Employment

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by Practical Guidance Employment

Lost opportunity to negotiate new employment contract may constitute detriment for whistleblower claim (Jackson v HRI)

Date: 3 April 2025
Court: Federal Court of Australia
Judge(s): Raper J
Judgment date: 2 April 2025
Catchwords: Corporations Act whistleblower protections — requirement to prove detriment — lost opportunity to negotiate — detriment from lost opportunity

Abstract:

In Jackson v Heart Research Institute Ltd [2025] FCA 301, the Federal Court of Australia held that a lost opportunity to negotiate a new employment contract could constitute detriment for the purposes of the whistleblower protections under the Corporations Act 2001 (Cth) (CA).

Background

The applicant was employed from 1 October 2013 to 30 June 2024 as the respondent’s Director of Cardiovascular Research and head of its Thrombosis Research Group undertaking clinical trials for a potentially revolutionary drug to treat stroke victims.

The applicant was employed under a series of maximum term contracts. The Group’s research and work was funded largely by grants allocated and tied to the applicant’s employment.

From in or about August 2022, there were negotiations between the applicant and the respondent as to the terms of a new employment contract and a collaboration agreement between the applicant’s company, incorporated to…