Jacqui Lambie (Tasmania, Jacqui Lambie Network) Share this | Link to this | Hansard source

():  Right now, small business in this country is being absolutely smashed. Tasmania has seen a massive increase in small business going under: 64 closed their doors in the first half of 2024-25. That is up 480 per cent from two years ago. Nationally, business failure rose 50 per cent, with insolvency appointments expected to hit 16,000 this year.

The government says it cares, but, when it comes down to it, I don't think it cares less when it comes to small business. Look at how they are stalling on the promise—just a promise—they made to Senator Pocock and me to review the definition of 'small business'. Seriously, we're fighting over that still! Small business is being smothered by red tape, and unfair dismissal laws is one of the worst offenders. Recent data from the Fair Work Commission provides compelling evidence of the scale of the issue. In the 2022-23 financial year, the Fair Work Commission processed more than 34,000 applications related to workplace disputes. Among those were over 13,000 unfair dismissal claims and over 5,000 general protections claims involving dismissal. According to data from the Australian Small Business and Family Enterprise Ombudsman, an unfair dismissal case typically costs a business over $10,000, with legal costs varying significantly from $5,000 to $20,000.

Even if the small business wins the unfair dismissal case—this is the clincher!—most of the time they may still have to cover their own legal costs. How is that fair? This means that many small businesses will give a disgruntled employee a payout even if they are in the right because they want to avoid the legal costs. That is where this country has gone. If you've got a bad employee, you have to pay them out. That's where we are at. That's the situation in which you have left small business—and people like my office. I have even heard of a case where a worker was busted for doing illegal drugs at work, but the employee put in an unfair dismissal claim, and the small business ended up settling to avoid legal costs. That is damning—absolutely damning!—of this government!

I got my own taste of the unfair dismissal system recently. I had a member of staff who worked hard for the first three months. Then we took them off probation, and what do you know? The person started showing up late for work, 22 times in a matter of weeks—

Sue Lines (President) Share this | Link to this | Hansard source

Senator Lambie, could I caution you. I'm not sure you should be talking about a staff person who could be identified. I appreciate the privilege in this place, but these matters should be—

Jacqui Lambie (Tasmania, Jacqui Lambie Network) Share this | Link to this | Hansard source

With all due respect, we have gone over that with the legal side, and there are things we have been told not to say, and we have worked through that.

Sue Lines (President) Share this | Link to this | Hansard source

With respect, Senator Lambie, I think this staff member could be easily identified. I have asked you not to continue with that story, but, if you choose to, so be it.

Jacqui Lambie (Tasmania, Jacqui Lambie Network) Share this | Link to this | Hansard source

I will then. The worker became dismissive to co-workers, occasionally left the office without providing any reasons for absences and failed to take on constructive feedback to align with reasonable workplace expectations, despite multiple warnings and a performance review. When my office manager had a review with this staff member, she pointed out the late times and also asked why the staff member was painting their nails at the desk. The staff member replied that they had finished their allocated tasks, and, as far as they were concerned, any time saved was their own downtime. Oh goodness me!

My office manager did the right thing. By the way, she's about 34 weeks pregnant and she's been going through this, so you can imagine the turmoil it has had on her life over the past three or four months. She was informed by the Parliamentary Workplace Support Service, PWSS, of the next steps, which she followed. She followed every direction. The staff member resigned and sent us a nice little email and then three weeks later put in an unfair dismissal claim. Then we found out that PWSS had handed the case to Sparke Helmore Lawyers, the law firm that loves running legal cases against diggers in defence of the DVA. I am shocked that PWSS is even using this law firm, with the reputation that is behind it.

My officer's case is pretty cut and dry, and, because I am a senator, these costs will not have to be covered by me. But if I were a small business it would have cost me thousands. Most businesses in Australia are small businesses, and 98 per cent of them have a turnover of less than $2 million. They are struggling to keep their heads above water. Having to pay out thousands of dollars in potentially vexatious unfair dismissal claims is an unfair burden not just to my office but to small business.

If the government really care about small business, they need to get this sorted out. The unfair dismissal laws are broken and they have clearly gone way too far. The government needs to fix these laws, keep its promises and help Australian businesses stay in the game. It has gone so far that I am getting legal advice on the damage that has been done in my office by your fair work laws. That's where I'm right at right now. I hope the Attorney-General is listening to this, because, if small business doesn't want to take you on, I will, because the psychological damage that has gone on in my office in the last three to six months has been absolutely overbearing. Think about that.

Senate adjourned at 19:51