Adverse action

Adverse action refers to actions that are potentially unlawful, depending on their underlying reasons. This broad term covers actions by employers, like firing or demoting an employee, or by employees, like going on strike or making complaints, which may breach employment laws if done for the wrong reasons. It's crucial to understand the context and motivation behind these actions to determine their legality.

What adverse action means for employers

Under the general protections in the Fair Work Act, an employer takes adverse action if it dismisses an employee, injures them in their employment, changes their job to their disadvantage or discriminates between them and other employees. It is unlawful when a reason for the action is a protected one, such as the employee making a complaint, taking leave or having a protected attribute. For example, cutting a worker's shifts after they ask about their pay could be adverse action. If a claim is made, the employer must prove it did not act for a prohibited reason.

See general protections and our guide to unlawful dismissal, or get Fair Work representation for employers if a claim is made.