Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No [2012] NZERA Auckland 192
Hearing date 15 Feb 2012
Determination date 05 June 2012
Member D King
Representation M Treen ; S Langton
Location Auckland
Parties Unite Union Inc v First Security Guard Services Ltd
Summary GOOD FAITH – BARGAINING – Applicant claimed respondent passed on terms of collective employment agreement (“CEA”) to non-union employees – Authority found compensation offered to non-union employees not substantially similar to back pay in CEA – Found CEA not undermined – Found no intention to undermine CEA – No breach of good faith
Abstract Applicant claimed respondent passed on terms of collective employment agreement (“CEA”) to non-union employees. CEA contained back-dated pay increase for union employees. Respondent agreed terms of CEA not to be automatically passed on to non-union employees but respondent signalled intention to make comparable pay offer to non-union employees. Respondent made offer of same pay increase to non-union employees along with compensation for lateness of offer. Compensation payment greater than sum many union employees received as back pay under CEA. Applicant claimed compensation payment substantially similar to back pay.;AUTHORITY FOUND –;GOOD FAITH – BARGAINING: Compensation payment to non-union employees not substantially similar to back pay to union employees. Respondent bargained with non-union employees about terms of individual employment agreements. Respondent consulted applicant and clearly signalled intention to make comparable pay offer to non-union employees. Any reduction in membership of applicant caused by offer to non-union employees minimal. CEA not undermined. No intention to undermine CEA. No breach of good faith.
Result Application dismissed; Costs reserved
Main Category Good Faith
Statutes ERA s4;ERA s9(1)(b);ERA s59B;ERA s59B(1);ERA s59B(2);ERA s59B(6)
Cases Cited National Distribution Union Inc v General Distributors Ltd [2007] ERNZ 120
Number of Pages 7
PDF File Link: 2012_NZERA_Auckland_192.pdf [pdf 32 KB]