Restrictions OK
Jurisdiction Employment Relations Authority - Wellington
Reference No [2011] NZERA Wellington 74
Hearing date 27 Apr 2011
Determination date 06 May 2011
Member D Asher
Representation J Waugh ; P McBride
Location Whanganui
Parties Hawtree v Spotless Services (NZ) Ltd
Summary UNJUSTIFIED DISADVANTAGE – Applicant claimed unjustifiably disadvantaged by respondent by failing to pay retirement gratuity – Applicant paid gratuity by previous employer in recognition would no longer have future access to retirement gratuity – Employment since transferred to respondent – Respondent confirmed retirement gratuity owing in letter to applicant upon retirement – No gratuity payment made to applicant – Applicant sought payment of retirement gratuity as calculated on worksheet plus interest – Respondent claimed discussions about retirement gratuity conditional on entitlement – Applicant claimed would not have retired if not promised retirement gratuity – Authority found communication between parties showed agreement to retirement gratuity – Found no agreement as to amount or what formula applied – Found worksheet showed period of calculation covered period already paid out by previous employer – Found worksheet calculation clearly not accurate and would not have been relied on by parties – Found no contractual entitlement to retirement gratuity – Found applicant retired because of respondent’s undertaking to pay retirement gratuity – Found respondent did not admit mistake made – Found applicant unjustifiably denied opportunity to decide whether would retire or not without retirement gratuity – Found respondent breached obligations of good, responsive and communicative employer – Found incumbent on respondent to communicate change of stance to applicant before allowing retirement because of mistaken expectation – Unjustified disadvantage – REMEDIES – No contributory conduct – Found no entitlement to retirement gratuity – $3,000 compensation appropriate – Food Services Supervisor
Result Application granted ; Compensation for humiliation etc ($3,000) ; Costs reserved
Main Category Personal Grievance
Statutes ERA s4
Number of Pages 7
PDF File Link: 2011_NZERA_Wellington_74.pdf [pdf 21 KB]