| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | AA 279/07 |
| Hearing date | 21 Aug 2007 |
| Determination date | 10 September 2007 |
| Member | R Arthur |
| Representation | J Schlooz ; C Bennett |
| Location | Auckland |
| Parties | Andrews v Men at Work Building Solutions Ltd |
| Summary | UNJUSTIFIED DISMISSAL - UNJUSTIFIED DISADVANTAGE - Redundancy - Applicant claimed redundancy not genuine, not properly consulted, and not offered part-time replacement position - Undisputed that new technology greatly reduced applicant’s administrative work - Company directors consulted applicant and sought suggestions about restructuring - Applicant offered none - Authority found applicant declined offer of alternative part-time position - Applicant given one month’s paid notice, one month’s additional pay and offered outplacement counselling and reference - Overlap in some tasks with new position - Authority found replacement part-time position not sufficiently similar so as to cast doubt on genuineness of redundancy - Applicant’s position surplus to respondent’s requirements - Respondent entitled to make redundancy as matter of business judgement - Redundancy genuine - Conflicting evidence over whether second meeting with applicant about restructuring held - Respondent’s inability to show evidence of second meeting meant unable to show applicant had time to consider and comment before final decision made - Obligation of consultation and justification for redundancy lies with employer, not worker - Consultation obligation not met - Arrangements for paid notice and termination of employment not clearly communicated to applicant - Lack of clear communication resulted in applicant turning up for work and then being asked to leave - Applicant embarrassed and upset - Remedies - No reimbursement of lost wages as redundancy genuine - Compensation for hurt and humiliation limited to failure to fully consult applicant and clearly advise about termination arrangements - Office Administrator |
| Result | Application granted ; Compensation for humiliation etc ($1,500) ; Costs reserved |
| Main Category | Personal Grievance |
| Statutes | ERA s4(4)(c);ERA s4(4)(d);ERA s4(4)(e);ERA s103A |
| Cases Cited | Aoraki Corporation Limited v McGavin [1998] 1 ERNZ 601 (CA);GNH Hale & Sons Ltd v Wellington Caretakers and Cleaners Union [1990] 2 NZILR 1079;Simpsons Farms Ltd v Aberhart [2006] 1 ERNZ 825 |
| Number of Pages | 9 |
| PDF File Link: | aa 279_07.pdf [pdf 33 KB] |