Australian Employment Laws Can Still Apply to Overseas Workers

Australian businesses hiring staff overseas may still need to comply with local employment laws, particularly when it comes to unfair dismissal.

Even if a worker is based entirely outside Australia, they may be protected by the Fair Work Act 2009 depending on how and where the employment relationship was formed. One key factor is whether the employment contract was “entered into” in Australia. This can include situations where an overseas worker accepts a job offer by email, and the acceptance is received by an Australian-based employer.

A recent Fair Work Commission decision confirmed this approach. A remote worker based overseas was found eligible to bring an unfair dismissal claim against her Australian employer, despite never physically working in Australia. The Commission accepted that the contract had been formed in Australia, triggering coverage under the Fair Work Act.

Simply labelling a worker as a contractor or relying on their offshore location isn’t enough to avoid legal obligations. If the business exercises control, sets work hours, and pays regular wages, it’s more likely the person is an employee under Australian law. The consequences for getting it wrong can be serious. Employers may face unfair dismissal claims, underpayment liabilities, and civil penalties if minimum entitlements have not been met.

Businesses should review their arrangements carefully before engaging overseas workers directly. Using local agents, clearly defining the contract location, and obtaining legal advice can help manage the risks. Employment law protections can reach beyond borders—and the burden falls on employers to get it right.