Theft and dishonesty are serious misconduct that can justify summary dismissal (without notice). However, the employer must still conduct a proper investigation and give the employee an opportunity to respond before making a decision.
Last verified: 21 May 2026Theft and dishonesty are serious misconduct that can justify summary dismissal (without notice). However, the employer must still conduct a proper investigation and give the employee an opportunity to respond before making a decision.
Even in theft cases, dismissal can be unfair if: the investigation was inadequate, the employee was not given a proper chance to respond, the evidence was insufficient or circumstantial, the value of the alleged theft was trivial, or the employee had a long and otherwise unblemished service record. The FWC weighs the severity against the employee's history.
If theft allegations are fabricated as a pretext for dismissing an employee who exercised a workplace right, general protections claims apply.
The employer must: (1) conduct a thorough investigation (not merely rely on suspicion), (2) preserve evidence including CCTV footage, (3) put specific allegations to the employee in writing, (4) allow the employee to respond with a support person, (5) genuinely consider the response, (6) consider mitigating factors such as length of service and personal circumstances.
In Maserati v BHP Billiton (2015), the FWC found that while the employee had taken company property, the dismissal was disproportionate given the low value of items and 20+ years of service. The Commission emphasises proportionality — particularly where the value is small and service is long.
21 days
From the date your dismissal takes effect. Strictly enforced.
26 weeks’ pay
For unfair dismissal claims. General protections claims have no cap.
Theft / Dishonesty can be a valid reason for dismissal under the Fair Work Act, but the employer must follow a proper process including investigation, warnings (where appropriate), and giving the employee a chance to respond. Failure to follow a fair process can make the dismissal unfair even if the reason is valid.
Yes, provided you meet the eligibility requirements: you must have completed the minimum employment period (6 months for large employers, 12 months for small business) and earn below the high-income threshold ($183,100) unless covered by an award or enterprise agreement. You must lodge within 21 days.
Unfair dismissal focuses on whether the dismissal was harsh, unjust, or unreasonable (capped compensation at 26 weeks' pay). General protections claims apply when dismissal is for a prohibited reason such as discrimination, exercising a workplace right, or union activity. General protections have no compensation cap and the employer bears the reverse onus of proof.
You have 21 calendar days from the date your dismissal takes effect to lodge an application with the Fair Work Commission. This deadline is strictly enforced and extensions are only granted in exceptional circumstances.
The FWC can order reinstatement (getting your job back) or compensation of up to 26 weeks' pay. The amount depends on factors including how long you worked there, your remuneration, efforts to find new employment, and any misconduct that contributed to the dismissal.
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FairWork Mate is an independent commercial service. We are not affiliated with, endorsed by, or associated with the Fair Work Ombudsman, the Fair Work Commission, or any Australian Government agency. Content is general information and estimates only — not legal, financial, or tax advice. Always verify with the Fair Work Ombudsman (13 13 94) or a qualified professional.
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