T10393, T10413 and T10426
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TASMANIAN INDUSTRIAL COMMISSION Industrial Relations Act 1984 James Harold Cassidy and ACN 090 721 190 under liquidation formerly known as Q's Couriers Pty Limited
Industrial dispute - severance pay in respect of termination of employment as a result of redundancy - breach of award - order issued in respect of severance payment REASONS FOR DECISION [1] On various dates in September 2002 James Harold Cassidy, Shane Anthony Burns and Maxwell John Rowell (the applicants), applied to the President, pursuant to s.29(1A) of the Industrial Relations Act 1984, for a hearing before a Commissioner in respect of an industrial dispute with ACN 090 721 190 under liquidation formerly known as Q's Couriers Pty Limited (the respondent) arising out of severance pay in respect of termination of employment as a result of redundancy and the alleged breach of an award. [2] The matters were heard together at the Workers' Compensation and Rehabilitation Rooms, Cnr St Johns and Brisbane Streets, Launceston, Tasmanian on Monday 28 October 2002. The applicants sought, and were granted, leave to amend their applications to accurately reflect the name of the respondent. [3] The applicants represented themselves and Mr Forbes Ireland appeared for the entity ACN No 090 721 190 under liquidation formerly known as Q's Couriers Pty Limited. [4] That aspect of Mr Burn's application alleging breach of award was adjourned sine die and does not form part of this decision. That aspect of his claim remains open until such time as the Commission is informed otherwise. Mr Cassidy and Mr Rowell also said that they were pursuing underpayment claims. It was agreed that there would be private discussions, and, if not successful, then it was open to the applicants to bring these matters before the Commission. [5] The background to these disputes is that the company, Q's Couriers Pty Ltd, was put in the hands of the administrator, Paul Cook and Associates and shortly thereafter the creditors resolved to liquidate the company, which ceased trading on 31 May 2002. The applicants' employment was terminated on that date. [6] Section 29(1A) of the Act enables applications to be made to the Commission by former employees for a hearing in respect of an industrial dispute relating to severance pay in respect of former employees terminated as a result of redundancy. The applicants were bound by the terms and conditions of awards of the Tasmanian Industrial Commission. [7] Section 29(1B) of the Act says:
[8] All of the applicants lodged their applications with the Commission after the expiration of 21 days from the date of their termination, and sought an extension of time. [9] The applicants all received letters from the administrators, Paul Cook and Associates, stating that they would continue to receive applications in respect of severance payments until 18 September 2002. All of the applications were received by the Commission before that date. Mr Ireland stated that he had no objection to the granting of an extension of time. I noted for the record that the reason the Commission had granted extensions of time in similar circumstances in relation to the same employer was because there had been considerable confusion surrounding what it was the employees were required to do in order to make a claim for redundancy and some people may have been led to believe that they had up to a year in which to make application to the Commission, rather than just 21 days. I hereby formally record in writing that the extension of time to the date of the hearing is granted in respect of these applications. [10] The applicants said that they were seeking redundancy payments of two weeks' pay for each year of service. I find that the applicants were terminated as the result of redundancy and I confirm in writing my decision, delivered on the day, that employees should receive severance pay based upon two weeks' average pay for each year of service of part thereof. ORDER I hereby order, pursuant to s.31 of the Industrial Relations Act 1984, that the respondent, A.C.N. 090 721 190 (in liquidation) formerly Q's Couriers Pty Ltd, pay to each of the former employees whose names appear below the amounts specified below, in full and final settlement of the industrial disputes referred to in T10393, T10413, and T10426 which refer to severance pay, such payment to be made no later than 5.00 pm 30 December 2002.
P C Shelley Appearances: Date and place of hearing: |