What are the new rules which apply to unfair dismissals?
An unfair dismissal occurs when an employee is dismissed – i.e. fired – and the dismissal is: • Harsh, unjust or unreasonable • Not a genuine redundancy • Inconsistent with the Small Business Unfair Dismissal Code (where the Code applies). The rules relating to unfair dismissals have changed significantly. Previously, small businesses were exempt from unfair dismissal laws, meaning employees dismissed by a small business employer (defined under the old law as an employer with fewer than 100 employees) were not eligible to lodge an application for unfair dismissal. This exemption has been removed by the Fair Work Act. Where the employer has fewer than ’15 full-time equivalent’ employees, a dismissed employee will need to have worked for the employer for at least 12 months before he or she is eligible to make an application for unfair dismissal. For all other employees, the minimum length of service required is 6 months. You should also note the following important changes: • Application