Restrictions OK
Jurisdiction Employment Relations Authority - Wellington
Reference No WA 133/06
Hearing date 21 Sep 2006
Determination date 10 October 2006
Member D Asher
Representation M Williams ; E Brown
Location Napier
Parties Langman v Ludowici Packaging Ltd
Summary UNJUSTIFIED DISMISSAL - Redundancy - Whether redundancy genuine - Applicant believed dismissal predetermined because of conspiracy and incompatibility - At investigation meeting accepted no compelling evidence to support allegation - Position terminated for financial reasons - Applicant instructed advocate to pursue exit package - Position severely limited outcome - Dismissal justified - However, absence of fair process meant applicant unjustifiably disadvantaged - UNJUSTIFIED DISADVANTAGE - Process employed by respondent unnecessarily hurried, applicant dismissed one week after informed of restructuring proposal - Respondent declined to accept applicant's proposed exit package - Overall tenor of communication and absence of invitation to respond meant respondent's reply not counter offer but notice of termination - Departure date suggested by advocate - Applicant distress at date caused by advocate, not respondent - Respondent departure date chosen to enhance applicant's re-employment opportunities - Reasonable for applicant to have input into this - Fair and reasonable employer would have expressly advised applicant exit package not acceptable and, in absence of alternate proposal, intended making position redundant - Also would have advised whether applicant's proposal to attend mediation acceptable, and if not, why - Failure especially significant because employment agreement provided any party could seek mediation assistance - Unjustified disadvantage - Remedies - Much of evidence in support of compensation claim based on belief of conspiracy - Entitled to compensation for respondent's failure to meet contracted obligation to undertake mediation and unfair haste of redundancy - Length of service nine months - Customer services supervisor
Result Application dismissed (Unjustified dismissal) ; Application granted (Unjustified disadvantage) ; Compensation for humiliation etc ($4,000) ; Costs reserved
Statutes ERA s4(1A);ERA s103A
Cases Cited Aoraki Corporation Ltd v McGavin [1998] 1 ERNZ 601; [1998] 3 NZLR 276 (CA)
Number of Pages 12
PDF File Link: wa 133_06.pdf [pdf 48 KB]