When employees walk away: managing resignations and abandonment

In the retail sector, employment relationships often move quickly. Flexible rosters, casual and part-time arrangements, and high staff turnover mean that resignations and unexplained absences are common. However, how an employer responds to these situations carries real legal risk.

Confusion frequently arises where an employee stops attending work, disengages from communication or gives an unclear indication that they’re leaving. Mismanaging resignations or incorrectly treating an absence as abandonment of employment can expose retailers to unfair dismissal claims and other legal consequences.

This article provides practical guidance on handling resignations correctly, distinguishing them from the abandonment of employment, and lawfully managing no-shows.

Handling resignations: clarity is critical

A resignation is a voluntary act by the employee to end the employment relationship. For a resignation to be effective, it must be clear, unequivocal, and intentional.

In retail workplaces, resignations may occur verbally, by text message, or through informal channels. While resignations don’t have to be in writing to be valid, ambiguity is where risk arises.

Employers should be cautious in situations where employees express frustration, insinuating that they are “done” or “can’t do this anymore” in the heat of the moment or when statements are made during conflict / disciplinary discussions.

The Fair Work Commission (FWC) has consistently held that employers must not consider ambiguous statements as resignations. If there is any doubt, the employer should seek confirmation.

When a resignation is unclear, it’s considered best practice to:

• Clarify the employee’s intention in writing.
• Ask the employee to confirm whether they are resigning and, if so, their intended last day.
• Allow a short cooling-off period where emotions may be involved.

If an employee attempts to withdraw a resignation that was given impulsively or under stress, the employer should carefully consider whether it’s reasonable to accept the withdrawal.

Notice period

Once a resignation is confirmed, employers should ensure notice requirements are handled correctly.

Retail employers should:

• Check the applicable award, agreement, or contract for minimum notice.
• Confirm whether notice will be worked or paid in lieu.
• Provide written confirmation of the resignation and final date of employment.

Even where an employee fails to work out their notice, this doesn’t equate to abandonment of employment or misconduct by default. Employers should still process the resignation in accordance with the law.

Abandonment of employment

Abandonment of employment occurs when an employee fails to attend work for an unreasonable period, doesn’t communicate with their employer about the absence, and doesn’t have a reasonable excuse for the absence.

In retail matters, employers often assume abandonment too quickly – particularly where an employee stops responding to calls or messages. The FWC has repeatedly made clear that silence or non-attendance alone doesn’t prove intention to abandon employment.

Employees may fail to attend work for many reasons, including illness, personal crises, confusion about rosters or avoidance due to anxiety or workplace conflict. It’s important to consider these factors when assessing cases of employment abandonment.

Managing no-show employees lawfully

When an employee doesn’t attend work without explanation, retailers should adopt a structured, documented approach to addressing the issue. Employers should:

• Attempt to contact the employee using agreed communication methods, such as phone, SMS, email, or roster platforms. Messages should be neutral and factual, asking the employee to explain their absence and confirm their intentions.
• They should allow sufficient time for the employee to respond and should account for factors such as the employee’s work pattern and length of service.
• Issue a formal written notice that highlights the employee’s absence and lack of response, request the employee to initiate contact with the employer by a specified date and warn the employee that continued non-attendance may result in the employer concluding that the employee has abandoned their employment. It’s important to note that the correspondence shouldn’t state the employee has resigned.
• Only after repeated attempts at contact and clear direction to make contact by a deadline may the employer conclude that the employee has abandoned their employment.

Avoiding unfair dismissal exposure

Retailers are most exposed to unfair dismissal claims where they:

• Treat ambiguous conduct as a resignation.
• Fail to clarify an employee’s intention.
• Terminate employment without warning or opportunity to respond.
• Rely solely on silence or absence as evidence.

To minimise risk, employers should ensure that any termination decision is supported by:

• Documented contact attempts.
• Clear warnings about consequences.
• A genuine opportunity for the employee to explain.
• Accurate characterisation of the reason for termination.

Key takeaway for retailers

Resignations and abandonment require careful handling. In a fast-moving retail environment, it can be tempting to fill roster gaps quickly – but assumptions regarding resignations and/or abandonment of employment are costly. By slowing the process slightly, seeking clarity and documenting each step, retailers can manage exits fairly, lawfully and with confidence, while significantly reducing exposure to unfair dismissal claims.

Our Author

Khadija Mumtaz – Workplace Relations Advisor