Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No AA 313/09
Hearing date 17 Jul 2009
Determination date 01 September 2009
Member R A Monaghan
Representation B Davies (Applicant in person) ; P Rinke-Mailman
Location Auckland
Parties Davies v Rinke Design Ltd
Summary UNJUSTIFIED DISMISSAL – Redundancy – Applicant argued redundancy imposed to avoid obligation to pay commission – Authority found respondent did not seek to deprive applicant access to commissions – Applicant argued respondent’s financial position not precarious – Found fact company continued to trade not evidence of state of financial health – Parties had series of discussions about respondent’s failure to pay wages and applicant’s performance and presentation in showroom – Applicant subsequently advised of redundancy by email with no discussion or consultation – Found redundancy imposed for genuine reasons – Found respondent did not deal with applicant’s redundancy in good faith – Dismissal unjustified – REMEDIES – Applicant claimed reimbursement of three months’ remuneration and loss of commission payments – Found redundancy imposed for genuine reasons and would have been imposed even if respondent complied with Employment Relations Act 2000 – No award of lost remuneration – Applicant not entitled to commissions sought – Applicant entitled to compensation for injured feelings resulting from failure to provide information or opportunity to comment about redundancy – $4,000 compensation appropriate – PENALTY – Applicant sought penalty for lack of genuineness of redundancy – No order for penalty – Sales manager
Result Application granted (unjustified dismissal) ; Compensation for humiliation etc ($4,000) ; Application dismissed (penalty) ; Costs reserved
Main Category Personal Grievance
Statutes ERA s4(1A);ERA s103A;ERA s135
Cases Cited Simpsons Farms Limited v Aberhart [2006] ERNZ 825
Number of Pages 9
PDF File Link: aa 313_09.pdf [pdf 31 KB]