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Human resources risks and liabilities
This chapter explains when HR’s actions can give rise to legal liability and how to reduce the risks.
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The human resources (HR) department is often responsible for making decisions and taking action on behalf of the business, e.g. performance management and dismissal.
![How can HR create legal liability for your business?]()
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Your business can be held liable if an HR professional breaches the FW Act.
![Liability under the FW Act]()
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An HR manager will be responsible for a serious contravention is one in which the HR manager authorises the conduct through a policy, rule or a course of conduct or practice, and the conduct constituting the contravention is part of...
![When will an HR manager be responsible for a serious contravention under the FW Act?]()
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The way HR manages performance, redundancy or misconduct issues that result in dismissal can have legal implications for your business under FW Act unfair dismissal laws.
![Unfair dismissal laws]()
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You cannot dismiss an employee for a protected activity or attribute under the general protections provisions of the FW Act, e.g. for exercising a workplace right or making a complaint about their employment.
![General protection provisions]()
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The FW Act allows employees to apply for an order to stop workplace bullying.
![Workplace bullying provisions]()
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If an employer contravenes the FW Act, an HR professional may become personally liable for the contravention in certain situations.
![Personal liability under the FW Act]()
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HR professionals involved in decision-making and actions taken in relation to the performance of safe work and creating a safe working environment may attract liability under health and safety legislation for non-compliance.
![Liability under health and safety legislation]()
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You can be held liable for actions of an HR professional who breaches anti-discrimination legislation.
![Liability under anti-discrimination legislation]()
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The Australian Consumer Law (ACL) prohibits misleading and deceptive conduct in recruitment.
![Liability under consumer law]()
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