| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | AA 4/00 |
| Determination date | 19 December 2000 |
| Member | D King |
| Representation | J Burley ; D Organ |
| Location | Auckland |
| Parties | Keating v New Zealand Blood Stock Ltd |
| Summary | INTERIM REINSTATEMENT - Unjustified dismissal - Serious misconduct - Alleged breaches of confidentiality - Evidence of failure to consult and predetermination - Whether information put to applicant - Credibility - Undertaking as to damages - Overall justice favoured applicant - Obliged to consider reinstatement as interim remedy - Garden leave appropriate - Super Bonus Series Co-ordinator |
| Abstract | This was a successful application for interim reinstatement.;The applicant was employed by the respondent as Super Bonus Series Co-ordinator. She was advised that the respondent's Marketing Manager and Financial Controller wished to talk to her but no details were given as to the purpose or content of the meeting. At the meeting the applicant was informed that allegations had been made by another staff member that she had disclosed confidential information about the company to a personal acquaintance. It was agreed between the parties that at the meeting the applicant acknowledged that she had provided some information, which she said was not significant, to that acquaintance. The respondent stated that at the meeting, the applicant admitted all the allegations of breaches of confidentiality.;The applicant and her solicitor attended a further meeting at which she denied the majority of the allegations. The chairman of directors of the respondent (who was not present at either meeting) carried out further investigations, the information from which was not put to the applicant, and subsequently determined the applicant's employment should be terminated for serious misconduct.;HELD: (1) The object of the Employment Relations Act 2000 was to build productive employment relationships...". The building of productive employment relationships was facilitated in appropriate circumstances by the granting of interim reinstatement injunctions rather then by continuing the rupture of the employment relationship. The change in the legislation required the Authority to accommodate reinstatement as an interim remedy wherever possible, having due regard to the established law.;(2) The facts themselves were clearly in dispute and that dispute itself would be an element showing the existence of an arguable case. The applicant had established that she had an arguable case. The applicant had sought reinstatement and given an undertaking as to damages. She had expressed a strong desire to remain in the industry. Given the applicant's circumstances damages would not provide an adequate remedy.;(3) Garden leave would both allay the respondent's fears about any disruption the applicant's reinstatement might have as well other possible breaches of confidentiality. It would also put the applicant in a position where she was not deprived of the necessary income. The undertaking as to damages given by the applicant was an important factor for the purposes of the balance of convenience as was the prior conduct of the parties.;(4) The overall justice of the case favoured the applicant. The effect on the applicant of not granting the injunction was more detrimental and greater than it was on the respondent if the injunction was granted, particularly if the injunction was granted in terms of garden leave." |
| Result | Application granted ; Interim reinstatement ordered ; Costs reserved |
| Main Category | Personal Grievance |
| Statutes | ERA s123(a);ERA s123(b);ERA s127;ERA s127(4) |
| Cases Cited | Baker v Armourguard Security Ltd [1998] 1 ERNZ 424;Howe v The Internet Group Ltd (IHUG) [1999] 1 ERNZ 879;Orme v Eagle Technology Group Ltd unreported, Goddard CJ, 15 June 1995, WEC 40/95;X v Y Ltd and New Zealand Stock Exchange [1992] 1 ERNZ 863 |
| Number of Pages | 7 |
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