What Happens If You Lie On Your Resume?

Hiring is always a bit of a leap of faith.

You’re trying to grow your business, you may be understaffed, and you’re relying on the information a candidate gives you to decide whether they can do the job safely, competently, and reliably. Most of the time, resumes are honest (even if a little polished).

But sometimes, a resume includes claims that simply aren’t true - qualifications that don’t exist, work history that’s been exaggerated, or “references” that can’t be verified.

If you’ve ever wondered what happens if you lie on your resume, the answer (in Australia) depends on what was misrepresented, why it matters to the role, and how you handle it as an employer.

Below, we’ll walk through how resume dishonesty is treated under Australian employment law, what options you may have if you discover it, and what steps you can take to reduce risk in future hiring.

What Counts As “Lying” On A Resume (And Why It Matters To Your Business)

Not every inaccuracy is a “lie” in a legal sense, but from a business risk perspective, it still matters.

Common examples include:

Fake qualifications (eg claiming a degree, trade qualification, licence, or certification you don’t have)
Inflated experience (eg changing job titles, seniority, or responsibilities)
False employment history (eg fake employers, fake dates, or hiding being terminated)
Misstated right to work (eg visa/work restrictions not disclosed)
Dishonest referee details (eg a friend posing as a manager)
Concealing conflicts (eg secondary employment or restrictive covenants with a former employer)

Why this matters to you as a small business owner is simple: if you hire someone based on false information, you could be exposed to operational, financial, safety, and legal risk.

For example:

If someone lies about a licence, you may have compliance and safety issues (and potentially insurance issues).
If someone lies about technical skills, you could have project delays, customer complaints, or quality failures.
If someone lies about experience managing staff, you could see workplace culture issues and higher turnover.

So when business owners ask what happens if you lie on your resume, it’s not just about the employee’s consequences - it’s about whether you can end the employment relationship quickly and lawfully, and protect your business in the process.

Is Lying On A Resume Illegal In Australia?

In many cases, lying on a resume isn’t a criminal offence in itself. However, it can still have serious consequences.

Whether it becomes “illegal” depends on what the person did and what laws are triggered. For example, it may become more serious if it involves:

Fraud (eg using forged documents to obtain a benefit)
Identity deception (eg impersonating a registered professional)
Regulated roles (eg medical, legal, financial services, childcare, security, or roles requiring statutory licences)

For most small businesses, the issue you’ll actually be managing is typically:

whether the resume lie is misconduct (possibly serious misconduct), and
whether you can terminate lawfully (and minimise the risk of an unfair dismissal claim).

Importantly, your obligations don’t disappear just because the employee was dishonest. Depending on the circumstances (including eligibility for unfair dismissal), you can still be exposed to claims if you terminate without a sound reason and a fair process.

If you’re unsure about termination steps, it helps to have a strong Employment Contract in place that clearly covers probation, misconduct, and termination processes.

What Are The Employment Law Consequences If You Discover Resume Dishonesty?

When you discover an employee may have lied, the right response depends on timing and severity. Here are the most common scenarios Australian businesses face.

1. If You Discover It During Recruitment (Before Employment Starts)

If you discover dishonesty before the candidate starts work, you can usually withdraw the offer - but you should still do it carefully.

Even at this stage, you want to check:

Was a contract already signed?
Did you make representations that could create risk if you retract (eg relocation promises)?
Are there discrimination concerns if you withdraw for the wrong reasons?

In many cases, the safest approach is to keep your communications clear and factual: the information provided can’t be verified or is inconsistent with role requirements, so you’re not proceeding.

2. If You Discover It During Probation

Probation is where many businesses expect termination to be “easy” - and it can be more straightforward, but it’s not a free-for-all.

During probation, you’ll often be able to end employment if the employee isn’t suitable, but you still need to comply with the employment contract, the Fair Work Act, and any applicable award or enterprise agreement (including notice requirements). It’s also important to remember that some legal protections apply from day one (for example, general protections and discrimination laws).

To reduce risk, it’s still best practice to:

document the issue (what was said vs what you found)
give the employee a chance to respond (especially if it’s not clear-cut)
follow the notice provisions in the contract (or applicable legal minimums)

If you haven’t already, it’s worth making sure your probation clauses are clear and enforceable. A well-drafted contract and supporting policies can save a lot of trouble later.

3. If You Discover It After Probation (And The Employee Has Protection)

This is where things can get more complex.

If the employee qualifies for unfair dismissal protection (for example, they’ve completed the minimum employment period and meet eligibility requirements), termination needs to be handled carefully.

Resume dishonesty may still justify termination, but you should think about:

Materiality: was the lie central to the job (eg mandatory qualification) or minor exaggeration?
Impact: did it affect performance, safety, trust, or compliance?
Evidence: can you prove the misrepresentation (documents, emails, reference checks)?
Process: did you put the allegations to the employee and consider their response before deciding?

If you jump straight to dismissal without a fair process, you may increase the risk of a claim - even if the underlying issue is serious.

4. Could It Be Serious Misconduct (And Can You Dismiss Without Notice)?

Some resume dishonesty may amount to serious misconduct, particularly where it involves deliberate deception that destroys trust and confidence or creates safety/compliance risk.

Examples that can often be treated more seriously include:

fake licences or certifications required to do the role
fake work rights documentation
forged references or identity information
dishonesty that causes major reputational or financial harm

However, “serious misconduct” is not a label you want to apply casually. Even when summary dismissal may be justified, you should still investigate properly, give the employee an opportunity to respond, and document your reasons.

If you need to manage the process carefully (including suspension and investigation steps), it’s worth getting advice early rather than trying to patch it up afterwards.

Can The Employee Make A Claim If You Terminate Them For Lying?

Yes - and this is the part that often surprises business owners.

Even if an employee lied on their resume, they may still attempt to bring a claim depending on the circumstances and how you handled the termination.

Common claim types can include:

Unfair Dismissal

An employee may allege the dismissal was harsh, unjust or unreasonable - especially if:

the misrepresentation wasn’t central to the role
they’ve otherwise been performing well
you didn’t follow a fair process (eg no chance to respond)

Having a clear show cause process (or similar written process) can help demonstrate procedural fairness, particularly where you’re considering termination based on misconduct.

General Protections / Adverse Action

Sometimes a terminated employee alleges they were actually dismissed for an unlawful reason (eg because they exercised a workplace right, made a complaint, or for a protected attribute).

This is why it’s so important to keep your documentation tight and your reasoning consistent: you want to be able to show the decision was made because of dishonesty (and the impact on the role), not something else.

Breach Of Contract

If you terminate without providing the required notice (or payment in lieu), you could face a breach of contract allegation.

This is particularly relevant if you assume it’s “summary dismissal” but the facts don’t justify it. If you need to use payment in lieu of notice, make sure it’s permitted by the contract and handled correctly.

Misleading And Deceptive Conduct Claims (Uncommon In Standard Employment)

In most ordinary employment situations, the main legal risks are Fair Work-related claims (like unfair dismissal and general protections) and discrimination claims, rather than Australian Consumer Law-style claims.

That said, misrepresentation issues can sometimes become more nuanced in senior executive hires, contractor arrangements, or where there are recruitment agencies and detailed pre-contract negotiations involved. Getting advice early is usually worthwhile if the financial or reputational stakes are high.

What Should You Do If You Find Out An Employee Lied On Their Resume?

When you discover dishonesty, it’s tempting to act quickly. But the “fast” option can create extra risk if it’s not handled properly.

Here’s a practical approach many small businesses follow.

Step 1: Confirm The Facts (And Keep Evidence)

Before you confront the employee, make sure you’ve checked the underlying facts. Keep records such as:

the resume and cover letter
emails or messages where claims were made
role advertisement / position description
reference check notes
qualification verification results (where available)

Be careful about privacy and how you handle sensitive information, especially if the role involves collecting and storing identity documents. Your internal privacy handling should line up with your overall compliance approach (including any Privacy Policy you use for external data handling, where relevant).

Step 2: Assess Whether The Lie Is “Material”

Ask: if you’d known the truth, would you still have hired them?

If the answer is “no”, you’re more likely to have a defensible reason to terminate (subject to process).

Material misrepresentations often relate to:

mandatory legal requirements (licences, registrations, work rights)
core technical competencies
trust-sensitive roles (handling money, sensitive data, vulnerable clients)

Step 3: Give The Employee A Chance To Respond

Even if the evidence looks strong, it’s generally safer to put the allegation to the employee and allow them to respond.

Sometimes there’s an explanation (eg an administrative error, a misunderstanding, or an outdated resume), and sometimes the response confirms deliberate dishonesty.

From a risk perspective, giving them a chance to respond helps you show procedural fairness if the matter escalates.

Step 4: Decide On The Outcome (And Document Your Reasoning)

Possible outcomes may include:

Formal warning (if minor and employee is otherwise suitable)
Performance management (if the issue is capability, not dishonesty)
Termination with notice (where trust is damaged but summary dismissal is not appropriate)
Summary dismissal (where serious misconduct is established and defensible)

Whatever you decide, document:

what was misrepresented
why it matters to the role
what evidence you relied on
the employee’s response
the outcome and why it was proportionate

Step 5: Check Your Contract, Award, And Policies Before Terminating

The correct termination approach can depend on:

the employment contract terms
whether an award or enterprise agreement applies
your workplace policies (eg code of conduct, disciplinary policy)
the employee’s length of service and eligibility for claims

This is also why it helps to have a tailored Workplace Policy framework that addresses honesty, conflicts, and misconduct investigations. It gives you a clearer pathway to follow when something goes wrong.

How Can You Reduce The Risk Of Resume Lies In Your Next Hire?

You can’t eliminate hiring risk entirely, but you can reduce it significantly with a few process improvements.

Build Better Screening Into Your Hiring Process

For many small businesses, the most practical checks include:

Structured interviews that test skills (not just claims)
Reference checks with specific questions tied to the role
Qualification/licence checks where the role requires it
Right to work checks before commencement

If you’re hiring for a safety-critical or regulated role, consider whether you need a higher level of verification before onboarding.

Use Written Declarations And Clear Contract Clauses

One of the most effective legal protections is clarity.

Your employment documentation can make it clear that:

the employee confirms their qualifications and experience are true and complete
misrepresentations may be treated as misconduct
certain qualifications/licences are essential conditions of employment

This is often easiest to do through a properly drafted employment contract, tailored to your role and industry. If you engage casual staff, it can also be worth using a role-appropriate Employment Contract (Casual) so expectations are still clear from day one.

Keep Your Probation Process Active (Not Passive)

Probation isn’t just a calendar period - it’s a chance to verify suitability.

During probation, consider:

setting measurable expectations for the first 1–3 months
doing at least one documented check-in
testing the skills that were claimed in the hiring process

This helps you catch problems early, whether they’re dishonesty issues or simply a poor fit.

Don’t Overlook Your Compliance Foundations

Sometimes resume dishonesty is only discovered because something else goes wrong - a workplace incident, customer complaint, or underperformance.

Strong foundations reduce your exposure when you need to act, including:

up-to-date contracts and policies
clear position descriptions
well-managed performance documentation
consistent termination processes

If your employment paperwork is outdated, mismatched to your business, or downloaded from an overseas template, it can create more risk than it prevents.

Key Takeaways

If you’re wondering what happens if you lie on your resume, the consequences in Australia often show up through employment outcomes like termination (sometimes for misconduct), rather than criminal penalties in most ordinary roles.
For employers, the key question is whether the misrepresentation was material (important to the role) and whether you can prove it with evidence.
Even where an employee was dishonest, you can still face risk if you terminate without an appropriate process, particularly where unfair dismissal protections may apply.
Where dishonesty is serious (eg fake licences or forged documents), it may justify summary dismissal - but you should investigate carefully, put the allegations to the employee, and document your reasoning.
You can reduce hiring risk by improving screening, verifying critical credentials, and using clear employment contracts and workplace policies that address dishonesty and misconduct.

If you’d like a consultation on managing employee misconduct or strengthening your hiring and termination processes, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.

What Happens If You Lie On Your Resume? Legal Consequences In Australia