The Employment Relations Authority has found that an
employee was constructively dismissed after he resigned following receiving
notice of a proposed redundancy.
The employee had raised a complaint with his employer of
bullying and threatening behaviour by the employer. The same day the employer responded with a
proposed redundancy. The ERA found that
the proposed redundancy was not genuine and was entered into for an improper
reason. As a result the resignation of
the employee was a constructive dismissal.
The employee was awarded $3,690 lost wages plus $9,000 for
hurt and humiliation.
In addition the employer was fined $2,000 for its breach
of the Employment Agreement by the improper redundancy process.
The employer was also criticised for failing to agree to
attend mediation to attempt resolution of the matter. Attending mediation was included as a term of
the Employment Agreement and the employer was therefore obliged to attempt
resolution at mediation.
The employer was also criticised for refusing to attend
mediation because the employee got the legal name of the employer incorrect in
his request for mediation. The ERA said
the employer should not have taken that point, but should have corrected the
employee as to the legal name of employer and agreed to attend mediation.
Alan
Knowsley
Employment
Lawyer Wellington
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