[2025] FWC 2551
General information, not legal advice.
Fair Work Commission
2025-10-22
Original judgment source is linked above.
The Applicant's recollection of the SWMS is not accurate. The toolbox meeting on 21 February 2025 was used as refresher training on the SWMS. The record of that toolbox meeting provides:
Tuesday 20/02/2025 worker was spotted dismantling scaffold with an exposed edge to the internal face of the scaffold.
There was a gap of 750mm between the scaffold and lift core walls where hop ups had been removed.
There was a potential to fall approx 2:5m to the catch hop up to the deck bellow. [sic]
Waco Leading Hand to carry out a daily Pre-start meeting with all Scaffolders, ensure the following is discussed and recorded GO CANVAS DAILY PRE-START FORM:
3 Mandatory control- Temporary Erection Platforms (TEP)- General Use
Responsibility: Leading hand and workers installing TEP.
4 Mandatory control- One Metre Rule- General Use
Responsibility: Leading hand and all workers installing scaffolding system.
6 Process when mandatory requirements cannot be implemented
If the work sequence or mandatory requirements detailed in this Work Plan/Instruction cannot be implemented or if there is a change to the task/project scope WORK MUST STOP and the following process MUST be applied:
(1) For the purposes of the definition of serious misconduct in section 12 of the Act, serious misconduct has its ordinary meaning.
(2) For the purposes of subregulation (1), conduct that is serious misconduct includes the following conduct of an employee:
(a) wilful or deliberate behaviour that is inconsistent with the continuation of the contract of employment;
(b) conduct that causes serious and imminent risk to:
(ii) the reputation, viability or profitability of the employer's business;..."
I have adopted the plain English meaning of these two words as defined above.
Section 387(d) - Any refusal of a support person
Section 387(f) and (g) - Size of Employer and dedicated HR specialists
"I'm just wondering about the safety issue. You're travelling 10 to 15 ks an hour, you said, you had just gone through a traffic controller's stop sign, it's a closed road. I'm just wondering where the safety issue arises. Had you stopped the car, or opened the door, or put your hazard lights on, for example, that would have made the situation pretty safe?‑‑‑I could have potentially done that. I acted in the way that I thought would be most appropriate at the time in the short space of time that I had to see and judge and - - -
It's just that I'm not sure about how short the time was on the basis that, paragraph 41, you've looked up and seen scaffolders working at height, then, at 44, you've looked up again, so obviously you'd be closer now because you were able to judge that Mr Kehoe was working at a height of 2.5 metres, and you were so close in fact you were able to observe him basically standing on the side bars or handrails of the scaffold, which I would think was highly dangerous. You would agree with that, I'm assuming?‑‑‑Yes.
Why wouldn't you stop immediately?‑‑‑I would say that that was an error in my judgment."[43]
"But you agree that it's quite a serious allegation, that you observed, you say, not just that he did not have a catch deck, which is already, obviously, in breach of the SWMS, which Mr Kehoe has acknowledged and is uncontroversial, but this further allegation that you've made, Mr Schiaffi, why was that not raised in either the investigation meeting of 4 March and the final meeting of 6 March?‑‑‑I would argue that any breach of the SWMS is serious.
Yes, that is not in contest, Mr Schiaffi. What I'm concerned about is that the allegations were not put to Mr Kehoe in the manner that you observed in either meeting that took place with Mr Kehoe?‑‑‑Well, the breach of the SWMS, you know, not having a catch deck within a metre was a big enough issue and a big enough problem in my mind without even getting into anything else.
I put it to you that they were not raised, those issues, those allegations were not raised because they were false and you did not observe Mr Kehoe balancing on the transom and a ledger with his arm wrapped around the standard in the way that you allege in your statement?‑‑‑I strongly disagree with what you're saying."[44]
"[183] As observed by the Full Bench in Crozier v Palazzo Corporation Pty Ltd:
'As a matter of logic procedural fairness would require that an employee be notified of a valid reason for their termination before any decision is taken to terminate their employment in order to provide them with an opportunity to respond to the reason identified. Section 170CG (3)(b) and (c) would have very little (if any) practical effect if it was sufficient to notify employees and give them an opportunity to respond after a decision had been taken to terminate their employment. Much like shutting the stable door after the horse has bolted.'
[184] The above statement of principle also applies to ss.387(b) and (c)."
These extracts indicate that an employer has a requirement to advise an employee of the reasons for their termination in order to satisfy the procedural fairness requirements of the FW Act.
"390 When the FWC may order remedy for unfair dismissal
(1) Subject to subsection (3), the FWC may order a person's reinstatement, or the payment of compensation to a person, if:
(a) the FWC is satisfied that the person was protected from unfair dismissal (see Division 2) at the time of being dismissed; and
(b) the person has been unfairly dismissed (see Division 3).
(2) The FWC may make the order only if the person has made an application under section 394.
(3) The FWC must not order the payment of compensation to the person unless:
(a) the FWC is satisfied that reinstatement of the person is inappropriate; and
(b) the FWC considers an order for payment of compensation is appropriate in all the circumstances of the case.
Note: Division 5 deals with procedural matters such as applications for remedies."
(1) An order for a person's reinstatement must be an order that the person's employer at the time of the dismissal reinstate the person by:
(a) reappointing the person to the position in which the person was employed immediately before the dismissal; or
(b) appointing the person to another position on terms and conditions no less favourable than those on which the person was employed immediately before the dismissal.
(a) the position in which the person was employed immediately before the dismissal is no longer a position with the person's employer at the time of the dismissal; and
(b) that position, or an equivalent position, is a position with an associated entity of the employer;
the order under subsection (1) may be an order to the associated entity to:
(c) appoint the person to the position in which the person was employed immediately before the dismissal; or
(d) appoint the person to another position on terms and conditions no less favourable than those on which the person was employed immediately before the dismissal.
(2) If the FWC makes an order under subsection (1) and considers it appropriate to do so, the FWC may also make any order that the FWC considers appropriate to maintain the following:
(b) the period of the person's continuous service with the employer, or (if subsection (1A) applies) the associated entity.
(3) If the FWC makes an order under subsection (1) and considers it appropriate to do so, the FWC may also make any order that the FWC considers appropriate to cause the employer to pay to the person an amount for the remuneration lost, or likely to have been lost, by the person because of the dismissal.
(4) In determining an amount for the purposes of an order under subsection (3), the FWC must take into account:
(a) the amount of any remuneration earned by the person from employment or other work during the period between the dismissal and the making of the order for reinstatement; and
(b) the amount of any remuneration reasonably likely to be so earned by the person during the period between the making of the order for reinstatement and the actual reinstatement."
(1) An order for the payment of compensation to a person must be an order that the person's employer at the time of the dismissal pay compensation to the person in lieu of reinstatement.
(2) In determining an amount for the purposes of an order under subsection (1), the FWC must take into account all the circumstances of the case including:
(a) the effect of the order on the viability of the employer's enterprise; and
(b) the length of the person's service with the employer; and
(c) the remuneration that the person would have received, or would have been likely to receive, if the person had not been dismissed; and
(d) the efforts of the person (if any) to mitigate the loss suffered by the person because of the dismissal; and
(e) the amount of any remuneration earned by the person from employment or other work during the period between the dismissal and the making of the order for compensation; and
(f) the amount of any income reasonably likely to be so earned by the person during the period between the making of the order for compensation and the actual compensation; and
(g) any other matter that the FWC considers relevant.
(3) If the FWC is satisfied that misconduct of a person contributed to the employer's decision to dismiss the person, the FWC must reduce the amount it would otherwise order under subsection (1) by an appropriate amount on account of the misconduct.
(4) The amount ordered by the FWC to be paid to a person under subsection (1) must not include a component by way of compensation for shock, distress or humiliation, or other analogous hurt, caused to the person by the manner of the person's dismissal.
(5) The amount ordered by the FWC to be paid to a person under subsection (1) must not exceed the lesser of:
(a) the amount worked out under subsection (6); and
(b) half the amount of the high income threshold immediately before the dismissal.
(6) The amount is the total of the following amounts:
(whichever is higher) for any period of employment with the employer during the 26 weeks immediately before the dismissal; and
(b) if the employee was on leave without pay or without full pay while so employed during any part of that period - the amount of remuneration taken to have been received by the employee for the period of leave in accordance with the regulations."
"• Applicant's average weekly earnings at the Company (at [103] of the Statement of Tim Schiaffi, based on 36.5 weeks): $3,918.99
"1. The Union's calculation infers that the Applicant's employment would have continued for a period of 24 weeks had his employment not been terminated. Given the Applicant's unwillingness to acknowledge that he had even done anything wrong and his unwillingness to accept responsibility for his serious safety breach, the Commission could reasonably find that the Applicant's employment would have ended within an 8 week period such that the maximum claim should be limited to 8 x $3,918.99 - being an amount of $31,351.92 (the Maximum Amount).
2. Regarding the estimated earnings for the period between 7 March 2025 to 25 July 2025, when the Applicant allegedly performed cash-in-hand work, the estimated earnings of $4,150 is remarkably low, as this means that over a period of 20 weeks, the Applicant only earned an average of $207.50 per week. The Respondent submits that it is too convenient that the Applicant has no records of what he received during this period of employment and is only providing an estimate. It was open to the Applicant to request records under Reg 3.42 of his earnings and hours of work from all employers he had worked for during this period to substantiate his earnings, but the Applicant has failed to do so.
Further, the Applicant has not provided any documentary evidence to indicate the extent of his job-seeking activities during the period 7 March 2025 to 25 July 2025 and, accordingly, cannot properly satisfy the Commission that he took reasonable steps to mitigate his loss before he obtained his current position.
Applying the Applicant's own estimated earnings to the 8-week anticipated period of employment, and using the average earning of $207.50 per week, the Applicant's estimated earning between 7 March 2025 to 1 May 2025 (being the date that is 8 weeks after the date of termination) is $207.5 x 8 = $1,660.00 (Deduction A).
The Respondent submits that the failure to mitigate should reduce the Maximum Amount by at least a further 15% being an amount of (0.15 x $31,351.92) $4,702.78 (Deduction B).
3. The amount of $15,479.55, which the Applicant asserts is his earnings for the period 26 July 2025 to 21 August 2025, is inaccurate. That amount is his earnings for the period 26 July 2025 to 15 August 2025. The Applicant has not provided any payslips for any work performed after 15 August 2025. In this circumstance, it would be appropriate for the Commission to estimate the Applicant's income for the additional week based on an average of his income for the three prior weeks, which amounts to a discount on the Maximum Amount of approximately $19,165. This inaccuracy having been noted, this amount is not relevant for the purposes of calculating compensation because it falls outside the 8-week anticipated period of employment.
4. Finally, given the Applicant's culpability for participating in a serious safety breach, the Respondent submits that the Maximum Amount should be discounted by at least 70% being an amount of $21,946.34 (Deduction C)."
[1] WorkPac Pty Ltd v Skene [2018] FCAFC 131; 280 IR 191 at [197].
[2] The Australian Concise Oxford Dictionary (2004) 4th ed, 1297.
[5] Johnson v Marshall, Son & Co Ltd [1906] UKLawRpAC 17; [1906] AC 409 at 415.
[7] Lawrence v Coal & Allied Mining Services Pty Ltd [2010] FWAFB 10089 at [20] and [38].
[8] Fair Work Bill, Explanatory Memorandum at [1541].
[9] Selvanchandran v Petaron Plastics Pty Ltd [1995] IRCA 333; (1995) 62 IR 371 at 373.
[10] Lawrence v Coal & Allied Mining Services Pty Ltd [2010] FWAFB 10089 at [20] and [38].
[11] Allied Express Transport Pty Ltd v Anderson (1998) 81 IR 410 at 5; Yew v ACI Glass Packaging Pty Ltd (1996) 71 IR 201 at 204.
[12] Statement of Tim Schiaffi, filed on 14 July 2025, at Annexure TS1.
[16] [1995] IRCA 333; (1995) 62 IR 371 at 373.
[18] Walton v Mermaid Dry Cleaners Pty Ltd [1996] IRCA 267; (1996) 142 ALR 681 at 685.
[19] The Respondent cited the Statement of Rick Kehoe, filed on 23 June 2025, at [51]. The Respondent also cited the Applicant's Outline of Submissions filed on 23 June 2025, at [21] where it is stated "The Applicant does not dispute the safety breach that occurred on 3 March 2025".
[20] (1984) 155 CLR 306 at 313.
[22] Liquor Hospitality and Miscellaneous Union v Arnotts Biscuits Limited (2010) 188 FCR 221; [2010] FCA 770 at [18] - [19].
[23] Statement of Tim Schiaffi, filed on 14 July 2025, at [82].
[26] Statement of Tim Schiaffi, filed on 14 July 2025, at [82].
[27] Statement of Rick Kehoe, filed on 23 June 2025, at [29].
[32] Parmalat Food Products Pty Ltd v Wililo [2011] FWAFB 1166 at [24].
[33] Statement of Tim Schiaffi, filed on 14 July 2025, at [87].
[42] Statement of Tim Schiaffi, filed on 14 July 2025, at Annexure TS1.
Printed by authority of the Commonwealth Government Printer
Mr Rick Kehoe
Waco Kwikform Limited [2025] FWC 2551
(1995) 62 IR 371
(1998) 81 IR 410
(1996) 71 IR 201
(1996) 142 ALR 681
(1984) 155 CLR 306
(2010) 188 FCR 221
(1995) 185 CLR 410
(1998) 84 IR 1
(1998) 84 FCR 483
(1998) 88 IR 21