| Restrictions | OK |
|---|---|
| Jurisdiction | Employment Relations Authority - Auckland |
| Reference No | AA 121/09 |
| Hearing date | 21 Jan 2009 |
| Determination date | 16 April 2009 |
| Member | Y S Oldfield |
| Representation | H White ; S Beard |
| Location | Auckland |
| Parties | NZ Dairy Workers Union v Fonterra Co-Operative Group Ltd |
| Summary | DISPUTE – Dispute over interpretation of collective employment agreement (“CEA”) – Applicant union sought declaration determining duration of respondent’s obligation to deduct bargaining fee from non-members – First CEA provided non-union members would pay union bargaining fee deducted from earnings – Whenever new CEA concluded, date of force of new CEA backdated to day after first CEA expired – Non-members who wished to opt-out had to notify respondent in writing – Non-members who did not opt-out benefited from union’s bargaining efforts therefore paid fee in consideration of services union provided - Applicant initiated bargaining for new CEA one month before expiry of first CEA – Respondent ceased fee deductions on date first CEA expired – New CEA concluded two months after date of expiry - Applicant claimed respondent’s obligation to deduct bargaining fee from non-members continued until ratification of new CEA – Respondent claimed obligation ceased when CEA expired – Deduction after date of expiry violated Wages Protection Act 1983 and would allow applicant to benefit from failing to conclude new CEA - Authority found bargaining fee a fee for services provided by union - Non-members who do not opt-out benefited from union’s services but did not receive full benefits of union membership – Therefore once new CEA concluded, non-members who did not opt-out required to pay further bargaining fee as set out under new CEA – Fee calculated from day new CEA came into force – Sections 53 and 69R Employment Relations Act 2000 did not change total amount to be paid – Diary Workers |
| Result | Dispute determined in favour of applicants ; Costs reserved |
| Main Category | Dispute |
| Statutes | ERA s52;ERA s53;ERA s53(1);ERA s69;ERA s69Q;ERA s69R;ERA s69S;ERA s69T;ERA s69V;Employment Relations Amendment Act 2004;Wages Protection Act 1983 |
| Number of Pages | 11 |
| PDF File Link: | aa 121_09.pdf [pdf 37 KB] |