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T9943

 

TASMANIAN INDUSTRIAL COMMISSION

Decision Appealed - See T10126

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

Brett Malcolm Youd
(T9943 of 2001)

and

Naracaa Pty Ltd

 

COMMISSIONER T J ABEY

HOBART, 20 March 2002

Industrial dispute - alleged unfair termination of employment - termination unfair - reinstatement or re-employment impracticable - compensation ordered - order issued

REASONS FOR DECISION

[1] On 5 December 2001, Brett Malcolm Youd (the applicant) applied to the President, pursuant to Section 29(1A) of the Industrial Relations Act 1984, for a hearing before a Commissioner in respect of an industrial dispute with Naracaa Pty Ltd arising out of the alleged unfair termination of his employment and alleged breach of award.

[2] The matter was set down for hearing (conciliation conference) at the Supreme Court, Cameron Street, Launceston at 9.00am Thursday 24 January 2002.

[3] When this matter came on for hearing Mr M Daly, a legal practitioner, sought and was granted leave to appear for the applicant. Mr T Gunn, of Durkin and Associates, appeared with Mr W Davey for the employer.

[4] Following preliminary submissions, the hearing was adjourned into private conference, with the commission, in an effort to find a resolution to the dispute. This proved to be unsuccessful and the matter was listed for hearing on 21 February.

[5] Evidence was taken from Mr Brett Youd, the applicant, and Mr Warren Davey, the employer.

[6] Mr Youd commenced working for Naracaa [Mr Davey] as a truck driver in March 1999. Naracaa has a contract with Frigmobile to deliver chilled and frozen goods to Coles supermarkets. Mr Youd was employed exclusively in this role. Mr Davey employed four drivers and also performed driving duties himself.

[7] Mr Youd drove a semi-trailer. Frigmobile staff would load this trailer and Mr Youd would simply attach it to the prime mover. The load consisted of a combination of palletised goods and hanging carcases.

[8] The lamb carcases vary in weight from 16kg to 30kg. Veal carcases range from 20 to 25kg. The pig carcases average between 50 and 60kg and on occasions up to 70kg.

[9] Mr Youd said that carcases were manually lifted off the hook, carried between five and 15 metres and lifted on to the supermarket hanging rail. A small supermarket would typically take 10 lambs and one pig whilst a larger store would take up to 40 lambs and four or five pigs. Mr Youd would, on an average day, deliver to about five stores.

[10] A trolley arrangement was used for one store in particular due the extended distance the carcases needed to be moved. This still necessitated the lifting of carcases on to the supermarket hanging rail.

[11] Mr Youd's evidence was that in some stores either the butchers or storemen employed by Coles assisted with the unloading. It would appear, however, that this assistance, where it was provided, was limited to the palletised goods and perhaps lambs, rather than the pig carcases.

[12] Mr Youd said that he had "a pretty bad back for the last 12 months" which had necessitated a visit to a chiropractor every second week. He described it as muscle strain, which needed rest to get it right. Mr Davey acknowledged that Mr Youd did have back problems and did not have an issue with it being work caused.1

[13] Mr Youd said that he finally reached a point where he had "had enough" of the back pain and resolved to do something about it. On 31 October 2001 Mr Youd approached the manager of Frigmobile:2

"I basically said, could we do anything about the pigs to make them not quite so heavy. He tended to agree with me, that maybe they were heavy and in his opinion, probably shouldn't have been doing it."

[14] Mr Youd then telephoned Mr Davey:3

"Tell us what you said to Mr Davey?............ Basically, I just asked him whether he could find out - I told him I'd been having a bit of trouble with my back. I just basically asked him whether he could contact anybody at Coles or whatever to see if we could get anything done about the pigs, whether we could get them cut in half or something to lighten the load to make it a bit easier on me, doing that particular work."

[15] Mr Youd completed his delivery round for the balance of that day.

[16] The following day Mr Davey reassigned Mr Youd to a role, which only involved palletised goods and hence no heavy lifting. This was a job normally performed by Mr Davey himself. Mr Davey said:4

"I put him there so as I could check into his complaint, to see if anything and if so what could be done about the weight of the pigs."

[17] On Sunday 11 November Mr Davey visited Mr Youd at his home. Mr Youd's recollection of that conversation is as follows:5

"Tell us about what Mr Davey said in relation to the termination of your employment?............ He just said that he'd spoken to Coles and they weren't willing to do anything about the pigs and he said, you've complained to me about a back problem. He said, I can't send you back down to Frigmobile. He said, I can't leave you in the job you're in at the moment because I need to do that, for his own various reasons, and, I'll have to let you go."

[18] Mr Davey added that he had also asked Mr Youd whether he had any suggestions, and none were forthcoming.

[19] Mr Youd was given one week's notice of termination. During that week he attended his doctor. This and subsequent visits to the doctor resulted in the issue of workers compensation medical certificates. These certificates referred to muscle or back strain as a consequence of lifting heavy carcases. Mr Youd was cleared for modified duties [no lifting in excess of 15kg] for the period 14 November until 5 December 2001. The evidence was that he was given an unqualified clearance after that date although his employment with Mr Davey had of course concluded.

[20] Mr Youd said that his back had improved since ceasing work with Naracaa and was now seeing the chiropractor every four or five weeks.

[21] In his closing submission Mr Daly said:6

"It's my submission that this was an unfair termination because of the employer's failure to comply with its very, very clear duty to investigate what had been clearly flagged as an important issue, that is, that the worker by virtue of his work had identified a risk and identified a hazard. The employer's response to that was, totally inadequate, in my submission, and the termination which followed was unfair because of its inadequate response.

There were clear alternatives to the termination. The first of which was in accordance with the provisions of the workplace health and safety regime, which is conduct an assessment. Commissioner, you'll know I expect, you don't need me to tell you trite law, but once a risk has been identified in the workplace, it's incumbent upon an employer to do a number of things and that is to identify the risk, assess what should be done in response to it, consider the options and then work out what is and what is not practical to do."

[22] Mr Gunn on the other hand, asserted that Mr Davey had made every effort to examine the possibilities and what his obligations are as an employer. Mr Davey runs a small business with limited opportunities to offer alternative employment. Whilst Mr Davey may have spoken to the wrong people or [by implication] asked the wrong questions, he did act in good faith, and to the best of his knowledge, in the correct manner.

[23] Mr Gunn said the key issue was Mr Youd's inability to lift the weight of the carcase and, as such, the inherent nature of the work precluded his further employment.

Mr Davey's Investigation

[24] Mr Davey first spoke to the manager of Frigmobile. The manager agreed that "the weight is there but offered no solution".7 Mr Davey was apparently told that the same system was used throughout Australia, although he acknowledged that he had no first hand experience of this.

[25] Mr Davey then approached his insurance broker seeking information as to any prescribed upper limits for the lifting of weights:8

"You spoke to your insurance company. Is it fair to assume that you had concerns where this was going to be heading?............ I didn't want any of the men down there that work for me doing a job that I'd just been made aware of that maybe they shouldn't be doing.

With regards to safety?............ Definitely.

Concerns about workers' compensation?............ Obviously."

[26] Mr Davey contacted the Coles meat manager who advised that cutting the carcase in half was not an option as it resulted in meat spoilage.

[27] A considerable amount of the evidence went to the question of the availability or otherwise of Coles employees to assist with the carcase unloading. Mr Davey said that the Coles staff were available to assist and did have the appropriate protective clothing. He did not raise it with the Coles meat manager as he was a contractor to Frigmobile and it is "not my position to tell the manager of Coles how he should run his business".9

[28] Mr Davey agreed that he did not raise this issue with Frigmobile either.10

The Role of Workplace Standards Tasmania

[29] Shortly after speaking to Mr Davey on 31 October, Mr Youd spoke to a Mr Riley, an inspector with Workplace Standards Tasmania. Mr Youd's recollection of this conversation is as follows:11

"What did you tell Workplace Safety?............ I just basically told them what I was doing.

Did you tell them who you were?............ Yes.

You told them who you worked for?............ Yes.

You told them what you were doing?............ Yes.

Tell us precisely what you told them?............ I told them basically the same thing, that I had been having a bit of a problem with my back over the last 12 months. I told them what I did at work with regard to lifting the carcasses and tried to find out where I actually stood.

Where you stood in relation to what?............ Where I stood in relation to what I'm required to lift at work and things like that.

What did they tell you what you were required to lift?............ They seemed to think that what I was doing wasn't probably the right thing to be doing.

Let's just go back a step. What did you tell them you were lifting?............ I told them exactly the same, lifting pigs, 50 to 60 kgs.

What was their precise response?............ Their precise response, basically, you shouldn't be doing that.

Did they use those words or is that just your impression of what they told you?............ They basically used those words, yes.

What else was said in that conversation with Workplace Safety?............ That they were going to investigate the situation. I don't know whether they have or not at this stage."

[30] Subsequently Mr Riley visited Mr Davey, but did not inspect the actual work in question. Mr Davey's recollection is as follows:12

What did he tell you?............ He asked me how the job was done. I explained to him. As far as the lifting went he accepted that it's done that way everywhere else, there is no other procedure. Basically it would have to be investigated to determine whether or not there was an unsafe practice but on the information given he didn't have a big problem."

[31] And later:13

"So at that time that this complaint was made to you, you knew that there were occupational health and safety people that you could speak to about this problem?............ I did.

But you didn't speak to them?............ I spoke to Mr Riley with regards to the actual problem at hand - the weight of the pigs.

No, you asked Mr Riley whether there was anything in writing that prohibited the work from lifting over a certain weight, that's what you asked Mr Riley for?............ I don't see the difference in that to the weight of the pigs to determine if there was a weight there that could be lifted.

Did you tell Mr Riley that your pigs were 70 kilograms?............ They're not all 70 kilograms.

Did you tell Mr Riley that some of your pigs were 70 kilograms?............ I also told him there was people there that could help lift them.

Did you tell Mr Riley that some of your pigs were over 70 kilograms?............ They're not over 70 kilograms.

Up to 70 kilograms then?............ Very few of them are any -

Did you tell Mr Riley?............ I told him there was a weight there that went up to that.

So you did tell him?............ I believe so."

[32] Apart from the conversations referred to above, it is clear that Workplace Standards did not undertake an in-depth assessment of the work in question.

The Regulatory Position

[33] The National Occupational Health and Safety Commission (NOHSC) publication, "National Code of Practice for Manual Handling" states as follows in relation to the lifting of weights:14

"4.23  For lifting, lowering or carrying loads:

(a) in seated work, it is advisable not to lift loads in excess of 4.5 kg;

(b) some evidence shows that the risk of back injury increases significantly with objects above the range of 16-20 kg, therefore, from the standing position, it is advisable to keep the load below or within this range;

(c) as weight increases from 16 kg up to 55 kg, the percentage of healthy adults who can safely lift, lower or carry the weight, decreases. Therefore, more care is required for weights above 16 kg and up to 55 kg in the assessment process. Mechanical assistance and/or team lifting arrangements should be provided to reduce the risk of injury associated with these heavier weights; and

(d) generally, no person should be required to lift, lower or carry loads above 55 kg, unless mechanical assistance or team lifting arrangements are provided to lower the risk of injury."

[34] It is apparent that Tasmania has adopted this standard in that the following reference is found in the WorkCover Tasmania publication "Body Strain Prevention Kit":15

  • "weights and forces - no matter what weight is lifted, pushed, pulled, or slid, workers must assess the risk beforehand. Different people are capable of moving different weights. Workers should not move any load they consider unsafe to handle and should advise their supervisor immediately.

The National Code of Practice for Manual Handling states that, generally, no worker should be required to lift, lower, or carry loads above 55 kg unless mechanical assistance and/or team lifting arrangements are available. Evidence shows, however, that the risk of injury increases when objects that weigh above 16 kg are lifted, so it's a good idea to keep loads at or below this weight. For seated work, it's best not to lift loads in excess of 4.5 kg."

[35] The responsibilities falling to employers in relation to workplace hazards can be found in Part 3 "Obligations" of the Workplace Health and Safety Regulations 1998.16 As an aid to understanding, particularly for small business, WorkCover Tasmania has distilled this regulatory obligation to the following:

  • Spot the hazard
  • Assess the risk
  • Fix the problem
  • Evaluate results

[36] It is Mr Daly's contention that this process of risk management has either been ignored or applied in a most cursory manner in the instant case.

[37] In relation to the employer's common law duty of care, Mr Daly referred to the following passage from The Council of the Shire of Wyong v Shirt.17

"In deciding whether there has been a breach of the duty of care the tribunal of fact must first ask itself whether a reasonable man in the defendant's position would have foreseen that his conduct involved a risk of injury to the plaintiff or to a class of persons including the plaintiff. If the answer be in the affirmative, it is then for the tribunal of fact to determine what a reasonable man would do by way of response to the risk. The perception of the reasonable man's response calls for a consideration of the magnitude of the risk and the degree of the probability of its occurrence, along with the expense, difficulty and inconvenience of taking alleviating action and any other conflicting responsibilities which the defendant may have. It is only when these matters are balanced out that the tribunal of fact can confidently assert what is the standard of response to be ascribed to the reasonable man placed in the defendant's position."

[38] Mr Daly submitted that this was entirely consistent with the regulatory regime applicable in Tasmania.

[39] Mr Daly also referred to the AAT decision of then Blow DP in Howlett v Secretary, Department of Social Security.18 Whilst the issues under consideration in that decision bear no relation to the instant matter, the observations of the Deputy President in relation to a similar set of facts, are of interest:

"If Mr Howlett had taken to trial an action for damages for negligence in respect of his original back injury, it is highly likely that he would have succeeded. He described the circumstances of his injury in his oral evidence. Any judge or jury hearing his case would almost certainly have determined that his employer was negligent in failing to provide him with a safe system work, in that it required or permitted him to lift a pig carcase weighing 55.5 kilograms without providing him with any form of assistance, when it had available equipment designed for the safe lifting of heavy carcases. Had he not settled when he did, but taken his action to trial, or at least relied on medical and legal advice before settling, he would probably have recovered something in the vicinity of $200,000 damages."

Findings

[40] It is not for this Commission to make a finding as to whether or not there has been any breach of the duty of care. Nor is it the role of the Commission to profess to a level of expertise in the area of workplace safety and risk assessment. Nonetheless, in assessing the fairness or otherwise of Mr Youd's termination, it is quite unrealistic, and in my view, improper, to ignore the regulatory environment surrounding this matter.

[41] Section 30[4] of the Industrial Relations Act 1984 clearly states that a physical disability is not a valid reason for termination, except where the inherent nature of the work precludes employment.

[42] Similarly, a temporary absence from work because of illness or injury, is not a valid reason for termination.

[43] Sections 138A and B of the Workers Rehabilitation and Compensation Act 1988 require that, wherever practicable, an employer must either keep an injured worker's job open, or provide alternative duties, for a period of 12 months from the date of injury.

[44] It is clear from the scheme of these statutes, together with the Workplace Health and Safety legislation, that Parliament intended that the rehabilitation of injured workers, together with the effective management of workplace hazards, are matters to be taken very seriously. Termination of employment is only an option when all other reasonable avenues have been explored.

[45] I am quite satisfied that when Mr Youd's injury was brought to his attention, Mr Davey embarked on investigation which he believed was appropriate. Further, I am satisfied that Mr Davey believed, in his own mind, that he was acting in good faith. It does not, however, necessarily follow that this belief removed any element of unfairness, which might be associated with the termination of Mr Youd's employment contract.

[46] It is a matter of regret that Mr Davey's investigation appeared to focus more on upper statutory limits for lifting rather than the risk management of the hazard.

[47] It is clear from both the NOHSC and WorkCover documents that the risk of injury increases with weights in excess of 16kg and the unaided lifting of weights in excess of 55kg is all but proscribed.

[48] Prima facie at least, the lifting and carrying of pig carcases weighing up to 70kg without aid, is contrary to this standard, a position apparently not lost on Blow DP in Howlett.

[49] It would appear that the only alternative explored was cutting the carcases in half, a proposal rejected by Coles.

[50] The alternative, which in my view was blindingly obvious, was the engagement of Coles store staff to assist Mr Youd, and presumably other drivers, with the heavy carcases, rather than the palletised goods, which did not require lifting. Mr Davey said this assistance was available, and indeed told Mr Riley that it was available. Yet he admitted that he did not raise this possibility with either Coles or Frigmobile.

[51] It is unclear whether this assistance was available. Certainly on the evidence it had not been provided in the past. I am satisfied that Mr Youd either was not aware that it was available, or alternatively, did not feel he was in a position to insist that it be made available. On Mr Youd's evidence, the limited assistance that had previously been provided in some stores only, was more on a "favour" basis rather than through a clear obligation to assist.

[52] In my view Mr Davey had a clear obligation to pursue this option with either Coles and/or Frigmobile. The fact that he did not, and then proceeded to terminate Mr Youd's services was, in my view, plainly unfair.

[53] It may well have been that Coles would not have cooperated, in which case Mr Davey would have been obliged to explore further alternatives such as mechanical assistance. It is quite possible that, at the end of the investigation, the remedial alternatives were either impracticable or prohibitively expensive. In such circumstances termination may have been the only realistic option open. On 11 November, however, the investigation of options was a long way short of this point.

Remedy

[54] Where a termination has been found to be unfair, the Act prescribes that the primary remedy is reinstatement or re-employment. Mr Youd said that he would like his job back, provided it did not involve "any unsafe work practices". He said that lifting anything over 55kg was a "definite no no".

[55] Mr Davey said:19

"I think the relationship has eroded to the point where it just wouldn't work.

-

It's an erosion of friendship. It's not going to work again".

[56] Taking into account the size of Mr Davey's business and his hands-on involvement, I reluctantly accept that it would be impracticable to re-establish a workable employment relationship. In assessing an appropriate level of compensation, I have taken the following into consideration:

  • Mr Davey's genuinely held belief that he acted appropriately and in good faith.

  • The difficulties Mr Davey faced in conducting a full and proper assessment whilst continuing to run his business on a "hands-on" basis.

  • The possibility that the advice given to Mr Davey, from various sources, may have been misplaced or misunderstood.

  • Mr Youd's length of service [two years and eight months].

  • Mr Youd's efforts to find alternative employment.

  • The likely time frame of ongoing employment, but for the termination. Given the circumstances surrounding the termination, this question is problematic. On balance I suspect it would more likely have been of a shorter duration rather than indefinite in character.

Order

Pursuant to s.31 of the Industrial Relations Act 1984, I hereby order that Naracaa Pty Ltd, 54 Mt Stuart Drive, Newnham, Tasmania 7248 pay to Brett Malcolm Youd, 215 Opossum Road, Norwood, Tasmania 7250, an amount of $3200 by way of compensation. Such payment is to be made in full not later than 5.00pm on Friday 3 May 2002, provided that at least $1600 of this amount is to be paid not later than 5.00pm on Friday 12 April 2002.

 

Tim Abey
COMMISSIONER

Appearances:
Mr M Daly, a legal practitioner, for Mr B M Youd.
Mr T Gunn, of Durkin and Associates, with Mr W Davey, for Naracaa Pty Ltd.

Date and Place of Hearing:
2002
January 24
February 21
Launceston

1 Transcript p. 47
2 Transcript p. 11
3 Transcript p. 11
4 Transcript p. 31
5 Transcript p. 13
6 Transcript p. 56
7 Transcript p. 31
8 Transcript p. 31
9 Transcript p. 43
10 Transcript p. 44
11 Transcript p. 12
12 Transcript p. 36
13 Transcript p. 39
14 Exhibit A8
15 Exhibit A7, p. 22
16 Exhibits A12 & A13
17 HC of A 1979-1980 146 CLR p. 47 - Exhibit A11
18 Nos. T94/50 and 96 AAT No. 9744 - Exhibit A14
19 Transcript p. 48