Reasonable Management Action vs Workplace Bullying

At a glance

• Workplace bullying is repeated, unreasonable behaviour that creates a risk to health and safety
• A single incident does not meet the legal threshold for bullying, though it may constitute harassment
• Reasonable management action is explicitly excluded from the definition of bullying under the Fair Work Act 2009
• The manner of delivery matters as much as the substance: tone, fairness, and documentation are all assessed
• Employers who maintain clear and fair processes and have contemporaneous documentation, are better placed to demonstrate the reasonableness of management decisions if challenged

What is the difference between reasonable management action and workplace bullying?

Reasonable management action is any lawful supervisory or management activity that has a genuine operational or performance-related purpose and is carried out fairly, consistently, in accordance with established workplace policies and in a reasonable manner.

It includes things like giving feedback, setting performance expectations, conducting investigations and making staffing decisions.

Workplace bullying is repeated, unreasonable behaviour directed at a worker or group of workers that creates a risk to their health and safety. The definition of bullying under the FairWork Act 2009 (Cth) specifically excludes “reasonable management action carried out in a reasonable manner.”

The difference between the two comes down to purpose and manner. A manager who sets a tight deadline is not automatically bullying. A manager who repeatedly sets impossible deadlines specifically to make one employee fail, then humiliates them publicly when they do, almost certainly is.

The action on the surface can look identical. What separates them is why it is happening and how it is being done - and that distinction determines which legal framework applies, what remedies are available, and whether an employer can successfully defend their position before the Fair Work Commission.

The same action, changing a roster, raising a performance concern, removing a responsibility, could be lawful management in one context and evidence of bullying in another. Purpose and manner are everything.

What does the Fair Work Act say about bullying?

Section 789FD of the Fair Work Act 2009 is the governing provision. It defines bullying as repeated unreasonable behaviour that creates a risk to health and safety and explicitly excludes reasonable management action carried out in a reasonable manner.

The Fair Work Commission applies an objective test, meaning it depends on how a reasonable person would view the behaviour in the circumstances, rather than the worker’s subjective feelings or whether they personally found it distressing.

‍

What employers should do?

Document everything

Every performance conversation, one on one meeting, written warning, roster change and disciplinary action should be documented with dates, the reason for the decision and the process followed.

Apply standards consistently

Inconsistent and unfair application of performance expectations in organisations, is one of the most common factors in relation to determining whether reasonable management action has taken place.

Train managers on manner of delivery

Many bullying claims arise from managers who lack the skills to deliver difficult feedback professionally and objectively. Targeted training can address this gap.

Provide safe channels for concerns

This should include both anonymous reporting mechanisms and access to EAP counselling. Having a Speak Up policy is also good practice.

Frequently asked questions

Is reasonable management action an example of bullying?

No. Reasonable management action is explicitly excluded from the legal definition of bullying under section 789FD of the Fair Work Act 2009. Performance reviews, disciplinary processes, PIPs, and restructuring are all lawful where they are grounded in genuine business reasons and carried out fairly and reasonably.

What may reasonable management action include?

Reasonable management action includes setting performance goals and deadlines, conducting appraisals, providing constructive feedback (including negative feedback), placing an employee on a Performance Improvement Plan, allocating and rostering work, implementing organisational change with consultation, investigating misconduct, and taking disciplinary action up to and including termination where justified.

Is reasonable management action bullying under the Fair Work Act?

No. The Fair Work Act 2009 explicitly states that reasonable management action carried out in a reasonable manner does not constitute bullying, even where the worker finds it distressing. The key question is whether the action was lawful, proportionate and delivered fairly.

Can a demotion be reasonable management action?

Yes, in certain circumstances. A demotion can constitute reasonable management action where it is carried out for genuine operational or performance-based reasons, follows a fair process, is implemented in a reasonable manner and is documented appropriately.

What is the difference between bullying and harassment?

Bullying requires repeated unreasonable behaviour. Harassment can arise from a single incident and is often linked to a protected attribute such as sex, race, disability, or age. Both are psychosocial hazards that employers must manage. They are governed by different legislative frameworks with different available remedies.

What are Stop Bullying Orders?

A stop bullying order is a formal order from the Fair Work Commission (FWC) that a worker can apply for when being bullied at work. The FWC must be satisfied bullying has occurred and there is ongoing risk — they don't award compensation, only address future risk.

This article is intended for general informational purposes only and does not constitute legal or WHS/OHS advice. If you are dealing with a specific workplace situation, please seek independent legal or HR advice.

‍