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ARTICLE · 14 SEPTEMBER 2025

Employees over contractors: the redeployment preference?

Bartier Perry Solicitors
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Under the FW Act, a dismissal will not be unfair if the dismissal is a case of genuine redundancy.

AustraliaEmployment and HR
James Mattson
James Mattson
Saige Levy
Saige Levy
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"There has ... been a significant rebalance in favour of employees since the enactment of the" Fair Work Act 2009 (Cth), the High Court of Australia said in a recent decision examining the obligation on employers to explore redeployment: Helensburgh Coal Pty Ltd v Bartley [2025] HCA 29 (6 August 2025).

Under the FW Act, a dismissal will not be unfair if the dismissal is a case of genuine redundancy. An element of what comprises a genuine redundancy is that there are no reasonable redeployment opportunities.

It is not uncommon for employers to explore redeployment opportunities by examining the vacancy list. It is also not uncommon for unions to argue that an employer should cease to engage contractors in preference for keeping employees employed in the business. Companies initiate restructures to address financial imperatives so they are often not too keen to cease the engagement of cheaper and skilled labour alternatives.

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