Is Your Offshore VA Really an Australian Employee

Hello and welcome to Episode 280 of the People Powered Business Podcast.

In this episode we’re unpacking a recent Fair Work Commission decision that has seen a worker based in the Philippines being deemed to be an employee of an Australian based business, and what that means for those engaging offshore workers.

In the case, the worker, based in the Philippines, was working for a Brisbane based business. Her tasks were to work as a Paralegal. She worked from her home, and was required to work Australian hours – 8:30am to 5pm QLD time.

Her engagement was terminated by the business (because she allegedly copied company data onto a personal computer drive – an allegation she denies).

Upon termination she felt wronged and unprotected. She felt unprotected by Philippines workplace law because of how her engagement was set up, but also wasn’t sure she was covered by Australian workplace law, but because she felt like she was acting just like an employee – she would make an unfair dismissal claim with the Fair Work Commission.

The company of course argued that she wasn’t in Australia, and therefor was a contractor, not an employee, and as a result not eligible to make the claim.

However, the worker pointed out that the Fair Work Act does not in fact state that you need to be physically in Australia for this to make such a claim.

The outcome? The first thing that needed to be determined, was whether she was an employee and therefore eligible to make the unfair dismissal claim.

The Fair Work Commission ruled that she was an employee of the Australian company, and that she was not conducting her own business and therefore not a contractor.

They ruled that as an employee, she was entitled to all of her workplace rights under the Fair Work Act, including the national minimum wage, which was at the time of the termination $6.87 per hour higher than what she was getting paid.

The result This has paved the way for her to make a claim for back payment of wages, and to pursue the unfair dismissal claim, amongst other things.

You can read the full article here: https://www.abc.net.au/news/2025-06-03/filipino-woman-changed-game-for-australias-offshore-workers/104750996

We unpacked what this case might mean for you if you engage offshore workers in your business.

If you’d like to connect with other businesses who are also juggling the challenges of teams, I’d love you to join us inside our free Facebook Group, The People Powered Community, so I can learn more about what’s working for you and any challenges you might be having.

Join Here - https://www.facebook.com/groups/hrsupportaustralia