A guide to the employee termination procedure
Being fired, being dismissed, or getting the sack – they’re all different terms for termination of employment. Losing your job is a challenging experience, especially when it’s unexpected.
It’s important to understand what the proper process is for terminating an employee, so that you know what to expect and you can make sure your employer is doing everything right according to Australia's labour laws.
In this article, we take you through the main steps of the termination process.
Legal considerations in Australia for dismissing an employee
Protecting yourself during the termination of employment procedure
What is termination of employment?
Termination of employment means that your employment contract ends i.e. you stop working at your job. There are different ways your employment can end, including:
Being made redundant (your job doesn’t exist anymore)
Resigning (where you choose to leave voluntarily)
Having your employment terminated (you are fired)
The reasons for termination of employment change depending on the specific situation. Sometimes, an employer decides to end your employment because of performance issues or misconduct. Other times, there may be a company restructure and your position is no longer needed.
Legal considerations in Australia for dismissing an employee
If you find yourself facing termination it’s essential to review your employment contract and company policies regarding termination procedures. These documents usually outline how to terminate an employee, and detail how much notice they need to give you before your job ends. They may also include information about severance packages and the payout of leave.
If you believe you have been fired for unreasonable or unlawful reasons (such as any form of discrimination, taking time off for sickness or injury, or parental leave) then it’s best to seek legal advice. Termination laws vary depending on your location, the size of the business, how long you’ve worked there, and whether you were a casual or permanent employee.
You can find more information about the employment termination through your state or territory Legal Aid Service or through The Fair Work Ombudsman or The Fair Work Commission.
What to expect during a termination process
Reading up on what to expect will help you prepare for the termination process and take away some of the uncertainty that often follows. Here’s a breakdown of the employee termination procedure.
Initiation of termination
Have you noticed an increase in performance reviews or received warnings about your work? Are you on a Performance Improvement Plan (PIP)? These are signs that termination is on the horizon. It can be hard not to take termination personally, but it’s important to act professionally throughout the process.
When you are informed of your termination, request a clear written explanation from your employer about your job performance. Your supervisor or HR will schedule a termination meeting with you – you may be able to bring someone with you for support.
The termination meeting
In a termination meeting, your supervisor, a representative from HR and potentially another senior leader will officially inform you that your employment with them is ending. You should also receive your termination notice in writing.
During the meeting the reasons for your termination will be discussed, including any warnings you were given. You’ll be told when your last working day will be, and about any severance package you will receive.
It’s important to listen carefully and ask questions if you need clarification. It can help to take notes during the meeting to help you remember what was discussed later on. You can always follow up with questions at a later date, once you’ve had time to process the meeting.
Severance package and benefits
If you’re offered a severance package, it usually includes continued salary for a certain period and sometimes additional benefits. Read through the details of the severance package thoroughly before signing anything. If something is unclear, you’re unsure what you’re entitled to, or you don’t feel the offer is fair, consider seeking legal advice before agreeing to the terms. You don’t have to sign anything on the spot and are within your rights to request time to seek independent legal advice.
Protecting yourself during the termination of employment procedure
No matter the reason for your termination, in Australia there are regulations that protect employees that your employer must abide by.
Request documentation
Always ask for written documentation of your termination. This should include the reasons for your termination, any formal warnings or performance management you’ve received, and details of any severance package offered. Make sure you keep copies of all documents for your records as these will be required if you decide to seek legal advice.
Consult with a legal professional
If you feel you’ve been fired unfairly or unlawfully then it’s recommended that you consult with a legal professional. A lawyer specialising in employment law can advise on potential legal action or represent you in negotiating a better severance package.
Moving on after termination
Your termination is an opportunity for a fresh start in a new job. This is the perfect time to reflect on your career goals and the new skills you’ve acquired, before deciding on how you’d like to move forward. Here are some tips to help you move forward positively after job loss.
Unemployment benefits
Losing your job can place a strain on your finances, but there are resources to help you while you’re between jobs. Research unemployment support at Services Australia as you may be eligible for Jobseeker or other payments. Check the Centrelink Payment and Service Finder online tool to see what payments and services are available to you.
When applying for unemployment benefits, make sure you include all the required supporting documents by the deadlines specified, otherwise the processing of your application could be delayed, meaning a longer wait before you receive any payments.
Job search
Losing your job is never easy, but it gives you the opportunity to find a position that’s better suited to you or that offers more support to workers. Before you start job hunting, update your resumé so that it reflects your current skills and experience.
Think about what transferable skills you’ve learned since you last updated your resumé and write down specific examples of situations where you displayed these skills. You can also list any notable achievements you made in your last job while they’re fresh in your mind.
Reach out to friends and family and others in your network for job leads and explore job search resources like online employment boards, recruitment agencies, and career counselling services.
Being terminated from a job is a challenging experience, but understanding your rights and knowing what to expect will help you through the process. Always review your employment contract and company policies for legal considerations like notice periods and severance packages, and request written documentation of warnings, the termination notice, and your severance package.
Don’t hesitate to reach out for legal advice if you’re unsure of anything or feel you’ve been treated unfairly or unlawfully. Though termination can be tough, try to see it as chance to find a job where your skills are valued and appreciated.
FAQs
What is the process for termination?
The process for how to dismiss an employee depends on a number of different factors. Generally, the process looks like:
Performance improvement plans and/or formal warnings
An official termination meeting with a supervisor and HR
Written notice of termination.
Your company’s policies should detail clear procedures for discipline and dismissal so that all staff know what to expect.
What are the termination laws in Australia?
The termination laws in Australia vary depending on your employment type, location, the size of company you work for, your age, and length of service. Generally, employers are required to provide permanent employees a minimum notice period before terminating employment – this is usually between one and four weeks, and depends on how long you’ve been working there, your age, and what the relevant industry award states.
What are the conditions for termination of employment?
Conditions for termination can include:
Issues with performance
Poor work quality
Dangerous behaviour
Misconduct
Refusing to follow instructions
Your position is no longer needed (redundancy)
Company insolvency or acquisition
Employers must follow fair procedures and provide valid reasons for termination.
What is the role of HR in the termination process?
The role of the human resources person in the termination process is to ensure that the company complies with all legal requirements and internal policies. They handle the documentation and may be present during termination meetings to provide clarity.
What happens when you get fired in Australia?
When you get fired from a permanent full- or part-time job in Australia, you should receive a notice period or payment in lieu of notice. You might also be eligible for a severance package. It’s important to review the termination process outlined in your employment contract or industry award or agreement, and seek legal advice if necessary.
Can an employer terminate an employee without reason?
No, in Australia, employers must give a valid reason for termination, otherwise you may be able to claim unfair dismissal. An unfair dismissal claim needs to be lodged within 21 days of being fired. However, in some cases you’re ineligible to claim unfair dismissal even if no reason was given for termination e.g. if you’ve been employed for under 12 months.
What are my rights if I’m being terminated without notice?
Generally an employer must give you written notice of termination. If you have been fired without proper notice or pay ‘in lieu of notice’ then you may be eligible to make an unlawful termination application through the Fair Work Commission.
In some situations, a notice period does not apply, e.g. If you were employed as a casual or seasonal worker, were on a fixed term contract, or if you were fired due to serious misconduct.
What should I do if I disagree with the reason for my termination?
If you disagree with the reason for your termination, you can request written documentation from your employer outlining the reasons and check your rights with the Fair Work Commission or The Fair Work Ombudsman, or consult with an employment lawyer to explore your options for challenging the termination.
Is there anything I can do to negotiate a better severance package?
Yes, you can negotiate a better severance package by discussing your concerns with your employer. You should provide reasons why you believe you deserve better terms, and seek legal advice to ensure your rights are protected.
How long do I have to file for unemployment benefits after termination?
You should apply for unemployment benefits as soon as possible after your termination to ensure you receive financial support quickly. Sometimes there can be long processing times for applications, and (depending on the reason for your job loss) there may be waiting periods before you start receiving payments, so it’s best to apply as soon as possible.
Source:
