Industrial Relations Act 1967
When workplace conflict escalates — dismissal challenges, union issues, and trade disputes — this is the statute that shapes process and outcomes.
What this Act is really about
The Industrial Relations Act 1967 (Act 177) regulates relations between employers, workmen, and trade unions. For most employers, the high-impact areas are representations against dismissal, conciliation, and Industrial Court awards. Updated text is commonly referenced as at 1 November 2021.
Dismissal without just cause or excuse
- A workman may file representations alleging dismissal without just cause or excuse.
- Filing is generally required within 60 days of dismissal.
- Where dismissal is with notice, the workman may file within the notice framework provided by the Act.
- This pathway is distinct from ordinary civil claims for wrongful dismissal.
- Weak investigation or poor documentation often becomes the employer’s biggest exposure.
Conciliation before Court
- Trade disputes and many industrial matters can be reported to the Director General for Industrial Relations.
- The Director General may take steps to promote settlement, including conferences.
- Dismissal-related matters follow the section 20 process rather than ordinary dispute reporting in key respects.
- Early, good-faith engagement often reduces cost and disruption versus a full Court contest.
Industrial Court exposure
- Unresolved matters may be referred to the Industrial Court.
- The Court can order remedies including reinstatement and backwages.
- For dismissal without just cause or excuse, backwages are subject to statutory ceilings — commonly up to 24 months’ backwages based on last-drawn salary, with a lower ceiling for probationers in relevant cases.
- Post-dismissal earnings may affect the calculation of any monetary award.
- The Court is not limited only to the exact relief claimed; it may include matters needed to settle the dispute.
Trade disputes and collective issues
- A trade dispute covers disputes connected with employment, non-employment, or terms of employment.
- Recognition, collective bargaining invitations, and deadlock situations are structured under the Act.
- Certain collective bargaining deadlocks can be treated as trade disputes.
- Representation rules in conciliation are controlled — legal representation is restricted in specified settings.
What strong employers do before termination
- Run a proper due inquiry with notice of allegations
- Record evidence, findings, and decision reasons
- Check whether the employee is on protected leave or special status
- Issue clear termination communication
- Preserve the full file — it becomes your defence narrative
Train managers before conflict becomes a case file
CXCons runs practical industrial relations and due inquiry programs for HR leaders and line managers who make real termination decisions.
General information only — not legal advice. Refer to the official text of the Industrial Relations Act 1967 and seek qualified counsel for specific cases.