Union moves to sack its own lawyer over alleged timesheet fraud while WFH

A lawyer at the Public Service Association of NSW is in the firing line for dismissal after allegedly falsifying timesheets while working from home.

The Public Service Association of NSW (PSA) has moved to sack one of its own lawyers over allegations she falsified timesheets while working from home.

However, the Fair Work Commission has blocked the union from going through with the sacking, ordering it to restart the inquiry and refer the matter to an independent investigator after ruling that the original process lacked procedural fairness.

The dispute centres on senior industrial officer Xanthe Thomson, whom the PSA accuses of submitting false electronic timesheets and claiming pay and leave entitlements for hours she allegedly didn’t work.

The alleged misconduct came to light after the union discovered Thomson had been working from home while taking time off in lieu, often aligning it with weekends and long weekends for hours she reportedly worked extra.

The commission heard that this prompted the PSA to launch an internal review of Thomson’s electronic timesheets, which was carried out by assistant secretary Troy Wright.

During a meeting on 23 October 2025, Thomson – accompanied by her support person, who is also a PSA employee, and her husband – was told the union was alleging she had submitted electronic timesheets between July and September 2025 that she “knew to be false”, claiming hours she had not actually worked.

Despite strongly denying the allegations, participating in a formal interview, and submitting a written response, Thomson was still faced with PSa general secretary Stewart Little’s proposal to terminate her for serious misconduct, “with an opportunity to resign”.

Before the union could finalise its decision, Thomson lodged a dispute with the Fair Work Commission, seeking to block her dismissal on the grounds that the union had acted with procedural unfairness.

She contended that her manager never reviewed the allegations in the first instance and that the union failed to appoint an independent investigator, as mandated by the enterprise agreement.

Commissioner Bernie Riordan dismissed the idea that the union needed to consult Thomson’s manager, noting she “may be complicit in condoning these alleged irregularities on the basis that she approved the submitted timesheets”.

However, while acknowledging the assistant secretary had carried out a “monumental amount of work” in preparing the allegations, the commissioner ruled that an independent investigation was still necessary.

As a result, Riordan highlighted that the PSA assistant secretary’s involvement in forming views and making recommendations on their own allegations meant the process failed to uphold the union’s policy, the enterprise agreement, and fundamental standards of procedural fairness.

“Whilst I disagree with [Thomson’s] submission that the assistant secretary acted as a judge, jury and executioner, I am prepared to concur with the submission that the assistant secretary formed views and a recommendation about his own allegations,” Riordan said.

“I am satisfied and find that such a process does not comply with the provisions of the policy, the agreement or the basic premise of procedural fairness.”

Despite finding the process flawed, the court rejected Thomson’s argument that the PSA should be completely barred from pursuing disciplinary action, emphasising that she faces “serious allegations” of timesheet fraud.

Instead, Riordan ordered the union to restart the disciplinary process from the point Thomson submitted her response and to refer the matter to an independent third-party investigator to ensure its obligations are met.

The decision means the PSA can still attempt to dismiss its own lawyer if the allegations are ultimately substantiated, but any further action must now be based on a fresh, independent investigation.