| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Christchurch |
| Reference No | [2015] NZERA Christchurch 113 |
| Hearing date | 25 Jun 2015 |
| Determination date | 06 August 2015 |
| Member | D Appleton |
| Representation | L Yukich ; C Patterson |
| Location | Christchurch |
| Parties | Walker v Vulcan Steel Ltd |
| Summary | UNJUSTIFIED DISADVANTAGE – Applicant claimed unjustifiably disadvantaged by respondent’s failure to pay bonus – BREACH OF CONTRACT – Applicant claimed respondent breached settlement agreement (“SA”) by failing to pay bonus |
| Abstract | AUTHORITY FOUND –UNJUSTIFIED DISADVANTAGE: Respondent’s bonus payments discretionary, but must be determined in good faith. Applicant entitled to be judged on same bonus criteria as other staff. Respondent failed to warn applicant that attendance and attitude problems would be taken into account when deciding bonus. Applicant unfairly treated as no opportunity given to applicant to improve. Unjustified disadvantage. REMEDIES: $6,000 compensation appropriate. Interest payable.BREACH OF CONTRACT: Undertaking in SA not to disadvantage applicant only referred to final written warnings issued for refusal to undergo random drug test. Not relevant to disadvantages generally. No breach of contract. |
| Result | Application granted (unjustified disadvantage) ; Compensation for humiliation etc ($3,000) ; Compensation for loss of benefit ($3,000) ; Interest (5%) ; Application dismissed (breach of contract) ; Costs reserved |
| Main Category | Personal Grievance |
| Statutes | ERA s4;ERA s4(1A)(b);ERA s103A;ERA s103A(3)(b);ERA s124;ERA Second Schedule cl11;Judicature Act 1908 s87;Judicature Act 1908 s87(3);Judicature (Prescribed Rate of Interest) Order 2011 cl4 |
| Cases Cited | Walker v Vulcan Steel Ltd [2014] NZERA Christchurch 160;Walker v Vulcan Steel Ltd [2014] NZERA Christchurch 200 ; Walker v Vulcan Steel Ltd [2015] NZEmpC 49 |
| Number of Pages | 19 |
| PDF File Link: | 2015_NZERA_Christchurch_113.pdf [pdf 289 KB] |