Unfair dismissal and Fair Work rights (Australia guide)

Australian employees are protected from unfair dismissal under the Fair Work Act 2009 (Cth). If you believe you were dismissed harshly, unjustly, or unreasonably, the Fair Work Commission (FWC) provides an accessible path to challenge your dismissal. Here is what you need to know.

1. Are you eligible?

To make an unfair dismissal claim under the Fair Work Act, you must meet several conditions. You must have been employed for at least six months (or 12 months if your employer is a "small business" with fewer than 15 employees). You must earn less than the high-income threshold — $175,000 per year from 1 July 2025, indexed annually. You must be covered by the national workplace relations system (the vast majority of private-sector employees are). Casual employees generally cannot claim unfair dismissal unless employed on a regular and systematic basis with a reasonable expectation of ongoing work. Some categories — such as genuine independent contractors, certain trainees, and employees covered by state systems — are excluded.

2. What makes a dismissal unfair?

Under the Fair Work Act, a dismissal is unfair if it was "harsh, unjust or unreasonable." The FWC looks at factors including whether there was a valid reason related to capacity or conduct, whether you were notified of the reason and given a chance to respond, whether you were warned about unsatisfactory performance, and the size of the employer's business and access to HR expertise. If the employer did not follow a fair process — for example, sacking you on the spot without a proper investigation or a chance to explain — the dismissal may be unfair even if there was some underlying performance issue.

3. The FWC process

You start by lodging a Form F2 — Unfair Dismissal Application with the Fair Work Commission. There is a filing fee ($87.20 as of 2025–26), with a waiver available for financial hardship. The FWC then sends a copy to your employer, who files a response (Form F3). The first step is usually a conciliation conference — an informal telephone discussion with a FWC conciliator, aimed at reaching a settlement. The majority of cases settle at conciliation. If no settlement is reached, the matter proceeds to a formal hearing (or conference) before a FWC Member, where both sides present evidence and arguments.

4. Remedies

If the FWC finds the dismissal was unfair, the primary remedy is reinstatement — you get your job back with continuity of service and back pay for wages lost. Where reinstatement is not appropriate (for example, if the working relationship has broken down irretrievably), the FWC can award compensation. Compensation is capped at the lower of 26 weeks' pay or half the high-income threshold. The FWC considers factors such as the effect on the employer's business, your length of service, and your efforts to find new work when setting the amount.

5. General protections and other claims

Separate from unfair dismissal, Australian law also provides "general protections" under the Fair Work Act. It is unlawful to dismiss someone for a protected reason — such as exercising a workplace right (e.g., taking sick leave, making a complaint), being a union member, or being discriminated against based on race, gender, age, disability, or pregnancy. Unlike unfair dismissal, general protections claims have no minimum employment period and no income cap. They are also heard by the FWC, starting with a conciliation conference, and can lead to compensation.

This guide is general information about Australian employment law and is not legal advice. The Fair Work Act 2009 and related legislation are subject to change. For your specific situation, contact the Fair Work Ombudsman, a union, or a licensed employment lawyer.