Restrictions OK
Jurisdiction Employment Relations Authority - Auckland
Reference No [2011] NZERA Auckland 494
Hearing date 12 Sep 2011
Determination date 15 November 2011
Member R A Monaghan
Representation P Skelton ; J Canterbury
Location Auckland
Parties Collings v Howard TMG Ltd
Summary UNJUSTIFIED DISMISSAL – Redundancy – Applicant claimed unjustifiably dismissed by respondent – Respondent failed to obtain new dealerships – Respondent owner (“H”) unsuccessful in attempt to lease company premises – H claimed provided personal funds to respondent as would have been insolvent otherwise – Applicant believed budgeted revenues being met after attending management meetings – Respondent decided redundancies necessary after H stopped providing personal funds – Applicant attended meeting for unknown purpose and informed employment would end following day for redundancy – Applicant dismissed – Applicant discovered existing employee had been appointed to former position – Authority found employee’s position not so materially similar to applicant’s original position that employee appointed to applicant’s position – Found applicant’s redundancy imposed for genuine reasons based on respondent’s financial position – Found redundancy advised without prior discussion or consultation – Found unlikely acceptable arrangement could have been reached regarding conditions of applicant’s continued employment – Dismissal unjustified – REMEDIES – Applicant sought reimbursement of lost wages and loss of use of company vehicle – Found since losses flowed from genuine redundancy situation no order appropriate for reimbursement of lost wages or benefits that would have been obtained but for unjustified dismissal – $4,000 compensation appropriate – ARREARS OF COMMISSION – Applicant claimed owed commission payment – Respondent accepted payment owed – Found respondent had failed to make payment as at investigation meeting – Found applicant entitled to $1,000 arrears of commission – Interest payable – Group After Sales Manager
Result Applications granted ; Compensation for humiliation etc ($4,000) ; Arrears of commission ($1,000) ; Interest (5%) ; Costs reserved
Main Category Personal Grievance
Statutes ERA s4(1A);ERA s103A
Cases Cited Simpsons Farms Ltd v Aberhart [2006] ERNZ 825
Number of Pages 8
PDF File Link: 2011_NZERA_Auckland_494.pdf [pdf 35 KB]