1 min read

An employee’s resignation found to be forced and constitute dismissal

The Case

Jarouche v Lipa Pharmaceuticals Ltd (2023)

Lipa Pharmaceuticals Ltd (Lipa) employed Ms Jarouche as its Chief of Quality. Lipa’s Chief Executive Officer met with Ms Jarouche to discuss her exit, as Lipa held performance concerns. It was suggested that Ms Jarouche resign from her employment to coincide with some planned surgery. Thereafter, a discussion ensued about Ms Jarouche receiving a month of additional pay to sign a deed of release. Ms Jarouche said she would resign and sign the deed if she received 3 months’ notice pay in lieu. Lipa declined and proceeded with the employment termination on the grounds of resignation.

Ms Jarouche commenced general protections proceedings on the grounds of dismissal in the Fair Work Commission (FWC). Lipa made a jurisdictional objection, arguing Ms Jarouche resigned from her employment.

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