The federal government has confirmed it will establish a new Fair Work Court, promising simpler and faster justice for both workers and employers. Prime Minister Anthony Albanese pointed to the long wait times currently faced by Australians seeking resolution for workplace disputes as the primary driver for the reform.
He noted that people who have been underpaid hundreds or thousands of dollars shouldn’t have to wait years for justice or face legal costs that exceed their claim. Albanese stated the government intends to fix these issues with a specialist court that resolves disputes faster and at a lower cost.
Attorney-General Michelle Rowland framed the reform as part of a broader access to justice push. She emphasized that the new court will create a streamlined dispute resolution pathway, drawing on the expertise of specialist judges to make it easier and simpler for workers and businesses to handle the legal system.
Officials argue the current court system is too costly, complex and slow for modern workplaces. Some workers and small businesses currently spend more than two years fighting for resolutions to matters that should theoretically be straightforward. This backlog is particularly evident in the Federal Circuit Court, where employment claims can sit for 18 to 24 months. For small operators, this period of lingering litigation and contingent liability is paralysing, creating uncertainty for both employers and employees while allowing legal costs to escalate quickly. The new court will operate as a specialist forum staffed by judges with workplace relations expertise, designed to work alongside the existing Fair Work Commission rather than replacing it.
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A Focus on Specialization
Minister for Employment and Workplace Relations Amanda Rishworth said the specialization is central to the design. She believes a Fair Work Court will help workers receive the entitlements they worked hard for and that specialist judges are necessary to ensure workplace matters are considered by people with appropriate expertise. Gazelle Kalk, Associate Director of Content and Training at Peninsula Australia, supports this view, noting that having workplace matters heard by judges with expertise in employment and industrial relations law may lead to more consistent and informed decisions. Such specialization is vital for helping employers better understand their obligations and manage workplace risks, a point echoed in recent coverage of the Annual Wage Review where accurate compliance was flagged as the real factor determining outcomes.
To achieve these goals, the government will consult on the court’s design this year. Workers, employers and legal experts have been invited to give feedback before a final structure is settled, with more details on the consultation process expected soon. Kalk noted that with the volume of workplace claims steadily rising, businesses need quick closure on unmeritorious claims just as much as workers need fast resolution on underpayments, making speed and finality the court’s core metrics.
Business owners will also be watching closely to see how the new court integrates with the Fair Work Commission. A well-connected system could make workplace disputes easier to handle and help avoid unnecessary procedural delays. Kalk emphasized that for smaller claims, neither party shoul
Despite the promise of a new judicial avenue, Kalk points out that the reform doesn’t remove the need for good compliance in the first place. Employers are reminded to ensure they have robust systems in place for pay, entitlements and workplace policies, as disputes are always easier and less costly to prevent than they are to resolve.