Document
IRC Judgement for Kerrison - 10 Dec 2003
Industrial Relations
Commission of New South Wales
in Court
Session
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CITATION
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Kerrison v New South Wales
Technical and Further Education Commission [2003] NSWIRComm 429
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PARTIES :
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APPLICANT:
Valda June Kerrison
RESPONDENT:
New South Wales Technical and Further Education Commission
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FILE NUMBER:
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IRC 3124 of 2000
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CORAM:
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Schmidt J
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CATCHWORDS
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Declaratory Relief - Application
under s154 of the Industrial Relations Act 1996 - TAFE teacher
- competing draft orders - amendment to March judgment -
judgment corrected - orders made
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LEGISLATION
CITED :
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Industrial Relations Act 1996
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CASES CITED
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Cachia v Hanes and another (1994) 179 CLR 403
Hungerfords & Ors v
Walker & Ors (1988) 171 CLR 125
Kerrison v New South Wales Technical and Further Education Commission
[2003] NSWIRComm 76
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HEARING DATES:
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13/11/2003; 26/11/2003
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DATE OF JUDGMENT:
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10/12/2003
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LEGAL REPRESENTATIVES:
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APPLICANT:
Mr GJT Hart
SOLICITORS:
Geoffrey Edwards & Co
RESPONDENT:
Ms E Brus of counsel
SOLICITORS:
IV Knight
Crown Solicitor
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JUDGMENT:
- 10 -
INDUSTRIAL RELATIONS COMMISSION OF NEW SOUTH WALES
IN COURT SESSION
CORAM: Schmidt J
DATE: 10 December 2003
MATTER NUMBER IRC 3124 OF 2000
VALDA JUNE KERRISON v NEW SOUTH WALES TECHNICAL AND
FURTHER EDUCATION COMMISSION
Application for declaratory relief
under s154 of the Industrial Relations
Act 1996
JUDGMENT
1 Judgment was given in this matter on 21 March
2003 (Kerrison v New South Wales Technical and Further Education
Commission [2003] NSWIRComm 76). The parties were
directed to formulate orders within 14 days of the date of judgment. The matter
was listed for hearing on 6 June 2003, but adjourned by consent.
2 At the recent hearing Ms Kerrison had legal representation. The evidence
showed that there had been a number of developments since the judgment, which
gave rise to other applications then made.
3 Competing draft orders were filed, although some common ground between
the parties emerged at the hearing. After the hearing, further discussions ensued,
which led to a greater measure of agreement.
4 The evidence showed that the view taken by TAFE to the earlier judgment
was that until final orders were made, Ms Kerrison was not an employee of TAFE.
She had received certain weekly payments after May 2003, on an ex gratia basis, but had not been restored to the payroll
and was not recognised to be an employee of TAFE.
Ms Kerrison, for her part, had sought practical reinstatement to her duties
at TAFE, shortly after the judgment was given. This had been refused.
5 Ms Kerrison pursued this request, apart from a short period, after she
was informed by TAFE that in order for her to be returned to work, she would
be required to undertake a medical examination in relation to her fitness to
teach. Shortly afterwards, Ms Kerrison herself obtained a medical certificate
from a doctor, attesting to her fitness. There was also evidence in these proceedings
that there had been an earlier medical certificate supplied to TAFE in 1999,
to similar effect. There was evidence that Dr Holmes had held a similar view,
much earlier. TAFE was not prepared to act on that basis, it being explained
that given her health during the course of the proceedings, that TAFE wished
to have Ms Kerrison's "health and well being ensured and we have to be
satisfied that she is fit and able, in all areas, to resume her duties." Ms
Kerrison refused to undertake an examination by a doctor selected by TAFE and
sought consequential relief in relation to that requirement, as well as a range
of other matters.
6 The orders sought by Ms Kerrison were:
1 The Industrial Relations Commission
in Court Session declares that the Applicant Valda Kerrison at
all times from 1988 to date has been employed by the Respondent,
New South Wales Technical and Further Education Commission AND that
there has been no valid, effective or lawful termination of such
employment.
FURTHER TO the Declaration herein made the Commission makes the following
consequential Orders:-
The Commission in Court Session Orders:-
2 That the Respondent make payments to the Applicant, and on her behalf,
and as specified in the orders following, to financially compensate her for
the loss of salary, including pay and superannuation benefits, arising from
the Respondents failure to treat the Applicant as an employee from 22 June
1995 to date and shall restore to the Applicant all accrued entitlements including
long service leave entitlements equivalent to 141.2 working days as at November
2003 and accrued sick leave entitlements of 285 working days as at November
2003.
3 That the Respondent make payment pay (sic) to the Applicant the sum of
$407,000.00 on account of unpaid salary for the period 22 June 1995 to 27 November
2003, together with interest thereon after deduction for income tax and superannuation
payments;
4 That the Respondent make payment to the Australian Taxation Office, in
the sum of $109,899.00 being group tax payable by or on behalf of the Applicant
in respect of the salary now recovered by the Applicant as a consequence of
the Commission’s Declaration and Orders herein;
5 That, in the event that the Australian Taxation Office requires payment
by the Applicant of any fine, charge, levy, fee or other penalty (including
late fees or interest charges) as a result of the timing of the taxation payments
made pursuant to order 4 hereof, such fine, charge, levy, fee or penalty shall
be paid in full by the Respondent on behalf of the Applicant within 14 days
of the Respondent being notified in writing of such payment being required;
6 That the Respondent pay to the Administrator of State Super, on behalf
of the Applicant, $41,644.00 being 9% voluntary contribution superannuation
payable by way of salary sacrifice by the Applicant and a further sum that shall
be calculated by the Administrator of State Super in the following circumstances.
The Commission orders that the Respondent shall within 7 days of the date of
this Order provide the Administrator of State Super with notice in writing that
the Respondent requests the reinstatement of the Applicant’s SASS account and
thereafter pay to the Administrator of State Super such further sum as shall
put the Applicant in the position that she would have been in had superannuation
contributions, being both employer and employee contributions, continued to
have been made without interruption during the period 22 June 1995 to 27 November
2003;
7 That the Respondent pay the Applicant's costs in the proceedings in the
sum of $70,000.00;
8 That the payments referred to in Orders 3, 4 and 7 hereof shall be made
by the Respondent within 14 days of the making of these Orders and that the
payment referred to in Order 6 hereof shall be made by the Respondent within
14 days of the relevant calculation being provided to the Respondent by the
Administrator of State Super;
9 That the payments referred to in Orders 3 and 7 hereof shall be made by
direct payment to the Applicant's solicitors Geoffrey Edwards & Co;
10 That the payments referred to in Orders 4 and 6 hereof shall be made direct
to the Australia (sic) Taxation Office and to State Super as the case may be
with copies of correspondence, payment details and receipts provided forthwith
to the Applicants solicitors;
11 That the parties have liberty to apply on 7 days notice in respect of
any dispute or difficulty arising from compliance with Orders 3 to 10 hereof;
12 That within 28 days of the date of these Orders the Respondent shall take
all steps to require the Respondent's staff and management to treat the Applicant
as an employee according to law; and
13 That, further to Order 12 hereof, the Respondent shall ensure that the
Applicant:
(a) Is restored to the payroll of the
Respondent and receives payment by way of salary in accordance
with the relevant award, the relevant registered industrial agreement
and other applicable industrial instruments and all other entitlements,
including seniority and recognition of continuity of employment;
(b) Is provided with payslips and other documentation
relating to her employment in the same manner as other employees of the Respondent
are provided;
(c) Is provided with staff development
in service training both on a continuing basis in accordance with
the relevant industrial instruments and by way of special additional
training to equip the Applicant with “make up” training to ensure
that her return to the Respondent's teaching service is not jeopardised by the failure of the Respondent to provide
such continuous training to the Applicant during the period June
1995 to November 2003. It is further ordered that such special
training shall commence within 28 days of the date of these Orders;
(d) Is, subject to her first being afforded the staff development in service
training referred to in (c) allocated appropriate teaching duties at the Kempsey
campus of the Respondent consistent with the Applicant's experience, skills
and her past level of performance;
(e) Is not subjected to any obstruction in her return to her duties and in
particular the Respondent shall not purport to impose any requirement or precondition
on the Applicant to attend a medical examination arranged by the Respondent;
providing always that if the Respondent requests a current medical certificate
certifying that the Applicant is fit to perform her duties the Applicant shall
provide such certificate from her own treating General Practitioner and the
Respondent shall accept such certificate as sufficient evidence of the Applicant’s
fitness.
(f) Is not subject to avoidable humiliation and distress as a consequence
of the suspicion, hostility or, ridicule of other members of the Respondent
staff, including staff at the Kempsey campus, resulting from the circulation
over the period June 1995 to date of written and verbal statements concerning
the Applicant which have been tested by the Commission and found to be false;
(g) Is properly protected from such avoidable humiliation and distress in
relation to the holding or circulation of documents containing untrue
statements concerning the Applicant’s health, mental health, mental condition
or, fitness to perform her duties or containing false allegations concerning
the Applicant and guns, the Applicant and violence or any other materials relied
upon by the Respondent in its purported termination of the Applicant’s contract
of employment in 1995 – by the immediate removal of such documents from all
personnel files or records held by the Respondent and management of the Respondent,
and either destroyed or, in the alternative, stamped prominently in red
on each page “NULL AND VOID – NOT TO BE USED” and stored securely and separately
from any personnel documents files or records in use by the Respondent in the
course of its staff management functions;
(h) Is properly protected from such avoidable humiliation and distress in
relation to the circulation of untrue verbal allegations, statements, rumour and gossip by having published, within 28 days of
the date of these Orders, in the local newspapers for the Macleay,
Port Macquarie, Nambucca and Kempsey districts and in the TAFE Gazette a public
notice in the following terms:
“PUBLIC NOTICE
NSW TAFE announces the return to Kempsey Campus of Mrs Valda Kerrison who
will resume her teaching duties in the near future.
NSW TAFE deeply regrets the distress caused to Mrs Kerrison by the failure
of its management at senior levels to protect her from false and unfounded allegations
which were damaging to her reputation and to her teaching career.
The allegations have been shown to be utterly false in proceedings brought
by Mrs Kerrison in the Industrial Relations Commission of New South Wales and
she returns to her teaching career with her reputation totally unblemished.”;
(i) Is afforded all of the protection against victimisation
and discrimination that is required by law to be afforded to any employee including
protection under the Occupational Health and Safety Act, the Anti Discrimination
Act and the Industrial Relations Act of New South Wales;
14 That the parties have liberty to apply on seven (7) days notice in respect
of any dispute or difficulty arising from compliance with orders 12 and 13
hereof.'
7 She also sought two other forms of relief. A statement which provided:
'In this matter before the Commission
in Court Session a finding has been made that the Respondent employer utilised deliberate
deceit in its dealings with the Applicant employee. The Commission
does not countenance deceit as being an acceptable form of conduct
within the industrial relations environment whether it is practised by
an employer against an employee or by an employee against an employer.
Deceit, as an industrial weapon cannot coexist with the objects
of the Act which are designed to create a framework for industrial
relations which is fair and just and to encourage and facilitate
co-operative workplace reform and equitable, innovative and productive
workplace relations.
In this matter before the Commission the nature of the deceit is of particular
concern for three fundamental reasons:-
Firstly, in circumstances where the conduct of the employee was exemplary
and her performance of her duties equally so, the deceit was used to purportedly
terminate the employees contract of employment, without affording her the usual,
including statutory, protection against unfair dismissal, including due process.
Secondly, the deceit not only damaged the employee by disadvantaging her
as an employee and causing her to lose salary, superannuation and other benefits
of employment, but it impacted upon her reputation as a resident of her neighbourhood, as a participant in the social life of her
community, in her domestic arrangements and in other facets of her life.
Thirdly, because the deceit involved the employee being deliberately deceived
as to the true nature of arrangements made between the employer and a psychiatrist
selected by the employer, the employee's fundamental human rights were denied
her. The employer sought to obtain a medical certificate stating that the employee
was unfit for her duties but failed to obtain the employees consent to be medically
examined for such a purpose.
The Commission in Court Session accepts the Applicant’s contention that an employer
does not have the right to have an employee psychiatrically assessed for the
employer’s own purposes and has no right to use deceit to enquire into an employees thoughts
or opinions. The Commission notes that a forced psychiatric assessment or a
psychiatric assessment achieved by deliberate deceit is prohibited under the
United Nations Universal Declaration of Human Rights (at article 19).
“Everyone has the right to freedom of opinion and expression; this right includes
freedom to hold opinions without interference and to seek, receive and impart
information and ideas throughout any media and regardless of frontiers.”
This Statement is made by the Commission in Court Session not only for the
benefit of the parties in this matter but for the benefit of all employers and
employees in New South Wales and in the public interest.'
8 She also sought:
'The applicant applies to the Commission
in Court Session for a correction to be made to the Decision of
the Commission dated 21 March
2003.
At paragraph 197 (on page 68) the Commission noted:
"Ms Kerrison denied ever having made them, although at one point conceded
saying words to the effect that someone "should be shot"."
The Applicant's recollection of her oral evidence, confirmed by her reading
of the transcript, is that she did not concede in evidence, at any stage, that
she said words to the effect "someone should be shot".
In these circumstances the Applicant applies, under the slip rule, for the
apparent factual error on the face of the judgment be corrected.'
9 The orders proposed by TAFE were:
1. The Applicant is and at all times
since 1988 has been employed by the Respondent, and there has
never been any valid, or effective, termination of such employment.
2. The Applicant is entitled to be paid all emoluments pertaining to her
position as a full time teacher employed by the Respondent together with interest
thereon and to retain all seniority, long service leave and other entitlements,
together with interest thereon.
3. With respect to any moneys otherwise earned by the Applicant since 22
June 1995, allowance to be made in that sum.
4. The Respondent pay the Applicant's costs as agreed
or assessed.
5. The respondent satisfy Order 2 and 3, in relation to the period up to
and including 22 May 2003, by:
a) within 14 days of the date of these
Orders, paying:
$164,201 to the Applicant
$188,694 to the Deputy Commissioner of Taxation
$36,163 to the Administrator of State Super
b) within 14 days of being advised by the administrator of
State Super, paying such other amount to the Administrator of
State Super as is required to put the Applicant in the position
that she would have been in had contributions continued to have
been made without interruption during the period 22 June 1995 to 22
May 2003.
6. that any calculation by the Respondent of the Applicant's
entitlement to long service (or extended) leave and sick leave shall be made
without regard to any purported accessing for such entitlement during the period 22 June 1995 to 22
May 2003.
10 As noted earlier, some common ground was reached. TAFE accepted orders
3, 4 and 6 subject to quantum as proposed by Ms Kerrison, and orders 2, 8, 9
and 10. Orders 5, 7, 11, 12, 13 and 14 were opposed.
11 During the course of the hearing the terms of order 5 were discussed and
later, agreement was reached.
12 The matter was relisted after the hearing. Ms Brus then tendered a document which indicated that
while agreement had not been reached in further discussions between the parties,
TAFE's position in relation to medical assessment had become that "[… the
Applicant] Is not required by the Respondent, as a precondition to return to
duties, to attend a medical examination arranged by the Respondent." Written
submissions were filed for Ms Kerrison on 28 November in which the orders sought
by Ms Kerrison, were pressed. Detailed submissions were advanced as to the parties'
negotiations, the evidence in the proceedings and the evidence given at the
further hearing, as to TAFE's attitude in relation to a further medical assessment.
It was submitted that TAFE's position was illogical and that in reality, it
had no interest in Ms Kerrison's health or well being. It rather desired that
a vague and uncertain order be made, so that further impediments and limitations
could be imposed upon Ms Kerrison.
13 The differences between the parties on money orders turned upon three
issues. Ms Kerrison's rate of pay, the way interest was to be calculated and
how costs were to be approached.
14 Evidence was called from Mr Ashley White, an accountant and from
Mr Peter Cribb, Senior Legal Officer, Department of Education and Training.
They agreed on various aspects of the mathematical calculations involved, as
well as various issues of principle, which also reduced the issues requiring
the Court's determination. Affidavit evidence was given by Ms Ruth Gallagher,
Industrial Relations and Legal Co-ordinator at NorthCoast Institute
of TAFE. She was not required for cross examination.
Consideration
15 I turn then to deal with the issues in dispute. I have concluded that
the money orders must reflect the salary of Ms Kerrison's substantive position,
rather than that of head teacher. The evidence was that Ms Kerrison had acted
in the head teacher position for only limited periods and that for the two years
after her employment was brought to an end, such opportunities were unlikely
to have arisen, given the appointment of a permanent head teacher at Kempsey.
Appointment to such positions at TAFE depended upon vacancies arising, applications
being made and a competitive merit selection process being successfully undertaken.
Ms Gallagher's evidence showed that only one such vacancy had arisen in Kempsey,
in 1999. It follows that the orders sought by Ms Kerrison, calculated at the
head teacher rate for the entire period in question, were not properly available.
The calculation must be made at the substantive teacher rate.
16 Ms Kerrison sought an order for compound interest. It was Mr White's opinion
that this was the only basis upon which she could be compensated for the loss
of use of the money she ought to have been paid fortnightly by TAFE. The approach
of the High Court in Hungerfords & Ors
v Walker & Ors (1988) 171 CLR 125 was relied upon and it was
submitted that the Court's discretion was not constrained in these proceedings
by the requirements of s372 of the Industrial Relations Act 1996 ('the
Act'), which precludes the awarding of interest on interest.
17 As Ms Brus submitted, jurisdiction to make
the orders sought was found in the earlier judgment, having regard to the provisions
of various parts of the Act, including s368 (see [217]). That section deals
with the making of orders for underpayment of wages. If such an order is made,
the Court is constrained by s372, as to the orders which may be made for interest.
18 Having in mind the scheme of the Act, I cannot conclude that an appropriate
exercise of a discretion to order the payment of interest
in an application for declaratory relief such as this, could ignore the approach
inherent in s372 of the Act. It is accordingly appropriate that the order for
interest be at the usual Supreme Court rates, as the respondent submitted.
19 As to costs, Ms Kerrison sought that they be assessed at $70,000. It was
candidly explained by Mr Hart that a 'rule of thumb' approach had been
adopted, having regard to what TAFE had clearly spent on defending the proceedings
and because she was not able to afford legal representation, it represented
what she would have received, if she had been able to retain a barrister and
solicitor of her own to contest the proceedings.
20 While not unsympathetic to the concerns underpinning the application,
I cannot conclude that justice could permit an order made on such a basis. Ms
Kerrison cannot be awarded costs which she did not incur. It also seems to me
that the approach of the High Court as to costs which may be awarded by a Court
to an unrepresented litigant, may not properly be ignored (see Cachia v Hanes and another (1994) 179 CLR
403). The usual order as to costs would be that the respondent
bear the applicant's costs, as agreed or assessed. This would encompass
various disbursements and out of pocket expenses. There was a concern, however,
by the applicant that costs incurred in pursing Freedom of Information requests,
necessary for her to investigate what TAFE had done and which resulted in her
gaining much material, much of which was led as evidence in these proceedings,
could not be recovered as disbursements, because those requests were made long
before these proceedings were initiated.
21 Section 181 of the Act gives the Court a discretion as
to costs. I am satisfied that it would be an appropriate exercise of that discretion
to order that any sums incurred by Ms Kerrison in pursuit of such Freedom
of Information requests, even prior to the initiation of these proceedings,
be born by the respondent. This order will be supplemental to the usual costs
order.
22 I turn then to Orders 13 and 14, as sought by Ms Kerrison. Order 13 was
opposed by TAFE, as being not only unnecessary given the terms of Order 12,
but because in some respects it was impossible for TAFE to comply with and impossible
for the Court to enforce. Order 14 was argued to have the result that there
could never be a proper conclusion to these proceedings.
23 It seems to me that these submissions have some force. The reason for
the orders being sought were obvious, given Ms Kerrison's concerns about her
treatment by TAFE both before and after the giving of the March judgment. I
have found that there was a legitimate basis for many of her concerns in that
judgment. Nevertheless, it seems to me that it cannot be overlooked that Ms
Kerrison approached this Court for declaratory relief. Orders reflecting the
conclusions reached in the March judgment must now be formulated.
24 One important purpose of the making of such orders is to bring the proceedings
to a proper end. It follows that orders must be cast in such a way that they
clearly indicate to the parties what they must comply with. They must also be
capable of being observed and enforced. I accept TAFE's submission that Order
13 would give rise to some real difficulties in this respect. Order 14 would,
in my view, have the result that the Court would accept an ongoing obligation
to supervise the parties' relationship with each other, while ever it subsisted.
That is not a proper basis for orders to be made in proceedings such as this.
25 Order 13 goes to the detail of what Order 12 seeks to achieve in a general
way. Despite Ms Kerrison's concerns that she might encounter other difficulties
in her ongoing relationship with TAFE, which might necessitate other grievances,
disputes or litigation being pursued, I am not satisfied that it is either appropriate
or helpful to the parties, to descend into the detailed regulation which is
here sought of aspects of the parties' relationship, which I found in the March
judgment to have been ongoing. They each have rights and obligations as a result,
under their contract, any award or agreement which attaches to it and under
a myriad of legislation. It is neither a sensible, or appropriate basis upon
which to now formulate the declaratory relief for which Ms Kerrison approached
this Court, for an attempt to be made by the Court to state by way of order,
some aspects of those rights, obligations and indeed, duties and to provide
for those orders to be the subject of ongoing supervision by the Court in these
proceedings.
26 To illustrate the point, s210 of the Act deals with victimisation of employees
who claim a benefit to which they are entitled under various legislation, or an industrial instrument. The enforcement
provisions appear in s213, where the Commission may make various orders, including
orders of reinstatement, payment of financial benefits foregone, promotion or
advancement and other consequential relief. The section also provides a limitation
period for the commencement of proceedings seeking such relief. The orders here
sought would potentially have the effect in future of circumventing this part
of the Act and the way in which the Parliament has determined that such matters
are to be supervised, namely by the Commission rather than by the Court.
27 It follows that the supervisory orders sought must be refused.
28 Despite this general conclusion, I have had some hesitation in declining
to make any orders in relation to the medical examination which TAFE indicated
at the hearing it was still considering requiring Ms Kerrison to undertake,
before resuming her duties. Reliance was placed upon her ill health during the
course of these proceedings and a need for TAFE to ensure that Ms Kerrison,
like all other employees, was fit for her work. As earlier noted, that position
was not persisted with, given the discussions between the parties after the
hearing, even though agreement on that matter was not reached.
29 I have some sympathies with Ms Kerrison's suspicions as to the bona fides
of what was proposed, given the experiences which brought her to this Court
and what was revealed on the evidence.
30 I am satisfied that an appropriate resolution of this aspect of the issues
remaining between the parties, is to order that the respondent not require that
any further medical examination be undertaken by Ms Kerrison, as a precondition
upon her return to duties. Her medical advice is that she is fit to do so. There
appears to be no proper basis for that advice to be questioned as the final
position announced for the respondent plainly recognised.
31 There was also an issue as to whether the amount of any earnings obtained
by Ms Kerrison in other employment, should be deducted from the amount of the
orders otherwise to be made. I have concluded that in justice they should not.
Not only was Ms Kerrison placed in a position where she had to find other work
outside TAFE, given her age and the circumstances of her purported dismissal,
she had considerable difficulties in doing so. She found little work in Kempsey
and moved to Sydney, for long periods of time, both in order to find employment
and to pursue her complaints about the purported termination of her employment
by TAFE. As a result, she had not only considerable difficulties to contend
with, she was involved in expense which exceeded her earnings. I am satisfied
that TAFE ought not to have the benefit of those circumstance, so that Ms Kerrison
would be even worse off, as the end result of what has occurred.
32 The end result of those conclusions is that the figures which should be
included in the orders are those which appear as 'Scenario 4' in Mr White's
calculation in using the teacher rate of salary; no allowance for other income
earned by Ms Kerrison and simple interest. That latter figure does not appear
in Order 3 but must be calculated by the parties to the date of judgment.
33 I next deal with the statement sought. It was described to be a form of
further judgment, desirable in the public interest, given the unusual circumstances
which have come forward in these proceedings. I decline to make such a statement.
Judgment has been given. It is in the public domain and deals comprehensively
with the circumstances revealed on the evidence. While it is not in the form
of a one-page statement, it leaves no doubt as to how the circumstances revealed
on the evidence should be viewed.
34 I am also not able to overlook the fact that the application which was
brought was for declaratory relief, in relation to Ms Kerrison's position. I
am satisfied that such proceedings are not a proper basis for a general statement
to be made by this Court, as to questions such as the psychiatric assessment
of employees. Such matters may well be of general public interest and they may
also touch upon fundamental human rights, as the statement suggests. Nevertheless,
other considerations also impact upon such matters, including the obligations
imposed upon employers, employees and others, under awards, agreements, Occupational
Health and Safety and other legislation. Such matters were not addressed in
these proceedings, understandably, because they were concerned with Ms Kerrison's
circumstances, not that of employees generally in the workforce.
35 Even if another approach were available to be taken, given the stage which
these proceedings have reached, I am satisfied that it would not be appropriate
to now embark upon such a course.
36 I finally deal with the question of the amendment sought to the judgment
under the slip rule. Ms Kerrison seeks the deletion of part of a sentence referring
to a concession which it was said she had made. Her position was that it was
contrary to her recollection and had no support in the evidence. The respondent
pointed to the evidence supporting the finding. Having considered the transcript
recording that evidence, I am satisfied that it could be read inconsistently
with such a concession having been made and have taken steps to have the judgment
amended accordingly. A copy of the amended paragraph is annexed to this judgment.
Orders
37 For all of the reasons given I order as follows:
1. The Industrial Relations Commission
in Court Session declares that the Applicant Valda Kerrison at
all times from 1988 to date has been employed by the Respondent,
New South Wales Technical and Further Education Commission AND that
there has been no valid, effective or lawful termination of such
employment.
FURTHER TO the Declaration herein made the Commission makes the following
consequential Orders:
The Commission in Court Session Orders:-
2. That the Respondent make payments to the Applicant, and on her behalf,
and as specified in the orders following, to financially compensate her for
the loss of salary, including pay and superannuation benefits, arising from
the Respondents failure to treat the Applicant as an employee from 22 June
1995 to date and shall restore to the Applicant all accrued entitlements including
long service leave entitlements equivalent to 141.2 working days as at November
2003 and accrued sick leave entitlements of 285 working days as at November
2003.
3. That the Respondent make payment to the Applicant the sum of $239,091
on account of unpaid salary for the period 22 June 1995 to 27 November 2003,
together with interest thereon to the date of judgment, after deduction for
income tax and superannuation payments;
4. That the Respondent make payment to the Australian Taxation Office, in
the sum of $101,830 being group tax payable by or on behalf of the Applicant
in respect of the salary now recovered by the Applicant as a consequence of
the Commission’s Declaration and Orders herein;
5. That, in the event that the Australian Taxation Office requires payment
by the applicant of any fine, charge, levy, fee or other penalty (including
late fees or interest charges) as a result of the timing of the taxation payments
made pursuant to Order 4, hereof, such fine, charge, levy, fee or penalty shall
be paid in full by the Respondent on behalf of the Applicant within 14 days
of the Respondent being notified in writing of such payment being required PROVIDED
THAT the Respondent shall not be liable to pay any fine, charge, levy, fee
or penalty to the extent that such fine, charge, levy, fee or penalty is due
to any default on the part of the Applicant AND PROVIDED THAT the rights
of the Applicant in respect of such fine, charge, levy, fee or penalty shall
be subrogated to the Respondent and the Applicant shall cooperate fully with
the Respondent in any legal action in respect of the fine, charge, levy, fee
or penalty.
6. That the Respondent pay to the Administrator of State Super, on behalf
of the Applicant, $38,924 being 9% voluntary contribution superannuation payable
by way of salary sacrifice by the Applicant and a further sum that shall be
calculated by the Administrator of State Super in the following circumstances.
The Commission orders that the Respondent shall within 7 days of the date of
this Order provide the Administrator of State Super with notice in writing that
the Respondent requests the reinstatement of the Applicant’s SASS account and
thereafter pay to the Administrator of State Super such further sum as shall
put the Applicant in the position that she would have been in had superannuation
contributions, being both employer and employee contributions, continued to
have been made without interruption during the period 22 June 1995 to 27 November
2003;
7. The Respondent pay the Applicant's costs as agreed
or assessed.
8. That the payments referred to in Orders 3, 4 and 7 hereof shall be made
by the Respondent within 14 days of the making of these Orders and that the
payment referred to in Order 6 hereof shall be made by the Respondent within
14 days of the relevant calculation being provided to the Respondent by the
Administrator of State Super;
9. That the payments referred to in Orders 3 and 7 hereof shall be made by
direct payment to the Applicant's solicitors Geoffrey Edwards & Co;
10. That the payments referred to in Orders 4 and 6 hereof shall be made
direct to the Australian Taxation Office and to State Super, as the case may
be with copies of correspondence, payment details and receipts provided forthwith
to the Applicants solicitors;
11. That the parties have liberty to apply on 7 days notice in respect of
any dispute or difficulty arising from compliance with Orders 3 to 10 hereof;
12. The Respondent shall forthwith treat the Applicant as an employee according
to law.
13. The Respondent shall not require that any further medical examination
be undertaken by Ms Kerrison, as a pre-condition upon her return to duties.
------------------------
Annexure
complained; her numerous complaints that her grievance had not been properly
investigated; her then perceived instability and threats then reported by
Ms Robison of threats of 'physical harm with a firearm directed towards that
teacher and others', had caused steps to be taken to implement a rehabilitation programme involving
the Commonwealth Rehabilitation Service. Mr Quinn's evidence was that in April
1995, there were further events which caused him to send his various memos.
Mr Quinn could not recollect what had precisely then occurred, which led him
to send these memos.
- While Ms Kerrison denied having ever
threatened suicide, both Ms Robison and Dr Holmes were concerned
about that possibility. There was, however, no evidence at all
that Ms Kerrison had made threats of using a gun or firearms to
solve her problems. Neither Ms Robison nor Ms McGregor gave evidence
that such threats had ever been made against them or to them,
in respect of others. Ms Kerrison denied ever having made them.
That such a commonplace, colloquial expression could have formed
the basis of Mr Quinn's reports is scandalous. At best, the evidence
was that Ms Kerrison had made such comments in 1994, while being
treated for a depressive illness.
- Dr Jagger's evidence confirmed how Ms Kerrison's diagnosis
was influenced by what Ms Walshaw told her and Dr Mandel. The
information provided by Ms Walshaw about the support Ms Kerrison
had received at TAFE, in relation to the grievances she had raised,
was quite inconsistent with the evidence in these proceedings
as to the treatment Ms Kerrison had received. This information
Dr Jagger regarded as clearly evidencing
Ms Kerrison's personality disorder. It is undoubted, in my view,
that if Dr Mandel and Dr Jagger were
in possession of the facts revealed in these proceedings that
their diagnosis, would have been affected.
Dr Holmes' opinion, later expressed to the Appeal Panel in 1995,
quite contrary to that of Dr Mandel and Dr Jagger,
more accurately, in my view, reflected Ms Kerrison's medical position
and prognosis.
198 The evidence as to the way in which Ms Kerrison’s grievance had been dealt
with by TAFE showed that Ms Kerrison's working relationship with Ms McGregor,
Ms Robison and Mr Quinn, had been damaged as a result. Her complaints when referred
to Dr Ramsey, understandably, were handled by TAFE on a confidential basis.
Regrettably, this confidentiality was
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