Document Chunk
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Section : Ending employment
Domain : Human Resource Management
Classification : Not Identified
Context
This chunk discusses specific provisions related to the termination of employment for small business employers under the Fair Work Act, including exemptions from redundancy pay, conditions for unfair dismissal claims, and the Small Business Fair Dismissal Code. It also highlights circumstances under which a non-small business may transition to a small business and the implications for redundancy pay. This information is part of a broader guide aimed at helping small business owners understand their legal obligations and best practices in employment management.
Text Content
- small business employers don't have to pay redundancy pay (in most cases)
- an employee can only make an unfair dismissal claim if they have worked for the small business employer for 12 months or more
- small business employers can access the Small Business Fair Dismissal Code (the Code). The Code provides protection against any unfair dismissal claims that are lodged with the Commission. The Commission will rule that the dismissal was fair if the employer can provide evidence that the Code was followed before dismissing the employee. Find the Code at fairwork.gov.au/unfairdismissal Note: a non-small business can become a small business as part of the process of downsizing its workforce. This can be due to insolvency in the period leading up to (or after):
- becoming bankrupt, or
- going into liquidation. Non-small business employers that become a small business employer in these circumstances may still be required to pay their employees redundancy pay. Employers, including small businesses, must not dismiss an employee:
- What is the general rule regarding redundancy pay for small business employers?
- How long must an employee work for a small business employer to be eligible to make an unfair dismissal claim?
- What is the Small Business Fair Dismissal Code and what purpose does it serve?
- Where can employers find the Small Business Fair Dismissal Code?
- Under what circumstances can a non-small business become a small business?
- What are the potential consequences for non-small business employers that downsize due to insolvency?
- What must small business employers provide to prove that a dismissal was fair according to the Code?
- Can small business employers dismiss employees without following any specific guidelines? Why or why not?
- What implications does the transition from a non-small business to a small business have on redundancy pay obligations?
- What are the conditions under which employers, including small businesses, must not dismiss an employee?