Summary of Claims Workers Make Against Employers and Other Employees

Summary of Claims Workers Make Against Employers and Other Employees

In Australia, workers frequently lodge claims against employers (and sometimes co-workers) through bodies like the Fair Work Commission (FWC), Fair Work Ombudsman (FWO), Australian Human Rights Commission (AHRC), and courts. These claims arise under the Fair Work Act 2009, anti-discrimination laws, and Work Health and Safety (WHS) legislation. In 2024–25, the FWC saw a 10% rise in lodgments to 44,075, with unfair dismissal the most common (37% of cases). Underpayments remain a major issue, with the FWO recovering $473 million in 2023–24 and pursuing high-profile cases (e.g., Woolworths and Coles). Intentional wage theft became a criminal offence from January 2025.

Claims against employers focus on systemic issues or management failures, while claims against other employees (co-workers) typically involve personal conduct like harassment or bullying. Many resolve via conciliation, but unresolved cases can lead to compensation, penalties, or reinstatement.

Claims Against Employers

These are the most common, often lodged with the FWC or FWO:

• 1. Unfair Dismissal Claim: Termination was harsh, unjust, or unreasonable (e.g., no valid reason or fair process). Stats: Record high in 2024–25; 37% of FWC lodgements. Remedies: Reinstatement or up to 6 months' pay.
• 2. Underpayment of Wages and Entitlements Claim: Failure to pay minimum wages, overtime, penalties, leave, or superannuation (12% from July 2025). Includes annualised salary shortfalls. Stats: Third-highest recovery year; major cases like Woolworths/Coles (potential $1B+ remediation). Remedies: Back-pay, interest, fines (up to $4.95M for serious contraventions).
• 3. General Protections/Adverse Action Claim: Unlawful treatment (e.g., demotion, reduced hours) for exercising rights like complaining about pay or taking leave. Stats: 14% of FWC lodgements. Remedies: Compensation or penalties.
• 4. Sham Contracting or Misclassification Claim: Wrongly classified as contractor to avoid entitlements. Common in gig economy and construction.
• 5. Discrimination Claim: Unfavourable treatment based on protected attributes (age, gender, disability, race, etc.). Lodged with AHRC or FWC.
• 6. Failure to Provide Flexible Working Arrangements Claim: Unreasonable refusal of requests (e.g., for carers). Stats: Rising disputes post-2023 reforms.
• 7. Work Health and Safety Breaches Claim: Exposure to hazards leading to injury (physical or psychological).

Claims Against Other Employees (Co-workers)

These target individual behaviour and can name both the co-worker and employer (vicarious liability). Often lodged with AHRC or FWC:

• 1. Sexual Harassment Claim: Unwelcome conduct of a sexual nature (e.g., comments, advances). Common examples: Offensive jokes or "camp" mockery. New FWC powers to stop sexual harassment at work.
• 2. Bullying Claim: Repeated unreasonable behaviour creating health/safety risk (e.g., isolation, excessive criticism). Remedies: Orders to stop behaviour.
• 3. Discrimination or Harassment Claim: Based on attributes like sexuality, religion, or race (e.g., derogatory nicknames). Co-worker personally liable; employer often joined.
• 4. Victimisation Claim: Poor treatment for making a prior complaint (e.g., excluding from team activities).

These claims highlight why proactive HR management—clear policies, training, prompt investigations, and accurate records—is essential. Early resolution prevents escalation to regulators or court. Many businesses face overlapping claims (e.g., underpayment class actions alongside FWO enforcement). Complete Corporate Services specialises in Human Resources support, including defending claims, conducting audits, and implementing compliant policies to minimise risks under the Fair Work Act and related laws. We can assist with claim responses, conciliation preparation, or prevention strategies to protect your workplace and avoid costly outcomes. Contact us for tailored advice to stay ahead of these common issues.