Fair Work Court announcement raises concerns

Media Release: 23 July 2026

The Australian Chamber of Commerce and Industry (ACCI) says today’s announcement of a Fair Work Court raises concerns it will lead to higher costs and complexity in the workplace.

ACCI Chief Executive Officer Andrew McKellar said while business is yet to see the full detail of how the court will work, there has been such a court in the past, which was abolished in 1997.

“ACCI supported the abolition of the earlier Federal Industrial Relations Court because it duplicated existing jurisdictions,” said Mr McKellar.

“Business is concerned today’s announcement will lead to higher costs and complexity, especially given there is no evidence that existing courts lack the expertise or jurisdiction required to deal with industrial relations matters.”

Mr McKellar said that there were several positives arising from the current system involving the Federal Court.

“History has shown us that when it comes to debates about industrial relations or workplace disputation, there is a tendency for them to become a focal point for broader ideological debates.

“One of the benefits of the existing system is that it helps reinforce the principles that workplace litigation should be focussed on legal questions rather than political contests.

“A specialist industrial court also opens the door for the adoption of legal doctrines to be made by an isolated jurisdiction detached from broader principles of commercial, administrative, constitutional and statutory law.”

Mr McKellar said that the idea of a Fair Work Court was not taken to the last election as a policy and may reflect the extent of changes made to workplace laws over recent years, which resulted in significant complexity and expanded coverage.

“Changes to workplace relations laws over the last few years have vastly increased complexity and uncertainty, and expanded their coverage and jurisdiction, resulting in more litigation and a greater role for courts and tribunals in resolving workplace disputes.

“Business has always been concerned that this would result in a lawyer’s picnic. The announcement today may be evidence that we were right” concluded Mr McKellar.