that the redundancy is a
genuine redundancy and not a sham redundancy. The business must also ensure
that they consult with the employee beforehand and also look for alternative
work that the employee may be suited to perform before terminating the employee
for redundancy.
Another reason is
dismissal for poor performance. Before an employee is dismissed for this
reason, an employee must be given a reasonable opportunity to improve. This
often means that the employee should be put on a performance improvement plan,
and the employee must be advised on what they are doing wrong and how to
improve it. A business should not act with too much haste in terminating an
employee who is performing poorly.
However, if the
employee has been with the business for less than six months, then the employee
is not covered by unfair dismissal laws,
and their employment can be terminated without giving the employee a proper
opportunity to improve. This often is applicable in cases where the employee is
on probation. However, if the business is relying on this type of dismissal, it
is important to ensure that this dismissal only relates to performance and it
does not relate to any other issue which may be unlawful. For example, it is
unlawful to terminate an employee because they have made a complaint regarding
their employment (which is known as exercising your workplace right).
Another common reason
for termination is misconduct. Misconduct can take various forms and can be
further classified into serious misconduct or regular misconduct. Serious
misconduct is usually an act that is done intentionally, and is often more than
just a mere error of judgment. It is misconduct of such a serious nature that
it would be unreasonable to continue the employment relationship. Serious
misconduct includes things such as stealing from the employer, swearing at the
employer, or assaulting the staff.
Regular misconduct
includes other wrongdoing by the employee.
Serious misconduct
allows the employee to be terminated without notice. In the case of regular
misconduct, the employee must be given notice before they are terminated.
Opportunity to Respond
The employee must be
given an opportunity to respond before they are dismissed. This is usually done
by having a meeting with the employee and giving all the proposed reasons the
business intends to rely on to terminate their employment. In other words, give
the employee an opportunity to have their say. This can be done at a meeting,
or alternatively, this can be done after the meeting, where the employee puts
in a written response addressing the proposed reasons.
The business should
not make the definitive decision to terminate the employee before they have
given the employee a chance to respond.
Document Everything
It is important that
the business documents everything. The reason for this is that if the matter
proceeds to a hearing, then it can be difficult to establish what was said if
it is not in writing. After each important meeting, it is good practice to send
a summary of what occurred at that meeting to the employee.
Support Person
If the employee
requests a support person, then the business must allow that support person to
be present at the meeting. It should also be noted that the support person is
not an advocate of the employee but simply attends for moral support. The
support person is not authorised to speak on the employee’s behalf.

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