| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | AA 198/08 |
| Hearing date | 5 May 2008 - 9 May 2008 (2 days) |
| Determination date | 03 June 2008 |
| Member | Y S Oldfield |
| Representation | T Oldfield ; S Wilson, K Burson |
| Location | Auckland |
| Parties | Service and Food Workers Union Nga Ringa Tota Inc v Spotless Services (NZ) Ltd |
| Summary | GOOD FAITH - BARGAINING - After initiation of multi-employer bargaining but before bargaining process agreed, respondent increased wages for non-union staff - Applicant argued breached good faith - No evidence to suggest respondent opposed to participating in bargaining for MECA or had agenda to reduce number of employees covered by collective agreement - Valid reasons for offering non-members pay rise at that time - Evidence did not establish intent to induce employees not to be involved in collective bargaining - Threshold for unlawful preference not met - Preferential treatment of non-union employees not based solely on union status - Respondent argued unable to make offer to union members as would breach good faith obligations to other parties in bargaining process - Reasonable position to take given bargaining had been initiated and respondent had demonstrated willingness to progress bargaining - Respondent had genuine reasons for reviewing pay rates of majority of workforce and could not be expected to hold off doing so indefinitely - However, communications sent by respondent indicated automatic pay rise for those who opted not to join union and statements made to some staff left them with impression pay rises offered solely on basis of union membership - While risk bargaining and union would be undermined not high, it was not insignificant - Breach of good faith - Remedies - No penalty against respondent - Unreasonable to expect non-union members to wait for raise - Applicant shared responsibility for way employment relationship problem arose and in particular for slow progress of bargaining - Major contributor to employment relationship problem was the delay in addressing bargaining process agreement |
| Result | Application granted in part ; Costs reserved |
| Main Category | Bargaining |
| Statutes | ERA s4(6)(a);ERA s9(1)(b);ERA s32(1)(d)(iii);ERA s42 |
| Cases Cited | Association of University Staff v The Vice-Chancellor of the University of Auckland [2005] 1 ERNZ 224;Meat & Related Trades Workers Union of Aotearoa Incorporated v Taylor Preston Limited unreported, G Wood, 23 August 2007, WA 118/07;National Union of Public Employees (Inc) v Asure New Zealand Ltd and NZPSA [2004] 2 ERNZ 487;Service and Food Workers Union Nga Ringa Rota Inc v Air New Zealand Ltd unreported, A Dumbleton, 29 October 2007, AA 338/07 |
| Number of Pages | 22 |
| PDF File Link: | aa 198_08.pdf [pdf 73 KB] |