Employers in the auction and valuation sectors have been impacted by the use of generative artificial intelligence (GenAI) tools to frame claims lodged with the Fair Work Commission (FWC). This reflects a broader trend about how this technology is increasingly shaping how workplace claims are initiated in Australia, creating distinct challenges for employers.
The FWC has noted a sharp rise in applications prepared with the assistance of GenAI tools, a trend that is now materially affecting employers operating in specialist, small-business-dominated professions across all sectors of the economy. Indeed, the FWC has expressed concern that it is becoming overwhelmed by GenAI assisted filings. Applications exceeded 30,000 in 2023 and are forecast to rise to between 50,000 and 55,000 by 2025–26, with the Commission’s overall workload increasing by around 70 per cent. This surge has consequences for employers in niche professional sectors. Even weak or misconceived claims must be reviewed, responded to, and often defended, consuming time that would otherwise be spent on client work, compliance obligations, and business development.
Auction and valuation businesses are often lean operations, built around professional judgement, reputation, and compliance rather than large human resources or legal teams. The widespread availability of gGenAI has lowered the barrier for current and former employees to prepare claims, particularly unfair dismissal and general protections applications, against these businesses. Within minutes, AI tools can explain the role of the FWC, outline eligibility criteria, and generate detailed-looking submissions that appear sophisticated but may lack factual accuracy or legal merit.
AVAA is already hearing from its corporate members about the challenges they face with the use of GenAI in workplace relations disputes. Claims with no merit can be constructed in a form that gives them apparent substance, requiring the employer to respond and the FWC to unpick claims that are false but read well,” said Troy Williams, AVAA Chief Executive.
For auctioneers and valuers, the risk is compounded by the nature of their work. GenAI tools can “gloss up” claims by inventing or exaggerating facts, mischaracterising employment relationships, or attempting to bypass qualifying periods. While such claims may ultimately fail, the cost and disruption of responding to them is real and immediate.
The FWC has warned that poorly drafted claims, particularly those advanced with the aid of GenAI, may not only be dismissed but could attract cost orders. The Commission’s President has also made clear that parties must disclose upfront when AI has been used, including identifying any GenAI created precedents or authorities relied upon. These warnings signal a tightening regulatory posture, but they do not remove the burden placed on employers at the front end of the process.
For employers in the auction and valuation sectors, GenAI will require a stronger emphasis on risk management and compliance. Stronger documentation, clearer performance management processes, and early dispute triage are now essential. These will be discussed at the ACV26 Conference on the Coast over 7-8 May 2026, with Caroline Beasley from Cowell Clark Lawyers presenting on the topic entitled Workplace Compliance Risks and Your Business. The issue also underpins the importance of the support available to AVAA members through the partnership with HR Command.
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Interested In Finding Out More?
AVAA has partnership with HR Command that supports its member companies understand the workplace relations obligations. and for further information send an email to membership@avaa.com.au or telephone 1300 928 165. You can also stay up to date by following AVAA on LinkedIn, X/Twitter and Facebook.
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