The recent Fair Work Commission (FWC) decision in Chandler v Westpac[1] reinforces that employers can only refuse flexible work requests if they’ve complied with the Fair Work Act 2009 (FW Act) process, and the refusal is based on genuine business grounds specific to the employee’s circumstances.
The Westpac Hybrid Model (policy) requires employees to attend a corporate office 2 days each week. A long-serving part-time employee at Westpac requested to work remotely due to school pick-up and drop-off responsibilities. She had worked for Westpac since 2002, performed most of her work remotely since 2018, and maintained strong performance and productivity. Her team was also dispersed across multiple states and largely worked remotely.
Westpac denied the employee’s request, citing the policy requirement to work 2 days in a corporate office. When she instead requested to work those 2 days from her closest Westpac branch rather than the corporate office, this request was also denied for the same reason. The FWC found Westpac had not followed the process required by the FW Act when responding to the request, in that they hadn’t engaged in meaningful discussion, attempted to reach agreement, responded within 21 days or considered the impact of refusal on the employee.
Westpac also failed to establish genuine business grounds for the refusal. Broad arguments about the benefits of in-person attendance on productivity and customer service, and a requirement for compliance with policy did not constitute reasonable business grounds, because they weren’t specific to the employee’s individual circumstances. This employee had worked remotely for years without issue, in a high performing team that had not suffered a loss of productivity or efficiency, or a negative impact on customer service due to the existing remote working arrangements. Ultimately, the FWC ordered Westpac to grant the employee’s original flexible work request.
Key Implications for Employers
- Employers must follow and genuinely engage in the FW Act process when considering flexible work requests
- Refusal must be based on genuine business grounds specific to the employee’s individual circumstances, not based on a policy or general statement about productivity or efficiency
- Employers must clearly articulate reasons for refusal, addressing the specifics of the employee’s situation
- Employers should clearly document all steps taken when responding to a flexible work request, including any discussions with employees and all attempts made to facilitate the request or an alternative request.
[1] Karlene Chandler v Westpac Banking Corporation [2025] FWC 3115
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