| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | [2015] NZERA Auckland 349 |
| Determination date | 10 November 2015 |
| Member | TG Tetitaha |
| Representation | DR Wilson ; D Organ |
| Location | Auckland |
| Parties | Wilson v Modular Conveyors Ltd |
| Summary | ARREARS OF WAGES - Applicant sought arrears of wages - Deduction from wages - Employment agreement allowed deduction for employer KiwiSaver contributions - Respondent mistakenly failed to deduct KiwiSaver contributions from wages for thirteen months - Respondent subsequently deducted this amount from applicant’s wages- PENALTY - Applicant sought penalty for respondent’s unlawful deductions - Production fitter |
| Abstract | AUTHORITY FOUND -ARREARS OF WAGES: Employment agreement only allowed deduction for money owing at final pay. When applicant raised concerns about KiwiSaver payments respondent represented that KiwiSaver contributions would continue to be paid on top of wages. Respondent estopped as inequitable to allow respondent to enforce contractual right. Respondent to pay applicant $964 arrears of wages.PENALTY: Deductions made on basis of genuine dispute over enforceability of clause in employment agreement. Applicant vulnerable and impact severe. Little remorse shown by respondent. Deterrence necessary. $250 penalty appropriate. |
| Result | Applications granted ; Arrears of wages ($964.59) ; Penalty ($250)(payable to crown) ; No order for costs |
| Main Category | Arrears |
| Statutes | ERA s131 - ERA s135 - ERA s135(4) - ERA s136 - ERA s161(a) - ERA s161(r) - ERA s174D - Kiwi Saver Act 2006 s16 - Kiwi Saver Act 2006 s101B - Wages Protection Act 1983 s4 - Wages Protection Act 1983 s5 - Wages Protection Act 1983 s12 - Wages Protection Act 1983 s13 |
| Cases Cited | Amaltal Fishing Company Ltd v Morunga [2002] 1 ERNZ 692 (EmpC);Newick v Working In Ltd [2012] NZEmpC 156, [2012] ERNZ 510;Tan v Yang [2014] NZEmpC 65 |
| Number of Pages | 7 |
| PDF File Link: | 2015_NZERA_Auckland_349.pdf [pdf 270 KB] |