First: Don't Panic
A threat to go to Fair Work is not a summons. It does not mean a claim has been lodged. It does not mean you've done something wrong. But it does mean you need to stop, think, and handle the next few steps carefully — because how you respond from this moment forward matters significantly.
Most venue owners make the situation worse in the first 60 minutes — not because they did something wrong, but because they reacted before they thought. Once an employee has threatened to go to Fair Work, any adverse action you take against them — cutting their hours, changing their roster, dismissing them — can be challenged as retaliation. This protection applies regardless of whether they actually lodge a claim.
What to Do in the Next 24 Hours
Do not get drawn into a heated exchange. Do not make promises, admit liability, or try to talk them out of it. Say something like: "I hear you. Let me look into this and come back to you." Then end the conversation calmly.
Write down exactly what was said, when, where, and who was present. Do this within the hour while it's fresh. If there are witnesses, note their names. This contemporaneous record is important if the situation escalates.
What are they actually alleging? Underpayment? Unfair treatment? A dismissal claim? The type of complaint determines your exposure and your response. If you don't know, ask in writing: "Can you please let me know in writing what your specific concern is so I can address it properly?"
Honestly assess whether there has been an underpayment, a breach of Award entitlements, or a procedural failure. If there has been a genuine error, the fastest and cheapest resolution is usually to acknowledge it and fix it — before a formal claim is lodged.
Do not send any written response to the employee or their representative without understanding your position. A poorly worded email in this situation can significantly worsen your exposure.
What to Do — and What Not to Do
- Stay calm and professional in all communications
- Document the threat and everything that follows
- Review whether the complaint has merit honestly
- Continue treating the employee exactly as before
- Get advice before responding in writing
- Rectify genuine errors quickly and in good faith
- Cut their hours, change their roster, or demote them
- Dismiss them — this looks like retaliation regardless of reason
- Make verbal promises or admissions in the moment
- Talk to other staff about the situation
- Ignore it and hope it goes away
- Send an emotional written response
Understanding the General Protections Risk
The most dangerous aspect of this situation is the general protections provisions of the Fair Work Act 2009 (Cth). These provisions make it unlawful to take adverse action against an employee because they have exercised a workplace right — and complaining to or threatening to go to Fair Work is a workplace right.
Adverse action includes dismissal, demotion, reducing hours, changing rosters to disadvantage the employee, or treating them differently in any negative way.
There is no minimum employment period for a general protections claim — unlike unfair dismissal which requires 6 months. There is also no cap on compensation. Courts have awarded significant damages in these cases, including for non-economic loss. If an employee can show they were treated adversely after threatening Fair Work, the burden shifts to you to prove it wasn't because of the threat.
A Common Real-World Scenario
A casual employee complains about a suspected underpayment and mentions Fair Work in the same conversation. The following week, their shifts are reduced. The reduction may have been for completely legitimate operational reasons — but it now looks retaliatory. The employee lodges a general protections claim. The burden is on the employer to prove the shift reduction had nothing to do with the complaint. This is one of the most common hospitality HR claims the Fair Work Commission sees.
What Not to Do Right Now
These are the mistakes that turn a manageable situation into an expensive one:
What if the Complaint Has No Merit?
Even if you are confident the complaint is unfounded, the process is the same. Even completely unfounded complaints can become expensive if your response creates legal risk — and it's your response, not their complaint, that the Commission will scrutinise. You still cannot take adverse action. You still need to respond professionally. You still need to document everything.
If you are also considering termination during this period, read our guide on whether you can dismiss someone immediately — because the timing of a dismissal relative to a Fair Work threat is critical. If a claim is actually lodged at Fair Work, both unfair dismissal and general protections matters go through a conciliation process first. Most are resolved there without a formal hearing. If your documentation is solid and your process was fair, your position at conciliation will be strong.
Frequently Asked Questions
Can an employee threaten to go to Fair Work Australia?
Is it illegal for an employee to threaten to go to Fair Work?
What happens if an employee actually goes to Fair Work?
What should I do if an employee threatens to go to Fair Work?
Can an employee actually go to Fair Work over anything?
Is it illegal to retaliate against an employee who threatens Fair Work?
What is a general protections claim and how serious is it?
Should I try to resolve the issue before they lodge a claim?
What if the threat is just a bluff?
This is one of the most common — and most misunderstood — risk moments in hospitality HR. Most claims don't come from what the employee did. They come from how the employer responded.
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