What is a valid reason for dismissal in the fair work system?

The test in the fair work system whether there is a valid reason for the dismissal of an employee depends, curiously, not upon the validity of the facts relied upon by the employer at the time, but what can be shown in and at the time of the hearing of an unfair dismissal case.

 

“The test is whether, on the evidence before the Commission, there was a valid reason

for dismissal connected with the employee’s capacity or conduct.

[43] In Newton v Toll Transport Pty Ltd [2021] FWCFB 3457 the Full Bench said:

“[65] The Commission is bound to determine whether, on the evidence provided, facts

existed at the time of termination that justified the dismissal. Contrary to the Appellant’s

submission, in determining whether there was a valid reason for the dismissal the

Commission is not confined to the reason advanced by the employer (either at the time

of dismissal or during the course of the subsequent hearing). A valid reason for dismissal

can be any valid reason underpinned by the evidence provided to the Commission.”

 

Matsumoto v Loghic Connect Pty Ltd [2023] FWC 2810 delivered 25 October 2023 per Easton DP