FWC decision highlights the need for clear and understandable policies!

As a small or medium business owner, it's important to have clear, understandable policies in your workplace that your employees can follow.

Why is this important?

Recently, a Fair Work Commission (FWC) decision highlighted the importance of having policies that are accessible, understandable and reasonable.

Case study - Eptesam Al Bankani v Western Sydney Migrant Resource Centre Ltd (2023)

In this case, an employee, Ms Al Bankani, was dismissed for deleting data from a work-issued mobile phone. Although the act of deleting data was valid grounds for dismissal, the FWC found that the policy breached by the employee was too complex and not clear enough.

As a result, the FWC reinstated Ms Al Bankani, and compensated her for lost pay while during the period she was terminated.

How to manage your risk

To avoid the risk of facing unfair dismissal proceedings as a result of inadequate or overly complex policies, here are some tips that can help:

Make sure that policies and procedures are readily available to all applicable employees, and that they are transparent and clear in their terms.
Use plain language as much as possible, and limit the use of jargon and complex or legalistic terms. Policies and procedures should be clear, concise, and related to relevant industry or organisation.
Clearly specify the behaviours that may constitute misconduct and/or serious misconduct, and the particular sections of the policy that, if breached, may constitute misconduct. The policy should also specify what, if any, disciplinary action may follow on from a breach.
Before disseminating a policy, imagine being in the position of an employee accused of breaching its terms. Are the policy’s objectives and terms easy to understand? Is what the policy seeks to regulate reasonable? Is the mode of communicating the policy effective?
Update policies and procedures regularly to remain compliant with legislative changes and be consistent with evolving workplace practices and community standards.
Communicate policies and procedures clearly and frequently, particularly where the obligation is strict. If employees are not familiar with a policy and its terms, relying on the policy as a ground for termination will likely be challenging.

Takeaway

No matter what size your business is, if you have employees, you need to have policies and procedures implemented in your business. By following the above tips, you can ensure that your policies and procedures are clear, concise, understood by your employees and are effective.

Need more help?

If you need help crafting policies that set clear behavioural expectations and meet FWC requirements, book in your HR Health Check HERE or book a free 15-minute consultation HERE so we can discuss your needs.

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