Separation involves the ending of the employment relationship. This may come from either the employee or employer.

• Voluntary separation may take the form of:
  • Retirement, where the employee has decided to give up full time or part time work.
    Resignation, where the employee leaves for reasons such as a desire for change or moving interstate. This must have notice (usually four weeks).
    Voluntary Redundancy where the employee can nominate themselves for redundancy to leave their job earlier than initially planned.
• Involuntary separation may take the form of:
  • Involuntary Redundancy where some employees may be required to leave the business. This is often due to an organisational restructure or technological improvements.
  • Retrenchment involves cutting back staff due to a lack of work, due to a fall in demand for the good or service.
  • Dismissal occurs when the employer terminates an employee’s employment contract due to the unacceptable conduct or behaviour of the employee.
    • Documentation of processes undertaken is required to avoid claims of unfair dismissal.
    • Summary dismissal – instant termination for gross negligence or misconduct such as theft
    • Unfair dismissal occurs when an employee appeals the dismissal to FWA and it is found that:
    • • Dismissal was ‘harsh, unjust or unreasonable’
      • Not a case of genuine redundancy
      • If a small business, not consistent with Small Business Fair Dismissal Code
      • Claim may be resolved through informal conferences, telephone conferences or a formal hearing.
      • Reinstatement will be the remedy for an upheld claim, unless it is not in the interests of either party, in which case compensation may be ordered.

Involuntary separation must be managed carefully and in compliance with legislation, awards and agreements to avoid claims of discrimination & adverse effects on the morale and productivity of remaining staff