Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No AA 305/08
Hearing date 5 Aug 2008
Determination date 25 August 2008
Member V Campbell
Representation R Kinzett (in person) ; P Sherson
Location Tauranga
Parties Kinzett v The Vault Axs (MT) Ltd
Summary UNJUSTIFIED DISMISSAL - Redundancy - Applicant claimed reason for redundancy that lodged application for arrears of wages in Authority - Respondent’s director (“P”) denied dismissal unjustified - P also director and shareholder of another company (“S”) - When S put into liquidation P decided to work in store applicant worked in so no longer required services of one of two employees employed there - Applicant made redundant - Authority satisfied restructuring for genuine commercial reasons as direct result of S being put into liquidation and P’s need to reduce overheads in other stores - Found fell squarely within employer’s right to make business more efficient - Authority satisfied more likely than not timing of redundancy and applicant’s wages claim purely coincidental - Authority found applicant not aware of possible redundancy until told made redundant - Authority found fair and reasonable employer would have alerted applicant to need for restructuring and possible impact on job earlier than did, and sought applicant’s input into employee selection decision - Failure to consult made dismissal unjustified - Remedies - No contributory conduct - Applicant not entitled to reimbursement of lost wages as redundancy genuine - Applicant entitled to compensation for respondent’s failure to consult over restructuring and redundancy - Award of $3,000 compensation appropriate in all circumstances - COSTS - Applicant entitled to reimbursement of filing fee - Sales Assistant
Result Application granted ; Compensation for humiliation etc ($3,000) ; Disbursements in favour of applicant ($70)(Filing fee)
Main Category Personal Grievance
Statutes ERA s4;ERA s103A;ERA s124
Cases Cited Communication & Energy Workers Union Inc v Telecom NZ Ltd [1993] 2 ERNZ 429;GN Hale & Sons Ltd v Wellington, Taranaki and Nelson Caretakers etc IUOW [1991] 1 NZLR 151;New Zealand Fasteners Stainless Ltd v Thwaites [2000] 1 ERNZ 739;Savage v Unlimited Architecture Ltd [1999] 2 ERNZ 40;Simpson Farms v Aberhart [2006] 1 ERNZ 825;Wellington International Airport Ltd v Air New Zealand [1993] 1 NZLR 671
Number of Pages 7
PDF File Link: aa 305_08.pdf [pdf 28 KB]