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Redundancy held to be genuine…
The Employment Relations Authority has dismissed a claim for unjustified dismissal on the basis of redundancy. The ERA decided that the employer had raised the possibility of redundancy with the employee on at least two occasions and given him the opportunity to give feedback. Although the employee denied redundancy had been raised with him it was clear from his actions that he was aware of the potential redundancy and indeed had started purchasing equipment to set up his own business in opposition. He had also tried to entice away employees to his new company.
The ERA rejected the claim for unjustified dismissal based on redundancy because the employer had followed a proper process for raising this with the employee and giving him an opportunity to respond and the reasons for the redundancy were genuine.
Employment & Education Lawyer
Wellington
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