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FCAFederal Court of Australia · 12 December 2018

the Applicant v Telstra Corporation Limited

Citation: [2018] FCA 1994

At a glance

Employees affected
1

What happened

The Applicant was employed by Telstra Corporation as an Applications Manager in the Operations Support Services Team from August 2008. He worked under a General Manager. In December 2014, the Applicant raised concerns with the General Manager about an issue. In July 2016, he made a formal complaint against the General Manager alleging bullying, isolation, and discrimination. He also requested flexible working arrangements to attend to his daughter's medical needs and his own mental health. In June 2017, Telstra initiated a company-wide restructure called 'Project Rosie' aimed at reducing costs. The Applicant was selected for redundancy and received a low performance rating in July 2017. He alleges the General Manager arranged his dismissal as revenge.

What was decided

The court found no contravention of section 340 (adverse action because of workplace rights). The evidence did not establish that adverse action was taken because the Applicant exercised his right to make complaints or request flexible work. The court found the redundancy was genuine, part of a legitimate cost-cutting restructure affecting 22 per cent of the team. The low performance ratings were justified by documented performance issues. The Applicant's allegations of bullying and harassment were not substantiated. The application was dismissed.

What it means for employers

Employers can defend adverse action claims by demonstrating legitimate, documented business reasons for decisions. Genuine redundancy based on cost reduction is a valid defence even if an employee has recently made complaints. Performance ratings must be properly documented and justified.

What it means for employees

Making workplace complaints is protected, but complaints alone do not prevent employers from making genuine redundancy decisions. Temporal proximity between a complaint and adverse action does not automatically establish causation; the employer's actual reasons matter.

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Every statement above is drawn from the published decision. Read the original here:

https://www.judgments.fedcourt.gov.au/judgments/Judgments/fca/single/2018/2018fca1994

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This summary was drafted from the published decision and reviewed before publishing. It is general information, not legal advice. For your specific situation, speak to the Fair Work Ombudsman (13 13 94) or a qualified lawyer. About these summaries & corrections →

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