Authority finds claimant was an employee, not volunteer…

The Employment Relation Authority has accepted a claimant’s personal grievance claim of unjustified dismissal after determining he was an employee rather than a volunteer.

The claimant responded to an advertisement looking for part-time workers. The employer corresponded with the claimant via text and email, agreeing for the claimant to work two days a week. 

A month later, the claimant requested that the employer pay him the minimum wage. He had been receiving compensation below the minimum wage. The claimant argued that he was being underpaid for his work, and he would not return to work without being properly compensated. 

The employer told the claimant not to return to work or she would call the police. The claimant then raised a personal grievance claim of unjustified dismissal with the Authority. 

The Authority had to first consider whether the claimant was an employee, as the employer claimed that he was merely a volunteer. 

The Authority considered that the claimant’s remuneration had been discussed before he began his work with the employer. The employer had also, in fact, partly compensated the claimant for the work he had done. 

The claimant had also been offered an employment contract. The Authority concluded that this would not have been done if the intention was for the claimant to work on a voluntary basis.

The Authority decided that the employment contract offer and the compensation received by the employee meant that the claimant was an employee. The employer therefore had certain obligations when it came to the claimant’s dismissal. 

When dismissing an employee, an employer is obligated to act as a fair and reasonable employer could in all the circumstances.

In this case, the employer had terminated the claimant’s employment because he had requested to be paid the legal minimum wage. The Authority concluded that this was substantively unjustified. 

The employer had also failed to complete any fair dismissal process, such as raising their issue with the claimant and seeking feedback before dismissal. Therefore, the termination was both substantively and procedurally unjustified. 

The Authority ordered the employer to pay $76 in unpaid wages, $700 in compensation for hurt, humiliation and loss of dignity, as well as $2250 in costs. 

This case highlights the importance of understanding the nature of employment and the corresponding rights and obligations. if you are confused about these, it pays to seek advice from a professional with experience in the area. 

Leading law firms committed to helping clients cost-effectively will have a range of fixed-price Initial Consultations to suit most people’s needs in quickly learning what their options are.  At Rainey Collins we have an experienced team who can answer your questions and put you on the right track.