The Employment Relations Authority has refused an
employer’s request to pay the $12,500 damages awarded for unjustified dismissal
by $500 monthly payments. This would
have taken over two years to pay off the award.
The company provided some bank statements, which showed
income and outgoings, but no financial accounts to show its assets and
liabilities. It also failed to explain
to the Employment Relations Authority what the payments shown in the bank
statements were, as it was suggested that some of the payments, listed as
payroll, were actually to the owners of the business.
The ERA explained that the onus was on the company to
prove that it cannot pay the award all at once and that by failing to provide
information and explain its financial affairs it had failed to do so. Its application was therefore rejected.
Alan
Knowsley
Employment
Lawyer Wellington
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