Unfair dismissals has become a key issue of contention in the current review of the Fair Work Act.

 

The Australian Council of Trade Unions has called for small business (fewer than 15 staff) to lose their exemption under unfair dismissal laws, and for the 14-day deadline for filing claims to be extended to 60 days.

 

Taking the part of business and employer groups, the Victorian Government has argued in its submission that “the Small Business Fair Dismissal Code has not operated as intended; many unfair dismissal and general protections claims are speculative; employers are having to pay “go away” money to settle unmeritorious claims, and the general protections are too broad and uncertain in operation.”

 

It called on the Commonwealth to address business concerns and consider proposed measures including: capping the amount of damages that can be awarded to a maximum of six months’ pay; requiring applications to be lodged within two weeks of a termination; applying a sole or dominant reason test; abolishing the reverse onus of proof obligation; and permitting FWA to conciliate the matter, for non-dismissal claims, if all affected parties have agreed in writing for a conference to be held.

 

Submissions to the Fair Work Act Review are available here.