Federal MP Monique Ryan and former staffer Sally Rugg are ‘at war’, a court has heard

A legal stoush between Federal MP Monique Ryan and her former staffer has devolved into “warfare” with each side throwing allegations at the other, a court has heard.

The working relationship between Federal MP Monique Ryan and her former chief-of-staff Sally Rugg has devolved into “trench warfare”, a court has heard.

Ms Rugg is suing her former boss and the Commonwealth of Australia, alleging she was fired for exercising her right to refuse to work “unreasonable, additional” hours.

The case returned to the Federal Court on Friday after a month-long meditation attempt failed to resolve the dispute.

The court heard arguments about whether to halt Ms Rugg’s termination, with her lawyers arguing she was “ready, willing and able” to return to work.

She has not worked for Dr Ryan since December but, after earlier court appearances, is still technically employed.

Ms Rugg alleges she was coerced to hand in her resignation as Dr Ryan’s chief of staff and was “frozen out” of the Federal MP’s office who created a “hostile” work environment.

“We say that what occurred was that Ms Rugg was pushed or jostled into resigning,” counsel for Ms Rugg, Angel Aleksov, said.

Federal MP Monique Ryan leaves court after hearing in unfair dismissal case brought on by former staffer Sally Rugg. Picture: NCA NewsWire / Ian Currie

Monique Ryan and Sally Rugg in happier times.

Mr Aleksov told the court his client‘s salary of $136,607 per year, plus a staff allowance of $30,205, was not enough to compensate for the work she was required to do.

He said his client was regularly working “upwards” of 70 hours per week, including on weekends, and felt pressured to resign after refusing to take on more work.

“The response from Dr Ryan was essentially: ‘I need this done. I need you to work harder’,” he said.

Dr Ryan denies there was any tension in their relationship or the specific allegations of hostile behaviour.

She alleges she had no intention of firing her chief-of-staff until Ms Rugg tendered a resignation letter, but had raised the possibility of changing her role.

In an affidavit to the court, Dr Ryan claimed she spoke to Ms Rugg on December 16 to tell her she wasn’t meeting the requirements of the position and they should “rejig her role to play to her strengths”.

It’s alleged Ms Rugg rejected this proposal, saying she’d be “delighted” to change her role but only if it remained a salaried position.

“I’d be delighted to do that for you just not in insecure work,” she allegedly said.

Their working relationship, Mr Aleksov suggested, deteriorated in late 2022 because of a number of incidents, including when Ms Rugg was reprimanded for getting on a commercial flight with Covid.

He stressed she did not have symptoms at the time.

Ms Rugg’s legal team have sought financial compensation for the alleged “hostile conduct” which saw her take stress leave in December.

Federal MP Monique Ryan. Picture: NCA NewsWire / Ian Currie

Sally Rugg. Picture: NCA NewsWire / Ian Currie

Mr Aleksov said her legal challenge “has the flavour of a test case” to determine appropriate staff workloads and “reasonable” overtime.

“My client was working 70 plus hours a week. We’re not talking about someone not prepared to work hard for her employer,” he said.

Mr Aleksov claimed the issues have arisen out of a decision by Prime Minister Anthony Albanese to reduce independent MP’s staffing allowance from four under the previous government, to just one.

“The Teals anticipated having four parliamentary staffers rather than one,” he said.

Dr Ryan’s counsel, Matthew Minucci, told the court his client expressly denied deciding to dismiss Ms Rugg, and claimed it was “entirely impractical” for the court to force them to work together.

“She alleges she’s been required to work hours that are unreasonable and was subject to poor treatment,” he said.

“There is no possible way for the relationship to be anything other than irreparable when the allegations are maintained and not disavowed.”

Sally Rugg (left) returned to court on Friday after a month of mediation with Dr Ryan and the Commonwealth failed. Picture: NCA NewsWire / Ian Currie

In an affidavit, Dr Ryan pushed back on the suggestion Ms Rugg was expected to work 70 plus hour weeks and claimed she “fell short” of meeting the demands of her position.

“She could have eased the pressure on herself had she delegated appropriately and managed the team effectively,” Dr Ryan alleged.

Counsel representing the Commonwealth, Nick Harrington, suggested it would be irresponsible for the court to say the pair have to continue to work together.

“The temperature of the relationship is quite extraordinary,” he said.

“There is a war of allegations and counter allegations. Preserving the status quo is maintaining a relationship that has withered on the vine.”

He said a statement on Thursday by Ms Rugg’s legal team that they would seek to add claims of “serious contraventions” of the Fair Work Act against the Commonwealth was a significant escalation.

“With the greatest respect, there’s been no attempt to de-escalate,” he said.

Justice Debbie Mortimer questioned how the two parties could be expected to work together if she granted Ms Rugg’s application to return to work.

“The material is pretty stark about a breakdown in their working relationship,” she said.

“I have found it difficult to reconcile Ms Rugg’s desire to return with the serious allegations.”

She reserved her decision to be handed down on Tuesday morning.