| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | AA 77/09 |
| Hearing date | 9 Mar 2009 |
| Determination date | 10 March 2009 |
| Member | J Wilson |
| Representation | L Yukich ; R McIlraith, G Service |
| Location | Auckland |
| Parties | Eastern Bay Independent Industrial Workers Union & Anor v ABB Ltd & Ors |
| Other Parties | Immo Beijerling ; G Gillard, Wu Khoo |
| Summary | COMPLIANCE ORDER – Applicants sought compliance with collective employment agreement (“CEA”) – Applicants claimed first respondent (“ABB”) breached CEA by failing to enter into redundancy consultations with applicant – CEA provided where need for redundancies or restructuring of labour identified, employer would enter into discussions with employees - Applicants employed by ABB to provide services to Carter Holt Harvey (“CHH”) – ABB advised without warning contract with CHH to be terminated next month – ABB advised applicants CHH terminated contract and CHH would transfer contract to Transfield Services Pulp and Paper Ltd (“TSNZ”) – TSNZ offered applicants positions of “same or similar capacity” as current position – Authority found no breach of CEA based on current untested evidence – Further investigation needed to decide claim – Authority noted even if breach of CEA found, exercise of discretion would not be in applicants’ favour – CHH terminated contract with ABB therefore compliance order would have no effect - No prejudice suffered by applicants because similar positions offered – Applicants free to pursue personal grievance of unjustified dismissal against ABB and challenge legality of TSNZ’s offer – Found overall justice favoured respondent – No evidence at this point to suggest breach of good faith by ABB – Found compliance order would require ABB to undertake fruitless consultation at great cost – Found compliance order would not provide further benefit to applicants – Compliance order declined |
| Result | Application dismissed ; Costs reserved |
| Main Category | Compliance Order |
| Statutes | ERA s4;ERA s137 |
| Cases Cited | NZ Electrical etc IUOW v Remtron Lighting Ltd (in receivership) and ors [1990] 1 NZILR 583;The New Zealand Amalgamated Engineering Printing & Manufacturing Union Inc & Ors v Carter Holt Harvey, unreported, Colgan J, 30 Aug 2002, AC 53/02;United Food Workers v Talley [1992] 1 ERNZ 756 |
| Number of Pages | 11 |
| PDF File Link: | aa 77_09.pdf [pdf 43 KB] |