Source: Australian Mines and Metals Association – AMMA
Statement by Steve Knott AM, Chief Executive
Following media reports that Fair Work Commission President Adam Hatcher is seeking legislative change to address surging workloads and deepening funding cuts, it is now clear the system has reached breaking point.
The Fair Work Commission is being swamped by a surge in general protections and unfair dismissal claims while its funding is being cut and no relief is coming.
In December alone, the Commission received 1,780 unfair dismissal applications, up 26 per cent year-on-year, and 967 general protections dismissal claims, up 75 per cent.
Anyone can do the maths: around 44,000 total applications last financial year, overseen by just 53 Commission members. As the President has openly admitted, this is not sustainable.
There is no mystery about what is driving the blow-out.
Rock-bottom filing fees of just $87.20 per application, “no win, no fee” claim harvesting by parts of the IR legal industry, and the growing use of AI to churn out applications have turned the system into a low-risk, high-reward claims factory.
General protections claims in particular, with a reverse onus on employers, uncapped compensation and filing windows stretching up to six years, are being weaponised to force settlements.
Efficiency measures inside the Commission won’t fix this. Legislative reform is unavoidable. General protections must be overhauled by removing the reverse onus, imposing a 21-day filing limit, and capping compensation at six months’ pay.
Unfair dismissal laws must be refocused on genuine fairness and due process, and filing fees lifted to $500 to deter speculative claims.
Without these changes, the system will continue heading toward breaking point.
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