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Failure to correctly offer an alternative position after redundancy costs employer…
The Employment Relations Authority has awarded an employee three months lost wages and $7,500 compensation after her employer carried out a faulty redundancy process.
The employer correctly consulted the employee about the proposal and so was entitled to disestablish her position.
The error made by the employer was in not correctly offering her a part-time role created on the disestablishment of her full time role. The employer did say she could apply for the part-time role, but that the role would be advertised, she would need to be interviewed and the decision would be based on skills and experience.
This process was incorrect because the employer had an obligation to consider redeployment to alternative roles. The tasks in the part-time role were the same as she had been doing full time. She should have been offered the role without having to be interviewed and without having to compete with other applicants.
The employee had refused to take part in the application and interview process for the part time role. The ERA’s decision upheld her right to do so because the advertising, application and interview should not have been part of the process put to the employee.
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