[2025] FWC 389
What happened
The Applicant was employed as a Store Manager by SkinKandy VIC Pty Ltd (SkinKandy) in Victoria. She started as a casual body piercer in January 2022, moved to a full-time Store Manager role in February 2023, and was later promoted to the Eastland Store Manager role. Following a period of personal leave in late 2023, the Applicant experienced changes to her work schedule and disagreements with her area manager, the Second Respondent. The Applicant raised concerns about bullying and harassment, filed a workers’ compensation claim, and ultimately resigned on 5 August 2024, with an effective termination date of 2 September 2024. SkinKandy contends the Applicant resigned, while the Applicant claims she was forced to resign.
What was decided
The Fair Work Commission found that the Applicant was constructively dismissed, meaning her resignation was forced due to SkinKandy’s conduct. The Commissioner determined that the Applicant had no practical alternative but to resign. Reinstatement was deemed inappropriate. Compensation was ordered. The Commission noted the Applicant was protected from unfair dismissal, earned below the high-income threshold, and the dismissal was not a case of genuine redundancy. The decision was based on evidence presented and witness statements.
What it means for employers
Employers must ensure a safe and respectful workplace. Failing to address employee concerns about bullying and harassment can lead to constructive dismissal claims. Employers should have clear processes for handling complaints and accommodating employee needs, particularly regarding mental health and cultural or religious observances. Ignoring employee concerns or creating a hostile work environment can have significant legal and financial consequences.
What it means for employees
Employees facing difficult situations at work, such as bullying or harassment, should document incidents and raise concerns with their employer. If the situation doesn't improve, employees may be constructively dismissed, meaning they are forced to resign due to the employer's actions. Seeking legal advice and medical support is important in these circumstances.
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