An employee who is covered by an Award or enterprise agreement and earns above the high-income threshold can make an unfair dismissal claim. By contrast, any employee who is not covered by a modern Award or enterprise agreement and earns above the high-income threshold, is not eligible to make an unfair dismissal claim under the Fair Work Act 2009 (Cth).

From 1 July 2012, the high-income threshold for employees who are entitled to make an unfair dismissal claim increased from $118,100 to $123,300. This means that the maximum compensation for an unfair dismissal has increased to $61,650.