Contract Termination - Employment Law
Termination of employment can profoundly impact an individual’s livelihood, identity, and self-esteem, as highlighted in Johnson v Unisys Ltd [2003]. Employment contracts can end by mutual consent, misconduct, or legal operations (e.g., death, bankruptcy). Wrongful termination at common law refers to a breach of contract, which can be either express or implied, but focuses solely on legality, not fairness.
When terminating an employee, notice is mandatory. The notice period varies based on contract terms, industry norms, employee age, service length, qualifications, and job mobility. Notice informs the other party about the contract's end. For example, in Quinn v Jack Chia (Australia) [1992], a 12-month notice was deemed reasonable for a 50-year-old senior employee with a long-term project. Similarly, in Susanna Ma v Expeditors International Pty Ltd [2014], a 10-month notice was reasonable for a senior employee with 24 years of service.
Under the Fair Work Act, notice periods range from 1-4 weeks, with additional weeks for employees over 45. Employers can provide payment instead of notice. Immediate dismissal without notice is permissible for serious breaches or contract repudiation by the employee, such as criminal acts at work, immorality affecting job performance, willful disobedience, or incompetence.
In Adami v Maison de Luxe Ltd (1924), the employee's refusal to perform lawful duties justified summary dismissal. Another case involved a university professor dismissed for engaging in a consensual but inappropriate relationship with a student, breaching his duty and risking the university's reputation.
Unclear whether you should sign the contract, contact Houston Defence Lawyers, we are dedicated to protecting clients' rights. Houston Defence Lawyers brings years of experience and expertise to advice, defend cases vigorously, always aiming for positive outcomes With a skilled team in advocacy who provides strong support and guidance throughout the legal process. Our first consultation is free.
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