An employee working as a chief was
suspended while on sick leave after performance concerns, and allegations that
the employee was recruiting staff members to work in a new café that she was
setting up. The employee was later dismissed for her poor performance and
attitude after her employer accepted that there was no café and that the story
had been made up.
The Employment Relations Authority
upheld the employee’s personal grievance claim for unjustified disadvantage and
unjustified dismissal.
The ERA held that the employee suffered
unjustified disadvantage in her employment as the employer failed to follow the
suspension processes set out in the employee’s employment agreement. The employee
was not consulted about the proposed suspension and had no opportunity to comment
on the proposal.
The ERA held that a fair and reasonable
employer could not in the circumstances have justifiably dismissed the employee
as the employer did not follow the clear dismissal clauses set out in the employee’s
employment agreement. The employer’s concerns regarding the employee’s
performance were not explained to the employee at the disciplinary meeting, and
she was thus unaware of the reasons for her dismissal.
The ERA ordered the employer to pay the
employee $9,360 for lost wages plus $19,500 compensation for humiliation, loss of dignity, and injury
to feelings.
Alan Knowsley
Employment Lawyer Wellington
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