Small Business Fair Dismissal Code

Posted: February 18, 2010 at 8:45 pm

The Small Business Fair Dismissal Code came into effect from 1 July 2009.

The Fair Dismissal Code applies to small business employers with fewer than 15 full-time equivalent employees.

Small business employees cannot make a claim for unfair dismissal in the first 12 months following their engagement. If an employee is dismissed after this period and the employer has followed the Code then the dismissal will be deemed to be fair.

Employees who have been dismissed because of a business downturn or their position is no longer needed cannot bring a claim for unfair dismissal. However, the redundancy needs to be genuine. Re-filling the position with a new employee is not a genuine redundancy.

You can download the Small Business Fair Dismissal Code & Checklist as a PDF from the Fair Work Australia website.

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