"You confirmed that the pictures were of female sexual content ('adults only, not harsh and was only people'). You agreed that you had been using the internet during work time for personal use, but believed it to be less than 1 hour a day (which you agreed was high use)."
The company deemed his actions had amounted to serious misconduct and decided to terminate his employment.
Mr Hiha argued that he had been treated differently from other employees, referring to another eworker who had misused the internet - but not to view pornography - and only received a warning.
He also argued that the company's policies "should have set out which type of pornography was serious and could result in dismissal and which was less serious and could result in rights to internet access being remove".
To determine whether Mr Hiha's conduct constituted serious misconduct, Ms Fitzgibbon said she had viewed a report on his internet usage which contained 164 images "depicting images of naked women, naked women and men in lewd poses and performing sex acts".
"The images are graphic and objectionable."
She found that the pornography viewed by Mr Hiha was "seriously offensive" and "destroyed the trust and confidence that Mr Peden had in Mr Hiha".
"Mr Hiha says he was not aware that his conduct could be regarded as serious misconduct despite what, he agreed, is set out in the code of conduct, employment agreement and internet email policy. I find this hard to believe," she said.
She found that the company complied with all its obligations as a fair and reasonable employer in sacking Mr Hiha.