AI-generated Fair Work claim backfires as sacked Aldi worker ordered to pay legal costs

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A sacked Aldi worker who relied heavily on artificial intelligence to pursue an “obviously” flawed unfair dismissal claim has been ordered to pay $1,230 towards the supermarket’s legal costs.

As per The Age, the Fair Work Commission described the case as one where there were “no winners”, after the Sydney man repeatedly pursued a claim he was not legally eligible to make.

The worker had been dismissed just three days before completing the six-month minimum employment period required to bring an unfair dismissal claim.

However, his AI-generated submissions repeatedly focused on the wrong dismissal date and raised legal arguments the Commission found irrelevant.

Deputy President Michael Easton said the worker had been warned several times that his claim was unlikely to succeed and that continuing could result in a costs order.

Despite those warnings, the worker continued filing submissions prepared with extensive use of AI.

The initial application contained AI drafting instructions including the phrase: “Here is your final clean copy-paste version”.

Easton said the material was “not complete AI slop”, noting that some of the legal arguments were broadly correct and the cases cited were genuine. But the arguments did not address the fundamental problem with the claim.

The Commission had explained to the worker in plain English that he had not completed the required minimum employment period and encouraged him to withdraw his application.

He nevertheless continued with further submissions that again focused on the wrong date.

It was only during the hearing, after the Commission raised the issue again, that the worker accepted he had not completed the minimum employment period and withdrew his claim.

Easton said the hearing should never have taken place and that the costs incurred by Aldi were “utterly preventable”.

“I have taken the very rare step of ordering [the man] to pay some of the employer’s legal costs because his unreasonable conduct caused his former employer to incur those costs unnecessarily,” Easton said.

The ruling highlights a growing concern within the Fair Work Commission over employees using AI to prepare workplace claims without properly checking the material generated.

The case also comes shortly after a Macquarie University worker successfully used AI in a separate Fair Work matter, demonstrating the contrasting outcomes that can result from relying on artificial intelligence in workplace disputes.

Easton said the Aldi worker could have avoided the costs if he had properly read and understood the Commission’s warnings.

“He could have and should have chosen to cut his losses when he had the chance,” he concluded.

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