[2026] FWC 739
General information, not legal advice.
Fair Work Commission
2026-03-05
Original judgment source is linked above.
The Applicant: "Hey Joel, hope you well mate. I send you txt over a week ago and haven't heard back from you. You still chasing painter to join boys? Cheers Sanel"
Joel: "Hey mate sorry for not getting back to you last week. Potentially mate yes, how many $ you chasing and would you have an issue passing a police check to work on Defence?
The Applicant: "Never had issue passing police check. Done it last time for you not sure how long goes that one. Happy to do another one if previous one is expired. You know my work tell me your faur (sic) offer and hope we will find good line that is suitable for both" and then "Cheers Joel"[13]
[17] There was no evidence of the Employer imposing a rate of pay on the Applicant. The Applicant was free to accept or reject the rate, and the work. The Applicant later stated an increased rate for some work performed at a different location. The Respondents agreed to that rate. The parties formed a further working relationship, with the Applicant again on the same basis as he had sought previously, performing his work as an independent contractor. The Applicant worked on that basis as a contractor for approximately three months until the Applicant injured himself at work. The Respondents supported him with his injury whilst he received workers compensation payments until he received a return-to-work plan.
Events of alleged dismissal/finalisation of contractor arrangement
Characteristics of the Purported Employment Relationship - Consideration of the Indicia
Joel De Lizio: "Thanks for that. Yes please head to Enoggera Monday morning. Do you remember where the concierge office is?"
Joel De Lizio: "[Address], Raby Bay. 7am start. Paint is already onsite. Tim [redacted] is the site supervisor [phone number]"
The Applicant: "Hey mate, just checking with you am I going back Monday to Raby Bay? Have a good weekend"
The Applicant: "Hi Joel, could you please advise where you want me to be tomorrow. Is it at Fortitude Valley? Thanks"
[25] The Respondents stated that the tax invoices clearly displayed that the Applicant was not provided with paid leave, and they submitted that the Applicant was responsible for his own taxation. This was how the Applicant had previously sought to be engaged with the Respondents and the Applicant had automatically operated on this same basis. The Respondents stated that the business associated with the Applicant's ABN (Novo's Painting Prompt & Professional) was the entity from which he provided the invoices to them for the work he had done. The Applicant was also on the trade websites for attracting contract work of Service Tasker, Service Seeking, Service, Yellow Pages, Google, and Instagram.
[27] The Applicant stated that he did not claim business deductions or employ staff. He stated that his only work was from the Respondent, generally completing 38 to 40 hours per week. The Applicant also stated that he attended Toolbox Talks and safety inductions by the Respondents. The Respondents stated that the Applicant had the freedom to work the hours he requested of the company and for which he invoiced them for payment. His attendance at Toolbox Talks was of his own volition. Safety inductions are a regular requirement for contractors and employees to enter particular sites to undertake their work.
MR P DI LIZIO: (Indistinct) keeps saying that. The use of the word 'wages' is just so not on, and Sanel knows that. He told everybody he's a subbie. The other thing about the 40 hours a week he did it once. Once. And as far as WorkCover goes I did that to protect us, and thank God we did, because he would have had no income. And all the superannuation was paid, and do you know why I do that? Because that's to protect my company. That's the only reason.
So he's sitting there telling everybody, and Ms Demarco's saying about the wages, the wages, the wages, there's not a person he talks to ever that he said that he was working on wages, that it was '(Indistinct) pay me.' Ever. He tells everybody he's a subcontractor, or 'I am a subcontractor.' There's text messages to say, 'I am a subbie who you call.' 'I'm a subcontractor.' I supplied my truck. When he came to me I said, 'I supply my truck. I supply all my gear. I supply' - 'The only thing you need to do is grab the paint from me and have that on site and I'll do the rest.'"
[33] In an email from the Respondents to WorkCover, the Respondents characterised the working relationship as one of independent contracting, stating:
"Sanel is employed with us on an hourly rate ABN basis - standard hours range from 38-40 hours per week." [37]
Joel De Lizio: "Yes correct, if you have to park in the Secure Parking that's ok just flick me the receipt and I'll reimburse you..."
Joel De Lizio: "[Address], Raby Bay. 7am start. Paint is already onsite. Tim [redacted] is the site supervisor [phone number]"
[38] Shortly before the Determinative Conference, the Applicant's representative introduced a draft individual tax return of Mr Novo for the financial year ending 30 June 2025. This opened the door to a consideration of the material presented in the Applicant's tax return with respect to the matters under consideration. It was agreed between the parties that the Applicant had been on a period of Workers' Compensation during this financial year; and these payments were reflected on the tax return. However, the Applicant's separate income paid by the Respondent was not included on the document. There were invoices before the Commission that the Applicant had billed to the Respondent during this financial year, including on 4 and 10 July 2024 (of which there was no dispute that the Applicant received payment for). The receipt of this income paid in response to the invoices was not declared as income or evident on the tax return in any way or any associated taxation paid. After this discrepancy was raised by the Respondents, the Commission received the following response from the Applicant's representative:
We wish to bring to Commissioner Spencer's attention the reason for the discrepancy in the document provided to the Commission on 2 December 2025.
We contacted WorkCover to confirm the amounts paid and our client went to see his accountant after the hearing yesterday to understand why the employer's figures were different to ours.
Our client's accountant provided him with the attached pre-filing report. It appears that Di Lizio Panting had only submitted our client's wages to the ATO on 28 November 2025 which explains the difference.
Our client had lodged his tax return for the FYE 30 June 2025 in September 2025. A copy of the attached Notice of Assessment issued on 29 September 2025. A copy of that return from Mr Novo's MyGov ATO is attached. ...
Mr Novo amended his tax return last night to include the additional $9,225 wages received from Di Lizio Painting. A copy of the amended Tax Return is also attached.
Copies of the Tax Return and Notice of Assessment for the financial year ending 30 June 2024 are also attached as requested.
It was neither my or my client's intention to mislead the Commission and we sincerely apologise for any confusion caused."
[39] The explanation of the incomplete tax return tendered on behalf of the Applicant cannot be shifted to the Respondent's responsibility. The Applicant's Workers' Compensation payments were paid directly to him. The Respondents submitted that they report their contractor payments under the ATO's required Taxable Payment Annual Reporting, which is on a different timeframe to employee wages. The Applicant's payments, done by invoices, had never been the subject of tax withholding by the Respondent (in accordance with the contractor arrangement) and the Applicant had not raised this previously despite being an experienced individual in the industry who has worked professionally for years. The Applicant had created, and had access to his own invoices, which the DiLizio business paid out; it is not reasonable to suggest he was dependent upon the reporting of the Respondents for the declaring of his taxable income.
[40] The consideration of the tax return as initially presented on behalf of the Applicant did not include all of his earnings or the associated payment of taxation for the relevant financial period. Whilst it is recognised that the tax return was incomplete; this was not clarified when the document was first attended, but the document was objected to by the Respondent on this basis. The later explanation of the document provided on behalf of the Applicant (above); that the Respondent in terms of the presentation of earnings documents and was somewhat responsible for the omissions in earnings (as paid by the DiLizio business) in response to the Applicant's invoices, and the omission of the taxation elements, was disingenuous.
[41] This explanation could not be reconciled with the omission from the tax return document of the actual payments made by the DiLizio business on provision of the invoices by the Applicant, or with regard to the obligations of the Applicant to include the earnings and taxation payments. He was responsible for this as an independent contractor for the payment of tax in line with the company payments made in response to the invoices. The Applicant had not included in his Tax Return any payments from the Respondent on his invoices with the engagement as an employee. The Applicant was also responsible for any of his business expenses, for example, the document reflected a $17,446 deduction for the cost of managing tax affairs.
[42] The Respondent was not responsible for these omissions, and the presentation of the Applicant's tax return that had been included in the Applicant's case of their own volition could not be reconciled against any alleged conduct by the Respondent. The document was incomplete but it was clear that the income paid in response to the invoices needed to be included and this was reflective of an independent contractor arrangement.
[43] As per the above, the consideration of whether the Applicant is an employee of the First Respondent or an independent contractor requires an assessment of the totality of the relationship between the parties based on the indicia as set out. That is, an assessment or a question of what the true substance and reality of their relationship is required given the terms of any verbal contract and how this was implemented in practice.
The Applicant: "Forgot to let you know. I will be at Ruby Bay around 8am. Dropping my car for a service and taking loan car."
Mr J Di Lizio: "Really? Wasn't it just serviced 2 months ago and when we did McDonalds?" and "Sure no probs"
The Applicant: "Was not a service it was replacing under warranty drivers cover seat. If you dont believe can proof it to you with paper work with dates. Anyways I am your subbie and no need to proof my self but happy to do so on your request"
Mr J Di Lizio: "That's fine, no proof needed. Thanks"
The Applicant: "If we dont trust each other we dont have nothing to look forward to be honest with you"
[45] The Applicant did not put any evidence before the Commission as to any relevant differences between the contractor relationship he openly referred to conducting with the Respondent in 2020, and the same reformed relationship from May 2024 to August 2025. The Applicant in the above text messages was clearly of the understanding that he was working as a contractor, rather than as an employee. These factors weigh in favour of the second engagement similarly being an independent contracting relationship.
[47] The Applicant was again, as in 2020, paid by invoice on an hourly basis as presented by the Applicant using his ABN, as such, no tax was withheld and no leave was accrued or provided as one would have ordinarily expected for an employee. The Applicant did not object to this. Further, the Applicant did not receive paid holidays or sick leave, which you would similarly expect for an employee. These factors are indicative of a contractor relationship.
[48] The Applicant was also listed on various websites offering his painting services individually, rather than through the DiLizio entity. As a matter of practical reality, this means that the Applicant was, in effect, competing in the local painting market with the DiLizio business. The Applicant referred to working on his own client's job at the time that the Applicant and Respondents reformed the relationship. There is no evidence of how active the Applicant was in the use of these sites for his services. When he last conducted this work, the Respondents did not oppose that he was listed in his own right there. Further, while the Applicant presented that he was only completing work for the Respondents at the time, there was no indication from the Respondents that he could only perform work for them. This suggests the Applicant was in business with the Respondents on his own account as a contractor, as opposed to an employment relationship.
[49] On the evidence, in relation to the indicia of control, the weight of the responses indicated a contractor relationship with the Respondent. The Respondents directed the Applicant to where he would be working, on which jobs, at which location, and at around what time. In the professional painting industry where the businesses regularly undertake a variety of daily jobs, rather than as an employee or a painter performing work at only one workplace, it is not irregular for an employer or principal to direct an employee or a contractor to different jobs at different sites as they progress through the required work.
[50] There was no discernible difference in terms of the treatment by the Respondents of the Applicant in relation to the allocation of painting jobs as compared to its other contractors or employees. However, no supervision of the Applicant's work was evident. In addition, it is noted that repair painting work being undertaken in additional hours did, however, attract an agreed hourly rate of pay for the Applicant rather than inclusion as part of the ordinary hours. At the worksites, the Applicant could generally determine to commence work and finish work earlier or later. The Applicant had sufficient latitude to determine which parts of the contracted area he would work on and inform the Respondents' other workers, who would perform the other parts of the work as they were directed. The Applicant did collect paint to buy with the company account. The Respondents' provided all large equipment such as scaffolding and paint, but the Applicant provided other equipment such as the truck, brushes, and ladder. This indicated provision of some of his own equipment and a reduced level of control and direction by the Respondents in relation to the discharge of his duties. Differing levels of control can be explained by the degree to which some of these terms were dictated by the host of the work sites' stipulations, such as the specific paints to use and their limitations on hours. Some of these sites included defence contracts. It is reasonable to expect that this contract would include strict parameters for the Respondents to work with. For example, the supply of certain paint to ensure consistency in the whole building, is entirely reasonable. Therefore, when considering the control that the Respondents exercised, it is also necessary to take into account that the work being undertaken was that involving a trade, specifically the painting trade. However, there was no evidence of the Respondent monitoring the nature or quality of the Applicant's work. However, it is recognised that the Respondent freely referred to the Applicant being a very good painter not requiring supervision.
[51] The supply of paint and other materials by the Respondents, including the provision of a company work shirt, or the wearing of white workwear as reflective of the industry standard to distinguish painters from other trades on a worksite, did not exhibit any mandatory obligation by the Applicant, consistent with an employment relationship. The Applicant demonstrated his control over his own work in a manner indicative of a contractor-principal relationship by disregarding these directions. The reference to the Applicant by the Respondents on a site as forming part of the company team of workers and the Applicant's attendance at Tool Talks conducted by the Respondents, represents some recognition of the role of the Applicant, and other people performing work for the Respondents as contractors, as providing employee-like work in this industry. Therefore, when the indicia are considered against the facts of the work and arrangements, the basis and true reality of the work relationship was a sub-contractor / contractor with a principal.
[52] For all of the circumstances and reasons set out above, I am satisfied that considering the legislative tests and the indicia, the real substance and the true reality of the practical nature of the relationship is that the Applicant was an independent contractor. Accordingly, no employment relationship was present and no dismissal pursuant to s.386 of the Act could have occurred. The jurisdictional objection is therefore upheld, and the Applicant's s.365 application is dismissed.

[2] Fair Work Act 2009 (Cth), Schedule 1 clause 116(1)(a).
[4] Ibid at [17]-[18], footnotes excluded.
[5] [2011] FWAFB 8307 at [30].
[6] Witness Statement of Sanel Novo, Digital Hearing Book page 15.
[11] Respondents Submission in Reply - Annexure TM 10, Digital Hearing Book page 97.
[14] Form F8A - Response to a General Protections Application Involving Dismissal, Digital Hearing Book page 59.
[16] Form F8 - General Protections Application Involving Dismissal, page 9.
[18] Respondents Submission in Reply, Digital Hearing Book page 94.
[19] Witness Statement of Sanel Novo, Digital Hearing Book page 15.
[20] Ibid, Digital Hearing Book page 16.
[21] Ibid, Annexure SN-2, Digital Hearing Book page 22.
[23] Witness Statement of Sanel Novo, Digital Hearing Book page 15.
[27] Witness Statement of Sanel Novo, Digital Hearing Book page 16.
[31] Witness Statement of Sanel Novo, Digital Hearing Book page 17.
[32] Ibid, Digital Hearing Book page 47.
[33] Ibid, Digital Hearing Book page 16.
[34] Form F8A - Response to a General Protections Application Involving Dismissal, Digital Hearing Book page 61.
[35] Witness Statement of Sanel Novo, Digital Hearing Book page 17.
[38] Witness Statement of Sanel Novo, Digital Court Book, page 17 at [37].
[40] Respondent's Submissions in Reply at [8]; Transcript PN74.
[41] Witness Statement of Sanel Novo, Digital Hearing Book page 16.
[43] Ibid - Annexure SN-2, Digital Hearing Book page 24.
[45] Respondents Submission in Reply - Annexure TM 2, Digital Hearing Book page 98.
Printed by authority of the Commonwealth Government Printer
Mr Sanel Novo
DiLizio Painting Pty Ltd, Joel Di Lizio [2026] FWC 739
Note: This section was enacted as a response to the decisions of the High Court of Australia in CFMMEU v Personnel Contracting Pty Ltd [2022] HCA 1 and ZG Operations Australia Pty Ltd v Jamsek [2022] HCA 2.