Restrictions OK
Jurisdiction Employment Relations Authority - Wellington
Reference No [2016] NZERA Wellington 112
Hearing date 19 & 20 Apr 2016 (2 days)
Determination date 13 September 2016
Member T MacKinnon
Representation G Lloyd ; G Cain, M Ward
Location Wellington
Parties E Tu Inc (formerly NZ Amalgamated Engineering and Manufacturing Union Inc) v The New Zealand Transport Agency
Summary DISPUTE – Parties disputed whether respondent properly applied mechanism for salary increases in collective agreement (“CEA”) – GOOD FAITH – Applicant claimed respondent breached good faith by failing genuinely to consider claim for negotiated wage increase and not properly engaging with remuneration forum
Abstract AUTHORITY FOUND –DISPUTE: No provision in CEA to guarantee employees automatic increase in remuneration following increase to midpoint of salary range. Respondent did not breach CEA by not awarding union members across board salary increase relative to movement in mid-point of salary bands. No requirement in CEA for respondent to award salary increases to union members who met or exceeded expectations. Questions answered in favour of respondent.GOOD FAITH: Respondent discussed claim for wage increase with applicant but unable to come to agreement. Failure to agree in bargaining not breach of good faith. Respondent did not act in bad faith regarding remuneration forum. No breach of good faith.
Result Application dismissed (good faith) ; Questions answered in favour of respondent ; Costs reserved
Main Category Dispute
Statutes ERA s4(1A)(b) ; ERA s32(1)(c) ; ERA s174C(3) ; ERA s174C(3) ; ERA s174E
Cases Cited New Zealand Air Line Pilots’ Association Inc v Air New Zealand Ltd [2014] NZEmpC 168, [2014] ERNZ 709
Number of Pages 15
PDF File Link: 2016_NZERA_Wellington_112.pdf [pdf 156 KB]