| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | AA 128/06 |
| Hearing date | 24 Jan 2006 |
| Determination date | 13 April 2006 |
| Member | K J Anderson |
| Representation | B Nabney ; M Sharp |
| Location | Auckland |
| Parties | Derecourt v Owens Cargo Company Ltd |
| Summary | DISPUTE – Interpretation and application of individual employment agreement - Whether redundancy compensation correctly calculated – Applicant re-employed by respondent after 15 month break – Employment agreement included previous 10 years employment with respondent as “accrued service” for purpose of leave and other entitlements – Subsequent agreement contained no length of service clause – Applicant took voluntary redundancy – Employment agreement required redundancy compensation to be paid in accordance with company policy – Compensation calculated based on post-break service only – Applicant disputed calculation but received payment as calculated by respondent – Having recognised previous employment as accrued service in initial contract, company bound to continue to do so in absence of agreement to contrary – Applicant clearly communicated non-acceptance of respondent’s calculations before and after termination of employment – Receipt of payment did not waive applicant’s rights to dispute respondent’s interpretation – Applicant entitled to have total accrued service including pre-break employment taken into account for calculation of redundancy compensation |
| Result | Dispute determined in favour of applicant ; Redundancy compensation ($9,711.50 gross) ; Interest (7%) ; Costs reserved |
| Statutes | ECA s19 |
| Number of Pages | 5 |
| PDF File Link: | aa 128_06.pdf [pdf 27 KB] |