Employers have a duty to investigate any alleged misconduct by their employees. However, undertaking a workplace investigation can be a difficult process for employers, with many legal obligations and duties to fulfil. A poorly conducted investigation may expose the employer to claims of unfair dismissal or adverse action. Following, we list our tips on how to conduct effective workplace investigations.
1. Consider whether the issue needs to be investigated
An employer should commence a workplace investigation if an employee is alleged to have engaged in serious misconduct such as illegal behaviour or harassment of colleagues.
2. Consider whether a lawyer needs to be involved
If you decide you need to involve a lawyer, call us on (02) 9199 8597 or email us to discuss the next steps.
3. Establish an investigation quickly
Investigations and allegations of misconduct are disruptive, and should be dealt with promptly so as to minimise that disruption.
4. Formulate terms of reference
An investigation which has clearly defined terms of reference will be easier to be managed.
5. Choose an investigator
Human Resources managers are faced with a choice between an internal and an external investigator. An external investigator is a specialist who is not an employee of your organisation. External investigators are generally preferable to internal investigators, as they are less likely to be perceived to be biased or personally interested in the outcome of the investigation.
6. Standing down the employee
It is best to have the employee who is being investigated away from the workplace while the investigation is taking place.
7. Communicate with the employees concerned
It is important to let the employee whose actions are being investigated know about the complaint and the fact that they are being investigated. You should draft a letter to the employee you are investigating.
8. Conduct interviews
The investigator should be instructed to interview all people who could provide relevant information about the incidents.
9. The last interview
The person who is being investigated should be interviewed last as it is important to ensure they are accorded procedural fairness.
10. Make findings
The investigator will prepare a final report. This report, along with the interview records, should be sent to the final decision maker.
11. Devise outcomes
The decision maker must make a decision as to what the outcome of the investigation should be. Outcomes could include dismissal of the investigation, disciplinary counselling or terminating his or her employment without notice.
12. Informing the complainant
If the investigation commenced with a compliant being made by an employee, that employee should be informed in writing as to the outcome of the investigation.
13. Review
A good HR manager should consider what worked well and what could be improved.
If you are unsure about how to run effective workplace investigations, you should seek legal advice to make sure that you are not exposing yourself to claims of unfair dismissal or adverse action. Get in touch with our team on (02) 9199 8597 or fill in the contact form below to arrange a conversation about what your duties are when undertaking a workplace investigation and how you can fulfil them.
The information contained in this post is current at the date of editing – 08 October 2025.
