Safeguard Your Small or Medium Business with Expert HR Guidance: Key Lessons from a Real Fair Work Commission Decision

Sally Dillon • October 25, 2023

Introduction

In the ever-evolving landscape of business, managing employment laws and employee relations can be a daunting task, especially for small and medium enterprises lacking internal HR expertise. A recent Fair Work Commission case involving Kate Clift v Tony's Wholesale Flowers serves as a real-world example of the potential challenges businesses may face without proper HR guidance. Let's delve into the valuable lessons from this case and explore the significance of engaging an HR Consultant as a strategic partner for your business.

Lesson 1: Prioritise Compliance and Fairness

The Clift case underscores the importance of understanding employment laws and adhering to procedural fairness when making termination decisions. Employers must ensure that dismissals are based on valid reasons and follow proper consultation processes, especially when dealing with regular and systematic casual employees.

Lesson 2: Respect Employee Privacy Regarding Sick Leave

In the case, Clift faced emotional distress due to a home break-in, leading to her sick leave. Employers must respect employee privacy and refrain from pressuring employees to disclose personal details about their absences. Honest communication and empathy can foster a supportive workplace culture.

Lesson 3: Prioritise Written HR Policies and Procedures

Crafting well-defined HR policies and procedures or creating an employee handbook is a fundamental step for any business, regardless of its size. These written documents outline the company's expectations, procedures, and guidelines related to various aspects of employment, such as recruitment, performance management, leave policies, code of conduct, and more. Having written policies in place ensures that all employees understand their rights and responsibilities, while also providing a foundation for consistent decision-making.

Lesson 4: Seek Expertise from Experienced HR Professionals

Developing HR policies and procedures or employee handbooks requires a deep understanding of relevant legislation and best practices. Relying on the expertise of an experienced HR consultant ensures that your policies align with current laws and regulations, reducing the risk of non-compliance. Additionally, an HR consultant can tailor the policies to your specific business needs, industry, and company culture, creating a document that truly reflects your organisation.

Lesson 5: Proactive Management of Employee Relations

Effective communication, conflict resolution strategies, and performance management processes are vital for maintaining healthy employee relations. An HR consultant can help businesses establish these practices, fostering a positive work environment.

Lesson 6: Mitigate Risks with Procedural Fairness

Properly notifying employees of the reasons for dismissal and providing them with an opportunity to respond are essential elements of procedural fairness. An HR consultant can guide businesses through these processes, reducing the risk of unfair dismissal claims.

The Role of HR Consultants as Your Strategic Partner

An HR consultant can become a key strategic partner for businesses, providing expertise and guidance in various HR aspects. From compliance with employment laws to talent management and conflict resolution, an HR consultant empowers businesses to create a thriving and compliant workplace. One essential aspect where an experienced HR consultant can add tremendous value is in developing comprehensive HR policies and procedures or employee handbooks. These written documents not only ensure compliance with relevant legislation but also establish clear guidelines for employees and managers, promoting consistency and fairness across the organisation.

Conclusion: Empower Your Business with Expert HR Guidance

The case of Kate Clift v Tony's Wholesale Flowers serves as a real-world reminder of the importance of HR expertise in safeguarding your business. Partnering with an experienced HR consultant enables you to develop robust policies that align with the law, promote transparency, and minimise the risk of legal issues. By embracing the expertise of an HR consultant, your business can confidently navigate complex HR challenges, foster a positive workplace culture, and prioritise the well-being of your most valuable asset—your employees.

Takeaway: HR Policies as an Essential and Solid Foundation

Building a successful business requires a strong foundation, and well-crafted HR policies and procedures serve as pillars that support your organisation's growth. Entrust this crucial task to experienced HR professionals who understand the intricacies of relevant legislation and can create policies tailored to your business needs.

With the support of HR experts, you can establish clear guidelines for your workforce, foster a culture of compliance and fairness, and navigate the complexities of HR management with confidence. Remember, engaging an HR Consultant can be a game-changer for your business, ensuring you have the necessary HR expertise to thrive in today's competitive world. Check out a further list of benefits of hiring an experienced HR Consultant here.

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By Sally Dillon • February 26, 2025

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Why HR is Your Most Powerful Business Asset | Strategic HR & Leadership

By Sally Dillon • January 29, 2025

Introduction HR is one of the most misunderstood roles in business. Some believe HR exists to protect employees. Others think HR’s sole job is to defend the company. Both are wrong. And this misunderstanding is costing businesses money, trust, and talent. For over two decades, I’ve seen organisations sideline HR - treating them as a policy enforcer or an afterthought. The result? 🚨 Employees don’t trust HR. 🚨 Leaders fail to leverage HR strategically. 🚨 Businesses struggle with culture, retention, and performance. But here’s the truth: HR isn’t about sides. It’s about solutions. Great HR drives business outcomes by balancing people and performance. The question is: Are you using HR to its full potential? HR as a Strategic Powerhouse, Not Just a Policy Enforcer The best businesses don’t just "have" an HR department. They embed HR into leadership decisions. HR isn’t just about hiring, firing, and compliance - it’s about: ✅ Shaping culture and engagement (which directly impacts performance). ✅ Developing leadership capabilities (to create stronger teams). ✅ Driving strategic workforce planning (so you have the right people, in the right roles, at the right time). ✅ Maximising financial impact - because people are both your biggest cost and your greatest asset. If your HR function isn’t influencing leadership, growth, and profitability , you're leaving money on the table. HR as a Key Voice on Your Leadership Team Many leadership teams still treat HR as a support function rather than a core business driver. That’s a mistake. Your Chief People Officer (CPO) or HR Director should have the same level of influence as your CFO, COO, or Head of Sales. Why? Because your people strategy IS your business strategy. 🔹 You wouldn’t make financial decisions without consulting your CFO. 🔹 You wouldn’t make operational changes without your COO’s input. 🔹 So why make leadership and talent decisions without HR at the table ? And yet, in many businesses, HR reports to finance, operations, or admin - departments that have their own agenda when it comes to assessing people needs, budgets, and workforce requirements. HR should report directly to the CEO, or Business Owner to ensure people strategy is aligned with business strategy - not just budget constraints or operational efficiency. Because when HR is filtered through another department’s lens, critical workforce decisions become secondary to financial targets, logistical priorities, or admin processes. If your HR leader doesn’t report directly to the top, you may be unknowingly limiting their ability to drive real business outcomes. Are You Using HR to Its Full Potential? Take a moment and ask yourself: ❓ If you have an in-house HR team, are you using their skills and expertise across all areas of your business? Or are they stuck in admin-heavy tasks, when they could be driving strategic initiatives? ❓ If you’re a small or medium business and don’t have in-house HR, why haven’t you partnered with an external consultant? What’s stopping you from leveraging the expertise that could transform your business? In larger businesses, HR should go beyond just ‘HR.’ Under an expanded People & Culture framework, HR should oversee: ✔ Training & Development – ensuring leaders and employees are constantly upskilling. ✔ Work Health & Safety – making compliance, risk management, and employee wellbeing a priority. ✔ Recruitment & Talent Strategy – not just filling roles but attracting and retaining top performers. ✔ Major Projects & Change Management – ensuring workforce alignment with organisational shifts. In smaller businesses , these functions can be outsourced or strategically managed by an external HR consultant working directly with the business owner. This ensures a strong, aligned people strategy, while certain operational roles (finance, admin, or operations) may take on specific HR tasks - as long as they receive the right training, support, and strategic direction. HR isn’t just a department - it’s an investment in your business’s future. Whether in-house or external, make sure your HR function is working at a strategic level, not just buried in paperwork. HR’s Impact on the Bottom Line People aren’t just a cost centre - they are a profit driver. 📊 Labour is often one of the largest expenses in a business - so managing it strategically impacts profitability. 📊 Engaged employees are 23% more profitable , according to Gallup. 📊 Turnover costs 50-200% of an employee’s salary - losing top talent is expensive. When HR has a strategic voice in leadership , businesses see: ✔ Stronger alignment between business goals and people strategy. ✔ Faster, smarter hiring that supports growth. ✔ Better leadership development , reducing costly turnover. ✔ More effective workforce planning , so salaries, training, and hiring are investments—not wasted costs. Final Thought: HR is Not a Department - It’s a Business Growth Lever If your HR function feels like a compliance department , you’re doing it wrong. HR should be a leadership asset , helping your business make smarter, people-focused decisions. So, here’s my challenge to you: 📌 If you’re a CEO or MD - bring HR into the strategy conversation early and often. 📌 If you’re a leader - use HR as a coaching and development resource, not just a policy checker or problem fixer. 📌 If you’re in HR - push for a strategic role in leadership, not just operational support. Because when HR and leadership align , businesses don’t just succeed. They thrive. Want to Develop Stronger, More Strategic Leaders? If you’re serious about building leadership capability in your business, let’s talk. My Leadership Dynamics Accellerator Program helps CEOs, Business Owners, Leaders and HR teams create high-performing leaders who know how to balance people and performance. 📅 Book a free leadership triage call to see how we can help here . 🚀 Save your spot in our next Leadership Dynamics Accelerator Program here . 📩 Send us an email for more information here . Let’s build something stronger - together.