Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No AA 146/04
Hearing date 11 Dec 2003 - 2 Mar 2004 (2 days)
Determination date 27 April 2004
Member K Raureti
Representation D Law ; H Fulton
Location Auckland
Parties Funnell v Bruce A. Short Ltd
Summary UNJUSTIFIED DISMISSAL - Redundancy - Whether applicant employee - Respondent allowed applicant to use yard for private business after applicant's business went into liquidation - Also performed various functions and activities associated with respondent - Factors for and against applicant being employee weighed up - Respondent alleged was helping applicant but had not employed him - Applicant not initially paid but received some money for various expenses - Payments later became regular - Respondent decided to restructure business - Respondent prepared script to dismiss applicant - Applicant grabbed script and termination letter plus cheque for $7,200 for redundancy payment - Applicant banked cheque - Respondent alleged cheque in full and final settlement of matters - Payment not in full settlement of matters since applicant did not sign acceptance - Applicant not entitled to money - When relationship began applicant in business on own account - Became employee from certain date and was employee at termination of employment - Redundancy genuine but procedurally unfair - Unjustified action to employees disadvantage - Remedies - Entitled to 4 weeks notice plus compensation of $5,000 - Amount to be offset against $7,200 owed by applicant - ARREARS OF WAGES - Failed to prove claim for arrears - Manager
Result Application granted ; Respondent to pay applicant $200 to resolve employment relationship problem ($5,000 compensation, plus $2,400 reimbursement of lost wages, less $7,200) ; Costs reserved
Statutes ERA s6;ERA s6(2);ERA s6(3)
Cases Cited Aoraki Corporation Ltd v McGavin [1998] 1 ERNZ 601;Christchurch City Council v Davidson [1996] 2 ERNZ 1;Coutts Cars Ltd v Baguley [2001] ERNZ 660;Cunningham v TNT Express Worldwide (NZ) Ltd [1993] 1 ERNZ 695 (CA);Koia v Carlyon Holdings Ltd [2001] ERNZ 585;Lee Ting Sang v Chung Chi-Keung [1990] 2 AC 374 (PC);New Zealand Fasteners Stainless Ltd v Thwaites [2000] 1 ERNZ 739
Number of Pages 14
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