Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No AA 323/06
Determination date 20 October 2006
Member R A Monaghan
Representation J Watson ; K Stretton
Location Auckland
Parties Watson v Fibre Logistics Ltd
Summary ARREARS OF WAGES AND HOLIDAY PAY - Applicant sought wages and holiday pay due on termination - Dismissed after charged with offences involving misappropriation of funds from employee social club - Dismissal letter stated wage entitlements frozen" pending outcome of misappropriation issue - Respondent claimed awaited outcome of trial in District Court - Respondent failed to meet timetable set by Authority for providing confirmation whether amounts in dispute, but subsequently advised amounts due - Authority set further timetable to allow respondent to address remaining claims - In light of delaying tactics to date, Authority warned would issue determination without hearing further from respondent - Nothing further heard from respondent after contacted by Authority - Unacceptable - Proceedings determined without hearing further from respondent - No appearance for respondent - Wages and holiday pay due and owing - Interest 7.7 percent - PENALTY - Respondent failed to comply with Wages Protection Act 1983 by not paying wages - Failure also breached employment agreement - Liable to penalty under s134 Employment Relations Act 2000 ("ERA") - Deliberately withheld wages and flouted law - Given at least two of breaches based on same conduct not appropriate to order penalties in respect of each breach - Rather, conduct treated as single breach - Deliberate nature of breach, aggravated by subsequent delaying tactics, meant more than nominal penalty called for - Authority not addressed on issue whether respondent in breach of good faith obligations or whether penalty should be awarded under s4A ERA - Possibility of breach merely noted - If applicant guilty of charges would be called to account in appropriate place - COSTS - Length of investigation meeting not specified - Some, but not all, of applicant's modest legal fees bore directly on Authority proceedings - Entitled to contribution to costs of $50 plus filing fee"
Result Arrears of wages ($2,115.38) ; Arrears of holiday pay ($3,077.89) ; Interest (7.7 %) ; Penalty ($3,000)(Payable to Crown) ; Costs in favour of applicant ($50) ; Disbursements ($70)(Filing fee)
Statutes ERA s4;ERA s4A;ERA s134;Holidays Act 2003;Wages Protection Act 1983 s4;Wages Protection Act 1983 s13
Number of Pages 3
PDF File Link: aa 323_06.pdf [pdf 23 KB]