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Tasmanian Industrial Commission

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T3171

 

TASMANIAN INDUSTRIAL COMMISSION

Industrial Relations Act 1984
s.29 application for hearing in respect of an industrial dispute

The Federated Miscellaneous Workers Union of Australia,
Tasmanian Branch

(T.3171 of 1991)

and

The Minister Administering the State Service Act 1984

 

COMMISSIONER R K GOZZI

HOBART 21 October 1991

Alleged failure to comply with settlement in T.1864

REASONS FOR DECISION

In matter T.1864 of 1989 the Commission determined that Mr McGrath should be reinstated in his employment as a cleaner with the Department of Education and the Arts (the Department). The reinstatement made operative from 16 June 1989 involved a significant amount of retrospective payment. As it transpired the payment was not made by the Department prior to the end of the 1988/89 financial year. As a consequence Mr McGrath's taxable income was significantly higher for the financial year 1989/90, as it was in September 1989 that outstanding wages were finally paid to Mr McGrath.

The result of the delay in payment was to increase his taxable income for the period 1989/90 which adversely impacted on the Family Allowance Supplement paid to Mrs McGrath. Therefore the McGrath family was disadvantaged because their combined income was reduced. Mr McGrath raised this with the Department of Social Security which after due process including an appeal, declined to make restitution of the income foregone.

Against this background The Federated Miscellaneous Workers Union of Australia, Tasmanian Branch (FMWU) made application seeking the assistance of the Commission to determine that the Department had not complied with the direction of the Commission that Mr McGrath be reinstated without loss of income. In essence Mr O'Brien submitted that had the Department expeditiously made the payment of wages to Mr McGrath following his reinstatement, then the family unit would not have been disadvantaged.

I concur with that view. Accordingly I confirm my recommendation that an amount equivalent to Family Allowance Supplement forfeited be paid to Mr McGrath. I understand that an amount not in excess of $1200 is involved. In the event that the parties require the further assistance of the Commission this file will remain open for a further period of 10 days from the date of this decision.

 

R K Gozzi
COMMISSIONER

Appearances:
Mr K O'Brien for The Federated Miscellaneous Workers Union of Australia, Tasmanian Branch
Mr A Direen for the Minister Administering the State Service Act 1994

Date and Place of Hearing:
1991
Hobart
October 11