Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No [2014] NZERA Auckland 290
Hearing date 7 Jul 2014
Determination date 08 July 2014
Member R Arthur
Representation P Melgers (in person) ; H Gower (in person)
Parties Melgers v Gower
Other Parties 0
Summary ARREARS OF HOLIDAY PAY - Applicant sought arrears of holiday pay - Forfeiture clause - Respondent withheld holiday pay due to applicant's failure to give notice and failure to vacate accommodation provided by employment agreement
Abstract AUTHORITY FOUND -;ARREARS OF HOLIDAY PAY: Holiday pay treated as salary. Written consent provided by signed employment agreement but forfeiture clause not enforceable as penalty to compel performance rather than genuine estimate of loss. No actual evidence of loss. Applicant could not work full notice due to back injury. Rent issue not relevant to determining entitlement to holiday pay. Value of holiday pay could not be set off against rent arrears due for period outside employment relationship. Respondent to pay applicant $1,523 arrears of holiday pay. Interest payable.
Result Application granted; Arrears of holiday pay ($1,523.05); Interest (5%); Disbursements in favour of applicant ($71.56)(filing fee); No order for costs
Main Category Arrears
Statutes ERA s174;Holidays Act 2003 23;Holidays Act 2003 27;Holidays Act 2003 84;Holidays Act 2003 86;Wages protection Act 1983;Wages Protection Act 1983 s4;Wages Protection Act 1983 s5
Cases Cited Brown v North West Logging Ltd [2011] NZERA Auckland 285;D A & J A Ward Ltd v Wood unreported, 16 Feb 2009, J Crichton, CA16/09;Hixon v Ashwood Park Rest Home 2004 Ltd [2011] NZERA Christchurch 159;Kumar v Fliway Logistics Ltd [2012] NZERA Christchurch 69;Labour Inspector v Cornerstone Enterprises Ltd unreported, 22 Nov 2010, H Doyle, CA212/10;Livingston v G L Freeman Holdings Ltd [2013] NZERA Christchurch 90;Northern Hotel etc IUOW v Morris Catering Ltd [1988] NZILR 1009;Ozturk v Gultekin, (t/a Halikarnas Restaurant) [2004] 1 ERNZ 572;Pakinga v Coromandel Peninsular Couriers Ltd [2011] NZERA Auckland 58;Portia Developments Ltd v Taylor unreported, 9 Sept 1997, Travis J, AEC100/97;Robertson Turnball Ltd v Labour Inspector unreported, 8 May 2008, P Cheyne, CA61/08; Service Workers Union of Aotearoa v Thai Orchid Restaurant Ltd (t/a Berkleys Restaurant) unreported, Finnigan J, 16 Oct 1991, AEC26/91
Number of Pages 7
PDF File Link: 2014_NZERA_Auckland_290.pdf [pdf 317 KB]