Bargaining - Employment Relations Act 2000
New Zealand Public Service Association Inc v Otago District Health Board and Anor
28 Sep 2007, P Cheyne, CA 117/07, (7 pages)
DISPUTE - BARGAINING - Applicant’s members originally employed by first respondent at counselling centre - Centre and its employees transferred to second respondent on existing terms and conditions, including coverage by collective employment agreement (“CEA”) - During negotiations for CEA second respondent sought to restrict coverage to former employees of first respondent and thereby reserve right to negotiate other terms with non-transferring employees, while applicant wanted coverage for positions occupied by transferring employees regardless of who held them - New CEA not signed - Code of Good Faith in the Public Health Sector (as in Schedule 1B Employment Relations Act 2000) entitled staff to be employed on same terms and conditions, but did not make second respondent party to existing CEA between applicant and first respondent - Applicant and second respondent obliged to create new CEA - However, bargaining constrained by entitlement of transferring staff to employment on same terms and other statutory requirements - Second respondent’s position failed to adequately recognise scope of clause 19 Schedule 1B - Transferring staff entitled to insist of CEA containing coverage clause from previous CEA - Also did not take into account effect of s62(1A) ERA - Even if coverage clause simply listed names of transferring staff, once in force agreement had to be treated as covering work or type of work done by named employees for purposes of ascertaining terms of employment of any new employees - Position taken by second respondent wrong - Impasse had given rise to claims of breach of good faith - Appropriate to adjourn further consideration of breach of good faith and give parties opportunity to sort contractual relationship in light of determination - Leave reserved if further difficulty arose
Result:
Question answered in favour of applicant ; Orders accordingly ; Costs reserved
