Workplace investigations are essential when employers face complaints about misconduct, bullying, harassment, discrimination or breaches of workplace policies. A fair workplace investigation process not only ensures compliance with the Fair Work Act but also protects your business from legal claims such as unfair dismissal, general protections or discrimination.
Handled correctly, workplace investigations demonstrate that employers take complaints seriously, support procedural fairness, and make evidence-based decisions. This guide explains how to conduct a workplace investigation step by step and avoid the common pitfalls that can put your organisation at risk.
When is a workplace investigation required?
Employers must act promptly when an allegation is raised that could, if substantiated, lead to disciplinary action or termination. A formal workplace investigation is generally required in cases of:
- Bullying, harassment or discrimination complaints.
- Misconduct such as theft, fraud or breach of confidentiality.
- Workplace health and safety breaches or incidents.
- Serious breaches of company policies or employment contracts.
Failing to investigate properly may expose your business to legal liability and reputational harm.
What principles apply to a fair workplace investigation?
To conduct a fair and legally defensible investigation, employers should follow these principles:
- Impartiality – Appoint an investigator with no conflict of interest.
- Confidentiality – Protect the privacy of all parties involved.
- Natural justice – Give the employee under investigation full details of the allegations and an opportunity to respond.
- Evidence-based findings – Base conclusions on documents, witness interviews, and facts, not assumptions.
Adhering to these principles is critical for ensuring a fair workplace investigation and avoiding claims of bias or unfair treatment.
The workplace investigation process: step by step
Employers who want to know how to conduct a workplace investigation should follow a structured process:
- Initial assessment – Decide if the matter requires a formal investigation or can be resolved informally.
- Appointing an investigator – Choose an impartial internal manager or engage an external workplace lawyer for sensitive matters.
- Define scope – Prepare clear terms of reference setting out the issues to be examined.
- Gather evidence – Collect documents, emails, CCTV, and other relevant records.
- Conduct interviews – Interview the complainant, the respondent, and witnesses separately.
- Employee response – Give the employee under investigation the chance to respond fully to the allegations.
- Prepare a report – Set out the findings, whether allegations are substantiated, and recommended next steps.
This step-by-step workplace investigation process ensures consistency, fairness, and defensibility if the matter is later challenged.
Possible outcomes of a workplace investigation
After reviewing the evidence, outcomes may include:
- No further action if the allegations are unsubstantiated.
- Mediation, counselling, or informal resolution between parties.
- Disciplinary action such as a warning or termination of employment.
Employers should always ensure outcomes are proportionate to the findings of the investigation.
Common mistakes in workplace investigations
Workplace investigations often fail because employers:
- Delay taking action after a complaint is made.
- Appoint investigators with conflicts of interest.
- Fail to give the employee an opportunity to respond.
- Predetermine the outcome before gathering evidence.
- Do not keep adequate records of the process or findings.
Avoiding these mistakes will protect the integrity of your workplace investigation and strengthen your position if challenged.