| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Christchurch |
| Reference No | [2012] NZERA Christchurch 76 |
| Hearing date | 18 Apr 2012 |
| Determination date | 24 April 2012 |
| Member | M B Loftus |
| Representation | G Lloyd ; L Penno |
| Location | Christchurch |
| Parties | NZ Amagamated Engineering, Printing & Manufacturing Union Inc v Clough Agriculture Ltd |
| Summary | DISPUTE – Interpretation of parties’ collective employment agreement (“CEA”) – Parties disputed KiwiSaver contributions respondent required to pay employees – Applicant claimed contributions should be at level stated in CEA – Respondent claimed contributions reduced by later amendments to relevant legislation – CEA clause stated contributions subject to relevant legislation and Inland Revenue Department (“IRD”) requirements – Applicant claimed respondent’s contribution would increase from two to four per cent over time – Respondent claimed relevant legislation new and likely to change therefore respondent contribution subject to current legislation – Authority found CEA clause stated employee KiwiSaver contribution would be matched by respondent and contribution would increase on specified dates – Parties agreed never discussed implications of contributions being subject to legislative amendments – Found clause did not state totally subject to amendments and unions such as applicant attempted to codify statutory entitlements so benefits would not be reduced by legislative amendments – Found effect of clause that respondent contribution should be administered in accordance with current legislative requirements and existing IRD rules - Found CEA had first been renewed without changes when amendments first introduced indicating parties intended to retain original contribution levels – Found respondent should have contributed 3 per cent towards employees’ KiwiSaver from specified date and 4 per cent towards employees’ KiwiSaver from specified date if employee had also increased their contribution accordingly - Question answered in favour of applicant |
| Result | Question answered in favour of applicant ; Costs reserved |
| Main Category | Dispute |
| Statutes | ERA s53;Holidays Act 2003;KiwiSaver Act 2006;Taxation (KiwiSaver) Act 2007;Taxation (Urgent Measures and Annual Rates) Act 2008 |
| Cases Cited | Association of Staff in Tertiary Education Inc: A S T E Te Hau Takitini O Aotearoa v Hampton [2002] 1 ERNZ 491;Chief Executive Officer of the Department of Corrections v Corrections Association of New Zealand Inc [2005] ERNZ 984;New Zealand Educational Institute Te Riu Roa & Ors v Secretary for Education & Ors unreported, M B Loftus, 18 October 2001, WT 99/01;Secretary for Education v New Zealand Educational Institute Te Riu Roa [2002] 2 ERNZ 470 |
| Number of Pages | 8 |
| PDF File Link: | 2012_NZERA_Christchurch_76.pdf [pdf 42 KB] |