Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No AA 100/06
Hearing date 1 Nov 2005 - 2 Nov 2005 (2 days)
Determination date 03 April 2006
Member Y S Oldfield
Representation P Muir ; S Langton
Location Auckland
Parties Phillips v Primecare New Zealand Ltd
Summary UNJUSTIFIED DISMISSAL – Constructive dismissal – Applicant resigned - Alleged respondent’s Chief Executive (“CE”) and Managing Director (“MD”) put undue pressure on her to accept reduced terms and conditions after applicant was promoted to General Manager, undermined her, and bullied and harassed her – Evidence did not establish course of conduct with purpose of coercing resignation – Whether there was breach of duty such that resignation was foreseeable – Open to respondent to negotiate fresh terms and conditions when applicant promoted to new position – Applicant not disadvantaged by delay in finalising new terms as salary increased immediately – Authority did not accept was any wrongdoing on respondent’s part in relation to alleged undermining – Applicant not credible witness – Interaction of applicant and MD at Authority investigation meant Authority did not accept assertion that MD was bullying or aggressive towards applicant – CE blunt and forthright person but with one exception CE’s behaviour no more extreme than applicant’s – On balance CE had not bullied and harassed applicant – Actions complained of did not amount to breach of duty – No constructive dismissal – UNJUSTIFIED DISADVANTAGE – No unjustified action towards applicant in period leading up to resignation – After resignation MD accused applicant of trying to destroy her business and told applicant to “sit down and listen” after CE became abusive and angry towards applicant – Applicant entitled to give resignation without offering explanation – CE’s conduct unjustified and MD at fault for permitting it – Applicant distressed by CE’s conduct but situation did calm down and she left to reconsider resignation - Applicant disadvantaged but disadvantage not extensive – Determination only dealt with question of whether there was personal grievance – Parties directed to mediation to discuss remedies, claim for bonus, and costs – Leave reserved if matters not resolved in mediation – Length of service five years and five months – General Manager
Result Application dismissed (unjustified dismissal) ; Application granted (unjustified disadvantage) ; Parties directed to mediation ; Orders accordingly
Cases Cited Lewis v Motorworld Garages Ltd [1986] ICR 157
Number of Pages 13
PDF File Link: aa 100_06.pdf [pdf 76 KB]