Childs, D.W. v. Metropolitan Transport Trust [1981] FCA 229
Federal Court of Australia
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A hy PRN CAT
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ronan are i io oe
CATCHWORDS
Industrial law - dismissal and prejudice to employee -
Information pursuant to Conciliation and Arbitration Act 1904
s.5 - Onus of proof - substantial and operative factor -
Alteration of employee's position to his prejudice - injury to
employee in his employment - dismissal of employee. Employer
actuated by circumstances specified in s.5(1) of the Act -
Employee proposed to appear in proceedings under the Act -
Commission hearing pursuant to a notice under s.25 not
disclosing interstate character of dispute. Whether a
proceeding within s.5(1)(c) of the Act - Employee's
dissatisfaction with his conditions - requirement that better
conditions being sought by organization be specific -
Membership of Union as an actuating circumstance in decision
to dismiss employee ~ Requirement of some relevant quality in
the conduct of the employee as member.
Conciliation & Arbitration Act 1904
Desmond William Childs v. Metropolitan Transport Trust
Smithers J.
9 December 1981
IN THE FEDERAL COURT OF AUSTRALIA
VICTORIA DISTRICT REGISTRY V. No. 16 of 1981
wesw wa
INDUSTRIAL DIVISION .
IN THE MATTER OF The Conciliation
and Arbitration Act 1904
BETWEEN: DESMOND WILLIAM CHILDS
(Informant)
AND: METROPOLITAN TRANSPORT
TRUST
(Defendant)
Judge Making Order: Smithers J.
Date of Order: 9 December 1981
Where Made: Melbourne
ORDER
1. The Court finds that on 22 December 1980 the defendant
altered the position of the informant to his prejudice by
reason of the circumstances that:-
(a) the informant was entitled to the benefit of
an award;
(b) the informant proposed to appear and give
evidence in a proceeding under the Act; and
(c) being a member of an organization which was
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She Ramet etme ent Ae ng at ete etme nt roves "eras oe! — a
seeking better industrial conditions the
informant was dissatisfied with his
conditions.
2. The Order of the Court is that the defendant be convicted
and a penalty of $400 be imposed on the defendant and that the
amount of this penalty be paid to the Municipal Officers'
Association of Australia.
3. The Court finds that On 23 December 1980 the defendant
dismissed the informant by reason of the circumstances that
(a) the informant was a member of the Municipal
Officers' Association;
(b) the informant was entitled to the benefit of
an award;
(c) the informant proposed to appear and give
evidence in a proceeding under the Act; and
»
(d) being a member of an organization which was
seeking better industrial conditions the
informant was dissatisfied with his
conditions.
4, The Order of the Court is that the defendant be convicted
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and a penalty of $400 be imposed on the defendant and that the
amount of this penalty be paid to the Municipal Officers'
Association of Australia.
5. Liberty to apply in respect of any other relief to which
the informant may be entitled is reserved.
Fe I A a mm tN AN een em art . a
—
IN THE FEDERAL COURT OF AUSTRALIA
)
)
VICTORIA DISTRICT REGISTRY ) V. No. 16 of 1981
)
)
INDUSTRIAL DIVISION
IN THE MATTER OF The Conciliation
' and Arbitration Act 1904
BETWEEN: DESMOND WILLIAM CHILDS
(Informant)
AND: METROPOLITAN TRANSPORT
TRUST
(Defendant)
Coram: Smithers J.
9 December 1981
Melbourne
REASONS FOR JUDGMENT
Upon an information dated 2 September 1981 Desmond
William Childs informs the Court that the defendant
Metropolitan Transport Trust (the Trust) was guilty of conduct
contrary to the provisions of s.5 ss.1 of the Conciliation and
Arbitration Act 1904 in that:-
1. On 22 December it did alter the position of
the informant to his prejudice in his
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2.
employment by reason of the circumstances
that the said informant -
(a) was a member of the Municipal
Officers! Association (MOA) an
organization registered pursuant to
the Conciliation & Arbitration Act
1904 (the Act) as amended;
(b) waS entitled to the benefit of the
Muncipal Officers' Association
(Metropolitan Transport Trust)
Tasmania Award as amended;
(c) proposed to appear as a witness in
proceedings under the Act;
(a) being a member of the said
organization which was seeking better
industrial conditions he was
dissatisfied with his conditions; and
(e) being a member of the said
organization he had done or proposed
to do acts and things which were
lawful for the purpose of furthering
or protecting the industrial interests
ay ee _. ant ere a ee ee — a seep
of the organization, being acts or
things done within the limits of the
authority expressly conferred on him
by the organization in accordance with
the rules of the organization.
2. On 22 December 1980 the defendant did
injure the informant in his employment by
reason of the circumstances set out in
paragraph one above.
3. On 23 December 1980 the defendant did
dismiss the informant from his employment
by the reason of the circumstances set out
in paragraph one above.
The material conduct alleged in respect of the first
and second charges was that by a notice in writing dated 22
December 1980 the defendant informed the informant that as
from 5 January 1981 he would cease to hold the position of
acting senior revenue clerk and return to the position of pay
clerk.
The material in respect of the third charge was that
the defendant delivered to the informant notice in writing
dated 23 December 1980 in which the defendant notified the
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informant that his employment with it would terminate as from
close of business on that date.
By s.5 ss.4 of the Act it is provided that:-
"5(4) In any proceedings for an offence against
this section, if all the relevant facts and
circumstances, other than the reason or intent set
out in the charge as being the reason or intent of
an action alleged in the charge, are proved, it
lies upon the person charged to prove that that
action was not actuated by that reason or taken
with that intent."
In the application of s.5 it is to be noted that in respect of
action taken by an employer, he may be said to have been
actuated by a particular reason if it was a substantial and
operative factor influencing him to take that action although
that reason was but one of a number of reasons which so
influenced him. See Mikasa v. Festival Stores (1972) 47
A.L.J.R. 20 and General Motors-Holdens Pty. Ltd. v. Bowling
(1976) 12 A.L.R. 605.
At the close of the informant's case Dr. Jessup
submitted that there was no case to answer in respect of the
charge that on 22 December 1980 the defendant altered the
position of the informant to his prejudice. He made a similar
submission in respect of the charge that on 22 December 1980
the defendant did injure the informant in his employment. I
aid not accede to the submission in respect of the first
charge but I did accede to that in respect of the second. I
stated my reasons as follows:~
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"This matter has been argued apparently as far as
it can be by counsel and it is necessary that I
should indicate my findings in respect of the
submissions made to me by Dr. Jessup. So far as
the first count in the information is concerned,
namely, that on 22 December the defendant altered
the position of the informant to his prejudice in
his employment, by reason of one or more or all of
the circumstances set out in paragraphs l(a), {(b),
(c), (a) and (e) of the information, I am of the
opinion that having regard to the facts before me,
as they stand at the moment, without evidence
contradicting those facts, I would consider that
there is a case for the defendant to answer.
The answer to the problem depends upon the proper
interpretation of section 5 of the Conciliation
and Arbitration Act 1904, and in particular the
proper construction of the wordstalter his
position to his prejudice' in the opening
sentences of the section. I think it has to be
observed that basically the mischief aimed at by
section 5 is a class of action taken by an
employer against an employee not because there is
anything wrong in taking that action in a proper
case, but taking that action where it is actuated
by various reasons, or one of various reasons,
closely connected with the operation of the
Conciliation and Arbitration Act which are set out
in Section 5. Recognising that the objectives of
the Act, which are to encourage unionism and the
observance of awards, the settling of disputes by
conciliation and arbitration and through
representative bodies of employers and employees,
parliament has been aware of the fact that those
objectives would be largely frustrated if
employees, who were minded to be activists,
energetic or even less than energetic in what I
call the operation of the Conciliation and
Arbitration Act, were subject to fear that they
would be injured in their employment if they did
take an active part in union affairs and in
pressing what they thought were the rights and
privileges which ought to be assocated with their
employment.
Originally, in order to protect employees from the
fear of injury in their employment, parliament
enacted what is now section 5, but the section
did not then include the words "or alter his
position to his prejudice'. No doubt, because it
was found that a man could 'suffer because of his
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activities in the operation of the Act, through
action taken against him by his employer because
of those activities, which did alter his position
in his employment to his detriment, but did not
actually injure him then and there in a practical
way. It seemed good to parliament, therefore, to
say to employers, "You must not dismiss him for
any of those reasons. You must not injure him in
his employment for any of those reasons and you
must not, whether you injure him or not, alter his
position to his prejudice.".
The overall intention is that employees shall feel
free to operate the act without fearing dismissal,
injury or prejudicial alteration of their
position. It is possible to read the word
'position' in a narrow way merely as referable to
the immediate incidents of day-to-day employment.
But I do not see any reason why it should be so
circumscribed in meaning. It seems to me that the
word 'position' should be read rather to refer to
a man's employment position in all its attributes
and that to find what those attributes are in any
particular case, you look at the terms of
employment, the terms of the agreement in relation
to the particular employment.
Fear of alteration of any of those terms or of the
entitlements thereunder would be as potent a
factor inhibiting an employee from operating the
Act as fear of dismissal, or loss of pay or
something in the nature of an immediate injury. I
think therefore that cancellation or repudiation
of a term of employment which has been agreed
upon, cancellation or repudiation by an employer
which the employee is in no position, legal or
otherwise, to resist or oppose, although he may
get some legal rights in relation to it, by
withdrawal of a promise of secure employment in a
position for an agreed term is an alteration in
the employee's position within the meaning of
section 5, and I think it takes place on the day
of cancellation or repudiation of the promise that
was made.
From then on his position is substantially
altered. The term has gone. I do not think that
this is a forced or fanciful construction of the
word 'position' or of the meaning of the total
phrase. I am told I must apply a fairly
restricted meaning because this is a penal
statute, but I feel that I should apply a natural
meaning, not forced or fanciful in any way and a
meaning which accords with what seems to me to be
Ro ee eres ones
the intention and the objective of the relevant
Statute. Therefore, so far as the first count is
concerned I am unable to find at this moment that
a case to be answered is not made out.
So far as the second charge is concerned, I am
unable to see that in the narrow sense in which
the word 'injure' seems to be used, the informant
was injured in his employment on 22 December. It
did not occasion him any immediate loss of income.
It did not mean that he did not do the same work
during the period that his employment in the
senior revenue pay clerk's office entailed him in
performing that work. It is said that it reduced
his status so far as the rest of the staff were
concerned and did so as from that very moment. No
doubt that is quite probable and probably did
occur but it seems to me that that kind of thing
is more aptly considered to be an alteration in
his position than an injury. I cannot help
thinking that 'injury' refers to deprivation of
one of the more immediate practical incidents of
his employment, such as loss of pay or reduction
in rank.
It has been said to me that his employment was not
an employment for six months because I should
interpret the advertisement as incorporating a
term into that employment that it was during that
six months probationary in the sense that it could
be brought to an end 1f the employer felt that he
was not measuring up to the requirements of the
new position or that he was in fact not measuring
up to what one would expect of a man who was in
the position for six months with a view to
possible permanent employment therein.
It seems to me that putting the matter as high as
it can be for the defendant at this stage of the
case, it could not be put higher than that the
informant was offered employment for six months;
that he accepted it and that the Trust accepted
him on an agreement for six months. The
advertisement in question reads as follows:
'VACANCIES
Acting Senior Revenue Clerk ...
during this probationary period.'
To my mind, he was promised a period of six months
which was to be probationary in nature. Of course
it could be brought to an end at any time if it
were found as a fact that he was not performing
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with a satisfactory degree of competence to
justify the continuance of the six months period.
But that, on the evidence so far adduced, was not
alleged.
In the letter of his reduction of the term of his
employment as senior revenue clerk, it is said
that the first matter of substance is that there
is a reference to the Municipal Officers'
Association having lodged an application to
reclassify the position from grade 6 to grade 7
and that the hearing of the dispute is coming on
early in January. It is not clear what that
provision has to do with the substance of what the
letter achieves. It goes on:
'Because there was no logical
successor to the previous Senior
Revenue Clerk you were appointed
to act in the position for a trial
period'
presumably 6 months. It goes on to Say:
'It is now my intention to appoint
another officer to act as Senior
Revenue Clerk for a period of
three months in order to
determine, by performance, the
. most suitable person for the
position. I hope that a permanent
appointment can be made by May
1981'
Suggesting that the informant is still the person
who may be considered for the permanent position.
And then it goes on:
'As from Monday, 5 January 1981,
you will resume your position as
Pay Clerk.'
Well, in those circumstances I am satisfied that
if I had to decide the matter without further
evidence and having regard to the onus of proof
provision in section 5, sub-section 4, I would
feel constrained to say that the charge had been
made out.
Accordingly, it will be necessary to proceed with
that charge was well as one relating to dismissal,
but at this stage I should dismiss the second
count, and I do."
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On the submissions mentioned above it was not put that there
was not evidence upon which a finding beyond reasonable doubt
might be made of the existence of one or more of the
circumstances specified in ss. (a) to (f). I am satisfied
beyond reasonable doubt that:-
(a) at all material times the informant was a
member of the Municipal Officers'
Association of Australia, an organization
registered under the Act. (s.5(1)(a));
(b) at all material times the informant was
. entitled to the benefit of an industrial
award, namely the Municipal Officers'
(Metropolital Transport Trust) Tasmania
Award 1967 as amended (s.5{1)(b));
(c) as from 27 November 1980 until 23 December
1980 the informant proposed to give
evidence in a proceeding under the Act
(s.5(1)(c))3
(ad) being a member of the M.O.A. which was
seeking better industrial conditions the
informant was dissatisfied with his
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. 10.
conditions. (s.5(1)(d))
I am not satisfied that circumstance (e) alleged is
established.
There is no dispute concerning the existence of
circumstances (a) and (b) above, but there is concerning the
existence of circumstances (c) and (d). Concerning
(c) it was urged for the defendant that a positive finding
could not be made because the relevant "proceeding" was not a
proceeding under the Act. The proceeding in question was one
initiated by a notice purporting to be given under s.25 of the
Act. That notice was dated 27 November 1980, it was signed by
the Federal Secretary of the Union. It was in the following
terms:-.
"In pursuance of Section 25 of the Conciliation
and Arbitration Act 1904, the Municipal Officers'
Association of Australia hereby notifies you of
the existence of an Industrial dispute between the
Metropolitan Transport Trust and the Municipal
Officers' Association of Australia, 1-3 O'Connell
Street, North Melbourne, 3051, in respect to the
following matters:
Yr. Metropolitan Transport Trust have appointed
Mr. Des. Childs to the position of Senior
Revenue Clerk, on the 17th August, 1980.
2. The current award classifies that position
as Grade vii.
3. Metropolitan Transport Trust have refused to
appoint Mr. Child at the award rate,
claiming he should be appointed at Grade vi.
4. Metropolitan Transport Trust claim that the
position is one of Acting Senior Revenue
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Clerk.
5. No such position or classification exists in
the award.
6. Metropolitan Transport Trust have therefore
refused to abide by the current award.
7. Because of this situation, I now seek to
have this matter which is at an impasse,
determined by the Commission before it leads
to serious disputation."
Dr. Jessup contended that the dispute specified in
the notice was clearly not one extending beyond the limits of
any one state nor, as I understood, did the notice disclose a
situation which was likely to give rise to an industrial
Matter which did so extend. He contended also that the
dispute disclosed in the notice related only to the question
whether or not the Trust was observing the award and that that
was a matter for a proceeding under s.119 of the Act but not
under s.25.
It is clear that at the relevant time the informant
intended to give evidence in a proceeding which he understood
to be initiated by the notice and in which in due course a
member of the Commission, in the course of his duty under the
Act, would conduct a hearing, and, as the fact was, that the
General Manager of the Trust and its senior officers were
aware of the informant's intention and understanding of the
position and so understood it themselves. It may be conceded
that interstate aspects of the dispute do not expressly appear
on the face of the notice. Nevertheless it is clear that the
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notice seeks the intervention of the Commission in a dispute
in an industrial matter, "before it leads to serious
: é : : : :
disputation.". Clearly the notice invokes the exercise of
powers vested in the Commission by the Act.
[The notice was treated by the Commission as one
requiring a response on its part in the performance of its
duty and the exercise of powers vested in it by the Act. It
set a date for a hearing and a hearing took place on 5 January
1981 before Commissioner McLagan. The parties duly appeared.
The issue and the circumstances in which it arose were
seriously argued by both sides and the Commissioner ultimately
made a recommendation that the informant should have been
receiving the rate of pay which he claimed. It is important
that from first to last it was the genuine belief of all
concerned in the "proceeding" that the claim by the Union for
a determination was made in the genuine course of invoking the
exercise of the powers of the Commission under the Act. No
submission was made to the Commissioner that he lacked
jurisdiction to hear the matter raised by the notice. If such
a submission had been made, it is not certain, that on the
general issue whether the Trust should pay award rates of
persons permanently appointed to classified positions to
persons appointed to such positions in an acting capacity,
particularly as there was no classification for acting
appointments, it might not have been shown that questions
outside the award were involved. Also it might well have been
A nn A RR DE SERRE err arn eRe emma amy ram ame oe om nee
13.
shown that there was was a sufficient likelihood of the
dispute extending beyond the limits of Tasmania. But however,
this may be it is my opinion that in the context of s.5(1)(c)
the reference to a proceeding under the Act comprehends a
proceeding brought under the Act and extends to any proceeding
in which the jurisdiction and powers of the Commission are
bona fide invoked, certainly where the matter in issue 1s an
industrial matter. It is hardly to be thought that s.5(1)(c)
1s not intended to protect an employee who intends to give
evidence in a proceeding honestly believed by all concerned,
to be a proceeding under the Acc but which is found to be
misconceived and rejected for lack of jurisdiction under the
Act. Reference may be made to Trobridge v. Hardy (1965) 94
C.L.R. 147 at p. 156, Little v. The Commonwealth (1947) 75
C.L.R. 94 at p. 113, Parisienne Basket Shoes Pty. Ltd. v.
Whyte (1937) 59 C.L.R. 369, Deputy Commissioner of Patents v.
Board of Control of Michigan Technological University (1979)
28 A.L.R. 551 at pp. 560, 562 and 568 and Collector of Customs
(N.S.W.) v. Brian Lawlor Automotive Pty. Ltd. (1979) 24 A.L.R.
397.
It is difficult to think that if the ultimate
decision in In Re Turbet & Ors ex parte The Australian
Building Construction Employees and Builders' Labourers
Federation 2 December 1980 High Court of Australia (as yet
unreported), had been to the effect that the matters in issue
raised no interstate dispute and was not likely to do so there
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14.
would have been no proceeding under the Act. Accordingly I
consider that finding (c) above is well founded.
Concerning finding (d) above the first submission of
the informant was that throughout 1979 to 1980 the Union had
made various demands some of which were still unsatisfied and
throughout the whole period the informant was dissatisfied
with his remuneration. I do not accept this submission. But
it was also submitted that from the moment the Union filed the
s.25 notice the Union should be seen to be asserting, not only
that grade 7 was the proper rate of remuneration for the
informant, but that payment at the award rate was payable to
every employee doing the work in any award classification
whether he was appointed permanently or in an acting capacity.
It seems clear that a claim for full classification rates for
acting appointees, where the circumstances are that such rates
are not paid or the claim is not admitted, is a claim for
better industrial conditions. A Union which seeks to obtain
recognition of such a claim may be said to be seeking better
industrial conditions. It 1s apparent that in the proceedings
before the Commission the Union was seeking recognition of the
view that persons in acting positions should be paid the award
rate for those positions and that the duties of the employees
should be related to specific classifications. On the other
hand the Trust was seeking recognition of a discretion on its
part to remunerate acting appointees at rates under the award
rates for the relevant classifications, and to allot duties
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15. °
irrespective of award classifications. In this sense
therefore the Union was seeking better industrial conditions
and this had become apparent to the management of the Trust
certainly since the latter part of 1979. And in relation to
the matter involved therein the informant was not satisfied
with his conditions.
Once what the Union is seeking has a sufficient
specificity about it, and the employee's dissatisfaction is
within what is specified, it would seem that circumstance (d)
exists. In this case the claim can be seen to be specifically
directed to achieving award rates for acting appointees, and
the informant who was allotted duties including and extending
beyond those of an award classification was an acting
appointee not receiving the relevant award rate.
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16. °
The Informant as Staff Member and Union Member to May 1980
The informant joined the Metropolitan Transport
Trust in July 1978 in the capacity of senior clerk. His
classification was or later became "clerk special ability (b)
pay clerk" and his remuneration was at award rate grade two.
He was required by the Trust to join the relevant Union. The
informant became a member of the Metropolitan Transport Trust
sub branch of the M.O.A. and proxy committee man. The
informant was very active. Tt is to be noted that with the
exception of the General Manager every member of the staff of
the Trust including those who might be considered part of
Management were members of the sub-branch. Thus Mr.
Adkins,the Traffic Manager and Industrial Officer and later
Assistant General Manager and Mr. Byrne the Acting Secretary
and Mr. Ling the Engineer were members of the Union and
attended meetings.
There were a number of industrial issues of
importance. They included the union demand for provision of
duty statements to staff members, the payment of allowances
for performance of higher duties, wage rates comparative with
those of the public service, the allocation of duties of
employees to accord with award classifications. The Union
objected to bus drivers and members of another union being
appointed to clerical positions. It sought that vacancies and
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17.
new appointments be advertised. It claimed the right to have
union representatives present when union matters were
discussed between the General Manager and staff members. It
sought the adoption of particular qualifications for clerical
appointments. It was apprehensive concerning the effect of
the introduction of an in-house computer on security of
employment. On all these issues there was activity in which
the informant took a prominent part. They involved him in
delegations to the General Manager and in many personal
discussions with him. The provision of duty statements was a
recurring claim. The General Manager's attitude was generally
that he agreed on the desirability of supplying the statements
but there was great delay in implementing his agreement. The
informant did not receive his until April 1980. However,
nearly 'all had been provided by the end of May 1980. The
provision of duty statements was linked to the problems
concerning identification of classifications of staff members
and higher duties allowances. And those in turn were linked
with the problems of acting appointments and relieving
appointments during long leave of staff members and the
advertising of vacancies. In all these respects the General
Manager maintained that he must have flexibility to appoint
whom he chose and that to allocate duties within strictly
defined award classifications unduly restricted his freedom.
The Union did not concede any of those points and by April
1980 the sub-branch was becoming restive.
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Mera ee eS een epee eon Saree "
18.
In his meetings with the General Manager the
informant had made repeated representations about the policy
of management in a number of areas. He complained in strong
words that only one clerical junior had been recruited for
years and that it was this which led to the introduction of
bus drivers into the clerical staff. To this the General
Manager replied that the introduction of bus drivers was
traditional and provided incentive for the bus drivers. fhe
General Manager and the Union were in disagreement on this
issue. And they were in disagreement over most of the issues
mentioned above. Repeatedly the General Manager insisted on
the importance to him of the flexibility of existing practices
and discretions. It was to this that the Union attributed the
gap between the General Manager's expressions of intention to
make changes as sought by the Union and their implementation.
In pressing for these changes the informant was in the vocal
forefront.
In one other matter the informant took action which
caused the General Manager to send for him and upbraid him. A
debate having occurred between two sections of the bus
Grivers' union, the A.T.M.O.E.A., as to whether the General
Manager of the Trust should be the chairman of the controlling
Board of the Trust, the informant thought that the M.O.A.
should have a policy on the point and wrote to his union
expressing this view. At the interview The General Manager
was in a great rage and insisted that the matter was not one
re
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19.
which the Union or the staff ought to be considering. It may
be noted that the General Manager was under the impression
that the informant had taken a poll amongst staff members on
the question. This issue surfaced in April 1980 or a little
s
earlier.
In April, the committee of the sub branch of the
Union considered various of the issues mentioned above and
decided the time had come to consult the members in
extraordinary meeting. The informant moved that an
extraordinary meeting be held on 13 May 1980 to discuss
various matters, namely, members of other unions performing
duties of M.O.A., members' anxiety re introduction of an in
house computer, duty statements for all staff positions and
stability of working conditions. The motion was carried.
Later, on the initiative of the informant, the subject of
direct consultation by the Trust management with staff members
on M.O.A. policies without union representation was added.
The meeting was held and was well attended. Present were Mr.
Byrne the acting secretary and Mr. Adkins. One Mr. Pullen,
complained that on numerous occasions the Trust had not
adhered to its agreement to comply with the sub-branch's
request that all jobs be advertised in the Trust bulletin and
moved that the M.O.A. again approach the Trust on the mattera
This motion was carried. The informant moved that "firm
resolute action" on the part of the sub-branch was needed to
protect the future job opportunities of the members and moved
age ome me AS ee creer meter. SOR oer nepmtete ce nme —e om + ero at
pr
°
ert me pe
'
.
20.
that the M.O.A. would not accept members of another union
performing the duties of positions covered by the M.O.A.
award. He referred to a current issue concerning a relief for
one Mr. Crawford who wished to attend the United States for a
few months. He said that management was bargaining that if
the M.O.A. insisted on a M.O.A. member relieving him then Mr.
Crawford might not be granted leave. Mr. Ling, the engineer
of the Trust moved an amendment somewhat softening the terms
put forward by the informant. The amendment was carried. The
informant briefed the meeting on a recent discussion with the
General Manager on the matter of the effect on staff of
reintroduction of an in-house computer and in which the
General Manager had given an assurance that there would be no
redundancies but had given no information as to the jobs which
might be affected or to what extent. The informant moved that
the sub-branch form a Technological Change sub-committee to
monitor changes with particular reference to staff conditions,
employment and security. This was carried. The informant
moved that a sub-committee be formed to go the Minister for
Transport to discuss security of tenure in the Trust. Mr.
Adkins moved an amendment calling for a sub-branch committee
approach to the General Manager before any approach to the
Minister. The motion was carried as so amended.
The meeting received a written request from the
informant that it discuss the matter of the General Manager's
direct attempts to negotiate M.O.A. business through
~
"Leda on Ave mae we. es Anda Aca nego tare tiara -
ne eee oe
21. °
individual members without authorised union representation in
attendance. The informant said that the General Manager had
recently questioned individual officers from the accounts
section as to why they required duty statements when in fact
the sub branch executive had made numerous approaches to the
Trust on that matter. The meeting carried a resolution that a
letter be sent to the General Manager expressing the strong
objection of the sub-branch to the General Manager approaching
individual members or groups of members on M.O.A. matters and
requesting him to address all M.O.A. matters to the executive.
This last matter had reference to an interview to which the
General Manager had called some members to his office and
asked them why they needed their duty statements. He said
"really, what do you want them for?" The informant said "Look
Tom, we. have told you this all along that we need to base a
claim regarding duty statements and also people need to know
what they are required to do." It appears that it was the
custom for the General Manager to be addressed by all staff
members as "Tom". The General Manager appeared rather to
encourage this.
The sensitivity of the Trust to these various issues
is demonstrated in the remarks of Mr. Adkins at the hearing
pursuant to the notice under s.25 of the Act, which are set
out hereafter.
From the foregoing it is clear that the informant
— meee ee " ~ — — - oe _— —e -- em eee
AP ee em rt eh NR a se
22. ?
was most active in union affairs and in persuasion of members
'to take real action on outstanding issues and that there was
something of a climax in union activity at the time of and at
the meeting of 13 May. No doubt the General Manager was
apprised of the proceedings at the May meeting and of the
informant's part therein.
Having been a pay clerk from July 1978 until May
1980 and having received but one complaint to him from any
senior officer as to his conduct, it came as somewhat of a
surprise to be called to an interview with Mr. Adkins and Mr.
Hankin, another senior officer, on 23 May and told that there
were numerous complaints about his manner to and relationship
with the bus drivers to whom it was part of his duty to give
their wages each week. It appears that the General Manager
had instructed Mr. Adkins to interview the informant in the
presence of another senior officer and inform him that there
were complaints and that they were serious and that it was
imperative that he change his manner to the bus drivers.
Mr. Adkins opened the interview by saying that the
General Manager had instructed them to interview him about
complaints about his attitude with the drivers. He said also
that the informant was too forthright in union affairs. So
far as complaints were concerned it was mentioned that they
were made by Mr. Geason, the secretary of the A.T.M.O.E.A.
The informant said he knew of one complaznt which had been
23. '
made good between him and the driver concerned and asked who
were the people who had made other complaints and what they
were. Mr. Adkins had to confess he could not particularise.
But according to Mr. Adkins he told the informant that it
could be serious for him if his manner to the drivers did not
improve. And in relation to this matter and his forthright
union activity he was informed that the General Manager had
: bigger things in mind for him. Mr. Hankin pointed out that he
should calm himself down because nobody was giving him any
credit for getting benefits for them. Mr. Adkins descended
upon particulars as to possible promotion Saying that with the
movement to the eastern shore there would be positions created
over there and that the informant was being looked at very
seriously for a higher grade position at the Mornington depot.
The informant said "Frank, it seems a bit like the old buy off
trick to me" and Mr. Adkins said "Just calm yourself down and
you will get on all right". The informant expressed doubts as
to whether with his nature he could let things go which were
not right. He said that he felt that any position he got, he
would have to get on his merits.
Mr. Adkins made a written report to the General
Manager which omits any reference to that part of the
conversation in which it was put to the informant that he
should relax in his union conduct or 'that the General Manager
had him in mind for bigger things. Its terms seem much
stronger in reporting a threat of possible dismissal than the
Op a RF LL A A AT eR Ne - a —+~-—. -~
satdccehte Ia banat eatanianamtenee casarteunt ameateiiaeeemcmmeemantamennl
24, ?
substance of the conversation seems to indicate. It proceeds
on the basis that there were numerous complaints and that they
were all valid. It appears that none of them had been
investigated. So to proceed was most unfair, and indeed, I
think Mr. Adkins conceded as much. If Mr. Adkins had been
asked to prepare a report which might be useful in case of a
later move to dismiss the informant his report would have
fulfilled that objective.
ren
25.
The Move to Acting Senior Revenue Clerk
There is no suggestion of further complaints and
indeed during June and July there is little evidence of
activity of the informant or anyone else on union matters. At
the interview last mentioned the informant 'had been subjected
to a caning and had been offered a reward 1f he calmed down.
Apparently at the end of July he was regarded as sufficiently
calm to receive the reward. A position was advertised in the
following terms:~-
"ACTING SENIOR REVENUE CLERK -— Due to retirement
on 15 August the Trust is calling for applications
for the position of Acting Senior Revenue Clerk
for a period of 6 months. Salary will be
equivalent to Grade 6 M.0O.A. during this
probationary period.
Applications stating accounting qualifications and
experience should be submitted to the Acting
Secretary by 5 p.m., 30 July, 1980."
The informant applied for the position. His
application was accepted. It is important that the
appointment was for a period of six months albeit that it was
described as a probationary period. Mn the hasis of the
advertisement the successful applicant would anticipate
permanent appointment if his performance was satisfactory
during the probationary period. There was a duty statement
for the position. It said nothing on the subject of devising
a system of recording statistics on various aspects of
revenue. However, on his being appointed, the General Manager
ee
pee ee teres —— we ee ee na tence ented
26.
stated that he desired the informant to undertake that task.
The informant agreed to do this. It waS apparent to the
informant that the grade 6 salary advertised for the position
was one grade below the award rate. The General Manager had
downgraded the rate on his assessment of the work value. The
informant indicated that he would accept the grade six rating
until he had proved himself in the position after which he
would want it reviewed. Thus the informant was given the
position at a rate of pay below the award rate and a task not
on the duty statement was added to the duties. This was a
situation exemplifying the kind of flexibility which the
General Manager had been anxious to preserve against those
attempting to achieve duty allocations strictly in line with
award classifications. And it was being implemented with
respect' to the very man who had fought so hard against that
kind of flexibility.
After the informant felt that he had mastered the
work involved in his new appointment as described in the duty
statement, he asked Mr. Byrne to take up the matter of
regrading the salary to the award rate. Mr. Byrne advised him
that the grading would not be reconsidered. This occurred
more than once. In the end Mr. Byrne told the informant that
the General Manager had the right to assess the rate for the
position. The informant made it clear that he did not accept
this. He took it up with the Union.
ro
27.
The statistical task was described as devising a
schedule or plan of presentation in convenient form in respect
of certain information to be collected by the informant
concerning revenue past and current, in terms of weekly run
downs on passengers, revenue by sectional fares on various
routes, charter work, transfer passes, pensioner concessions,
and other aspects of the services provided' by the defendant.
In this matter the informant was responsible to the Secretary,
Mr. Byrne. The matter was explained to Mr. Byrne. The
informant was instructed to take up with Mr. Byrne and the
planning officer Mr. Gregg the format in which the statistics
should be presented and the nature and extent of information
required. As the General Manager agreed, the informant had to
devise the new system of presenting and collecting the
information considered relevant. What was required was
described only in very general terms. Obviously some
imagination had to be applied to decide what information was
to be collected and how it was to be arranged. Consultation
on these matters between the informant and Mr. Byrne was
essential.
The statistical task was never completed. The
informant had a very difficult task to learn and perform the
work of his new position. In addition he was to control
certain staff members who felt another officer should have
been appointed. He certainly applied himself in the job with
energy and enthusiasm and succeeded. It was inevitably weeks
nadie nent aacat dca tains aindedadammeaeatameeentemmtatenemnenn hte emmmenemmaememned an eo me oe eee — a me ae a
28.
before he took up the matter of the statistics with Mr. Byrne.
He said and I believe him, that he made several attempts to
get Mr. Byrne to arrange a meeting with Mr. Gregg to determine
the content and format of the information to be collected and
presented. It seems that the meeting did not take place until
about mid-November or even later. From then on the informant
commenced the work of planning and collecting the information.
The task was not promptly completed and Mr. Byrne spoke to the
informant on more than one occasion urging early completion.
The informant was willing enough to do this but his available
time to do so in office hours was limited and he was unwilling
to work overtime because the Trust would not pay for overtime
worked. The informant showed Mr. Byrne drafts of the format
and certain of the collected information and on 21 December
told him he would have the work completed in a week.
So far as time for completion is concerned, the
General Manager's letter of 22 December indicated it was his
view that completion of the task might have taken up to about
the third week of November. The informant never completed the
task because he was dismissed on 23 December 1980. On 22
December 1980 he was informed by letter signed by the General
Manager and delivered to him by Mr. Byrne that as from Monday
5 January he was to resume his position as pay clerk. The
letter was in the following terms:~
29. °
"ACTING SENIOR REVENUE CLERK — HOBART
I refer to your appointment to the above position
on a temporary basis from 17 August, 1980.
The Municipal Officers' Association has lodged a
dispute over the decision of the Trust to
reclassify the Senior Revenue Clerk - Hobart, from
Grade 7 to Grade 6, before advertising last
August. I understand the date of hearing of the
dispute before the Conciliation and Arbitration
Commission has been postponed from 19 December to
a date to be fixed early in January, 1981
Because there was no logical successor to the
previous Senior Revenue Clerk you were appointed
to act in the position for a trial period. It is
now my 1untention to appoint another officer to act
as Senior Revenue Clerk for a period of three
months in order to determine, by performance, the
most suitable person for the position. I hope
that a permanent appointment can be made by May,
1981.
As from Monday 5 January, 1981 you will resume
your position as Pay Clerk. In the meantime, you
should complete the work I requested of you some
months ago and submit it to the Secretary. I
expected this work to have been completed at least
four weeks ago."
30. °
Demotion and Dismissal - The Reasons Therefor
The events of 23 December 1980 were a sequel to
those of 22 December and I think that in the circumstances of
this case identification of the real reasons for demotion on
22 December assist in identifying the real reasons for the
dismissal on the 23 December. The General Manager asserted
that the conduct of the informant in relation to the matter of
the statistics was the only reason for the demotion. I do not
believe this.' .1 am not satisfied that it was an operative
reason at all. The contents of the letter of 22 December are
not consistent with the General Manager's assertion. The
letter bears the marks of careful preparation by a person who
had decided to remove the informant from his position and was
seeking to justify doing so. The draftsman has gone to the
trouble in the first paragraph to mis-state the terms of the
informant's appointment as acting senior revenue clerk. 'The
appointment was for a fixed term. If the letter had commenced
with an acknowledgement that the appointment was for a fixed
term then, if the informant was to be demoted from 5 January,
some reason would have had to be shown, some default on the
part of the informant, justifying the cutting short of his
fixed term. Had the situation been that the General Manager
was justified in having "perceived" that the informant just
"would not" perform the work of collecting the statistics,
there would have been a good reason for cutting short the
———
"
31. 2
fixed term. The obvious course from every possible
consideration would have been to state it. But if that notion
were a fiction then there was no reason which could be alleged
as a good reason for cutting short a fixed term appointment.
In the third paragraph the General Manager indicates
that the real reason for the demotion is a change of mind. He
says - "It is now my intention to appoint another officer to
act as Senior Revenue Clerk for a period of three months in
order to determine, by performance, the most suitable person
for the position." There is no suggestion that the informant
has been defiant; has wilfully refused to carry out the task
which he had undertaken to perform. The last sentence in that
paragraph indicates that the informant himself may perhaps
look forward to the permanent appointment which may be made in
May 1981.
It is not as though the General Manager did not have
the matter of the statistics in his mind when he wrote the
letter. The most critical comment that he makes in this
respect is that he expected the work to be completed at least
four weeks before. This is a far cry from a state of affairs
in which he is removing the informant for gross default and
indeed for actual refusal to perform the work, notwithstanding
the setting of numerous deadlines.
It is quite significant to my mind that in the
Seal neelCantaal tte tant dhe tometeanelnaatendnenmenanmecnaeneeennennaenene
32.
second paragraph in the letter the General Manager goes to the
trouble of referring to the section 25 proceedings. With
respect to the matter in hand these were quite irrelevant.
The General Manager said that he inserted this paragraph in
order to let the informant know that he knew of the
proceedings. But by 22 December he could hardly have doubted
that the informant was well apprised of that. The presence of
the second paragraph indicates that in the mind of the General
Manager the demotion and the s.25 proceedings were related to
each other.
The terms of this letter appear to me to be in
direct conflict with the General Manager's statement "So far
as the reversion goes my one hundred per cent concern was that
he had not produced that revenue information." or as elsewhere
stated by the General Manager that he "perceived" that the
informant "Would not" produce the statistics required. The
General Manager's explanation of the letter is just
unacceptable. It appeared in the following passage:-
"Why on earth did you not write to him and say,
'Dear Mr. Childs, this is over the odds.
You have known for months and months that I
regard those statistics as vitally
important. I understand you have been given
several deadlines aiready. You have failed
in every one of them and therefore I must
take you out of that position and send you
back to be a pay clerk'. That would have
been the true position, would not it?---That
is correct, sir.
Why did you not tell him the truth?---Well, it is
not a matter of telling the truth.
i
Fike eS vet AR ee mare eae tne tent tae tmnt ele Mar eee ete eee a eet nat ents dy me ehanten tetas te
i
a:
.
33.
Yes, it is?--~It is, but ---
It is. He is entitled. The man 1s entitled to
the truth? --- Correct. The point is, that
in the context in which we work he had been
told on a number of occasions by the
financial controller Lo get those
statistics. He had been told it was the day
that he was appointed. In the context of
that and the events that transpired, the
operative thing is; that although you are
going to be reverted, because you know -
this is my thinking of it - you know that
you have not produced that information, but
although you are going to be reverted from 5
January I still want you to bring up to date
those statistics which you should have done
' auring that time."
There are various circumstances which point to a
conclusion that the delay in relation to the statistics was
not the reason for the demotion of the informant on the 22
December. Although according to the General Manager the
production of the statistics had been a vital requirement for
Management ever since he had been made General Manager in
September 1979, he had never previously given instructions to
anybody to produce them. It is relevant also that although
the General Manager said that during the period between August
1980 and 22 December he had communicated through Mr. Byrne,
Many deadlines for the production of the statistics,
indicating to Mr. Byrne that such deadlines should be conveyed
to the informant, no deadline had ever been communicated to
the informant. The General Manager Said that he had no doubt
that Mr. Byrne had communicated each one. There is no
indication as to what the sanction was to be for failure to
meet the deadlines. No deadline is mentioned in the letter of
Pref re en pre Re cnet eR RR rn ne re ae eee ee tte ee tte eee ce nen ~o~ we
I EE OTTER EE gh RETR Se on ten ean etre te a ety A
34.
22 December. It would seem on the evidence that Mr. Byrne was
a competent officer and if there had been deadlines the
probability is that they would have been communicated to the
informant. Again the General Manager said that although he
Saw the informant from time to time in the corridor he did not
ever speak to him about the statistics because he was leaving
it to Mr. Byrne as head of the section to attend to the
matter. But if the statistics were so vital it is strange
that the General Manager, being, on all other counts, on good
terms, and even the customary christian name terms with the
informant, never on any occasion asked the informant how he
was progressing with the statistics. And there is no
suggestion anywhere that the General Manager ever put pressure
upon Mr. Byrne himself as head of the section to ensure that
the informant produce the statistics. I do not believe there
were any deadlines.
The notion that the informant would decide to defy
the General Manager in a matter regarded by him as vital was
of course quite absurd. From the effort put into the job by
the informant it is clear that he was doing everything he
could to ensure that at the end of the probationary period it
would be clear to all concerned and especially the General
Manager that he was a most efficient senior revenue clerk and
fit for permanent appointment to that position.
The letter of 22 December was delivered by Mr. Byrne
35.
to the informant. They went through it together. Mr. Byrne
said to the informant "You have got that case going through
which Tom does not go all that much on". He also said, "Oh
yes, we have no complaints regarding your work, but that stuff
that Tom asked you to get out has not been forthcoming.".
They then discussed the reasons for that as referred to above,
and the fact that the day before the informant had said it
would be ready in a week. There may have been room for
criticism of the informant as to the delay in producing the
Statistical information, but in the light of the foregoing I
do not accept the evidence of the General Manager that the one
and only reason for 'termination of the informant's occupancy
of the position of acting senior revenue clerk was that he had
failed or refused to perform the task of collecting and
presenting the statistical information.
In the search for the real reason it is hardly to be
found in any considerations of managerial advantage. There
was no real point in removing the informant, in breach of the
terms of his appointment, a mere six weeks or thereabouts
before it would have expired according to its terms. The
informant, admittedly, was performing well in the position in
all respects save the production of the statistics and to send
him back to the office of pay clerk was to place him in close
contact with the drivers again. , And to terminate his
appointment contrary to its terms was certain to rouse
feelings of resentment. The General Manager was well aware
36.
that the informant would "sound off" on the matter of his
demotion.
I think the real reason for the demotion is to be
found in the informant's insistence on his award entitlement.
The appointment was an acting one, it was at a rate of pay
according to the General Manager's opinion of work value
rather than the award rate, and the tasks allotted were in
excess of those specified in the relevant duty statement. It
implemented the "flexibility" which the General Manager had
been claiming throughout the controversies of the previous
twelve months. It would be satisfactory to management that
the informant accepted such terms. But he did not. He failed
to respond to his promotion on the terms offered, remaining
his difficult self, not only asserting his rights under the
award but going to the length of getting the Union to take the
Trust before the Commission where the practice of the General
Manager's policy of "flexibility" would be called in question.
In such circumstances the General Manager might well
feel disappointed and frustrated. The informant's action was
a direct challenge to his management style.
The General Manager had a staff structure which was
out of line with the fourteen year old classifications in the
award. Although this might have been inconvenient in some
respects, it did enable the General Manager to allot duties
nn ne er _ —- a _—— — ee
FN OE a A eH ~~ eee wees ——, ~
37.
and fix rates of pay on an individual basis giving him great
flexibility and authority. The advantages of this
"flexibility" were greatly valued by the General Manager. It
was seen aS helpful to him at a critical period in the Trust's
affairs, and generally in his efforts to reorganize it, after
a period in which it is suggested that there had been a run
down in efficiency. In these circumstaces it would not be
surprising that thought was given by management as to what
might be done to preserve the Trust's flexibility in
management and organization of the staff. There was little to
be done other than to put the case to the Commission as Mr.
Adkins did in fact put it as hereafter set forth. In the
light of my assessment of the General Manager's methods of
thought it would not be surprising that he would think that
some ofthe signficance might be taken out of the case if the
informant were no longer entitled to the award rate in
question and was in a different position where he was
receiving the award rate.
It is my view therefore, not only as a result of the
application of the terms of s.5(4) of the Act, but also on the
probabilities, that in deciding to demote the informant the
General Manager waS actuated by frustration and annoyance that
the informant was entitled to benefits under the award, that
he proposed to appear aS a witness to give evidence in the
proceeding initiated by the s.25 notice, and that being a
member of the M.O.A. which was seeking better industrial
38.
conditions in the sense mentioned above, he was dissatisfied
with his own.
I turn now to the dismissal of 23 December 1980. As
anticipated by the General Manager the informant did "sound
off" concerning his demotion. It so happened that at lunch
time on 23 December one Ewing sat with him as he was
concluding his meal. Ewing was a person with university
qualifications who did part time work for the Trust and was a
friend of the, planning officer and an acquaintance of Mr.
Byrne. The 'informant complained to Mr. Ewing about his
demotion, spoke of management as providing jobs for the boys,
referred to the appointment of the planning officer in terms
suggesting that it came about as a reward for services
rendered by him in circumstances of some breach of confidence
in another capacity. He criticised the payment by the Trust of
the air fare for that officer and his wife on their honeymoon
in Perth. He referred to Mr. Byrne as the General Manager's
"hatchetman". Mr. Ewing said that the informant applied the
expression "corrupt". Mr. Ewing passed the contents of this
conversation to Mr. Byrne who apprised the General Manager who
apprised the planning officer. The planning officer
confronted the informant who conceded that he had in substance
said of the planning officer what was alleged. It appeared
that the honeymoon was in Perth where the planning officer
went on a mission for the Trust, the Trust paying his fare and
for some accommodation but not for his wife's fare. The
pret me er rome a ane een -- -_—
ee eae STOO ORES eee Dag
Te
39. >
informant offered an apology and also to apologise to the
General Manager. This- was conveyed to the General Manager.
The latter telephoned Mr. Ewing who confirmed what he had told
Mr. Byrne. The General Manager decided not to give the
informant an opportunity to explain or withdraw or apologise.
He held a meeting with Mr. Adkins, Mr. Byrne and Mr. Ling, the
Engineer, and they concurred in the General Manager's decision
to dismiss the informant without further enquiry. A letter
signed by the General Manager dismissing the informant as from
the close of business on 23 December was delivered to him late
in the afternoon that day.
The informant sought an interview with the General
Manager but none was granted. He asked Mr. Adkins the reason
for his dismissal and Mr. Adkins said "ring me tomorrow". On
the morrow Mr. Adkins said that he was dismissed because he
had developed an undesirable personality over the past twelve
months. The informant protested that in view of his promotion
and being put in charge of five people during that time he
could not have had such a bad personality and there must be
something else. Mr. Adkins replied "Ah well, that is what it
is.".
The General Manager explained the lack of stated
reasons for the dismissal that he did not wish to recite the
allegations of the informant. This may be understood
especially in view of the General Manager's acknowledgement
et nen me ee ne cee et pe eae —, -- ewe a
40.
that there was an element of twisted truth in them. Enquiry
might have revealed that with a suitable retraction and
apology the making of the allegations might have been seen in
a slightly less serious light, but nevertheless, had the
General Manager stated to the court that the making of the
allegations was his reason and his only reason, that could
well have been understood. A dismissal proceeding by
reference to such a reason would not offend the provisions of
s.5 of the Act.
But the General Manager did not say that the making
of these statements was the only reason actuating him in
dismissing the informant. He said "taking all circumstances
into consideration but particularly in reference to those
allegations and also to his poor performance in that job, as
far as. I was concerned, that I would terminate his
employment." When asked in cross examination what reason he
gave to Messrs Adkins, Byrne and Ling for proposing to dismiss
the informant he said "The reasons were that I was fed up with
the performance of his work and they had background
information of what he was like anyhow, so we did not have to
go into all that and we went into the allegations of
corruption that he had made. I said that I was fed up, or
something to that effect." Again in examination in chief
being asked as to the allegations, he said -
"...I related the events with regard to the »
allegations that were made. There was
pre pe ae eet
41. >
discussion about Mr. Childs, bearing in mind
that my departmental heads knew what Mr.
Childs was like, that we do not have to sit
down and have a great case history on Mr.
Childs. I said that that was my intention,
did anybody have any objections; anybody
want to raise anything, and they ail
wholeheartedly agreed with my decision."
and in cross examination there is the following passage,
"t was fed up with him. He was not
performing his job and then when he is
reverted to his position he decides that he
is going to make these sorts of allegations
as a public officer I am very, but
reasonably, sensitive to such allegations
that affect anybody in my organization."
oe
It is worth noting that on each occasion when the
General Manager spoke of the effect upon his mind of the
making of the allegations he always referred to his concern
that they had reflected on two members of his staff. He never
mentioned any concern about their reference to himself.
In determining whether the defendant has carried the
onus of proof that in dismissing the informant it was not
actuated by any of the circumstances specified in s.5(1) of
the Act, I have before me the assertion of the General Manager
to that effect and his assertion that he was actuated not only
by the allegations made by the informant but also, all the
circumstances including his work performance. It is clear
that the General Manager relied on some circumstance or
circumstances outside the making of the allegations. I
consider these factors in the light of all the surrounding
Set ne mn gto eee emma aerate Sm
42.
circumstances.
On 22 December the General Manager had decided to
demote the informant back to his grade 2 position. He knew
that the informant was dissatisfied with the absence of
reasons satisfactory to him for the demotion and was
dissatisfied with the grade 2 award rate for the pay clerk
position. Although the informant had not been so busy as a
union activist since the talk to him in May, his demotion and
the circumstances thereof were quite likely to result in a
resurgence of that kind of activity. He knew that when in
action the informant was fearless and determined. Already he
was attacking the "acting" designation of positions. And it
was not a small matter that he was still pursuing the
proceedings under s.25 of the Act.
For reasons discussed elsewhere the General
Manager's assertion that the alleged work failure had anything
to do with the demotion is not to be accepted. The question
therefore arises whether his assertion is any more acceptable
when he excludes from the matters actuating him in the
dismissal, the unformant's membership of the Union, his
entitlement to benefits under the award, his proposal to give
evidence and the union claim for better conditions and the
informant's dissatisfaction with his own. The answer to this
is in the negative. As to the dismissal it is a question
whether on the whole of the evidence the proper inference, as
¥
43.
on a balance of probabilities, is that circumstances (a), (b),
(c), or (d) set out at. the commencement of these reasons for
judgment, or any of them, did not actuate the defendant in
deciding to carry out that dismissal. I am not satisfied that
this inference arises from the evidence. The probabilities
point, I think, in the other direction.
There is an apparent but not real incongruity in the
dismissal of an employee for the reason that he is a member of
an organization when it was a term of his employment that he
should be such a member. 'The Trust policy contemplates that
membership of the Union will normally be quite acceptable to
the Trust. But it is consistent with this that the quality of
being a member of a Union in the case of a particular employee
may become unacceptable to the Trust. This will occur when a
member exercises his rights as a member in a way which is
'objectionable to the Trust, for instance by promoting
burdensome claims or creating restlessness within the
establishment. It is because of his capacity to stir up
trouble and the continuing threat of more trouble while he is
an employee and a member of the Union which may make it
undesirable in the eyes of the employer to continue to have
him on the staff. It was said by Mason J. in General Motors
Holden v. Bowling (1976) 12 A.L.R. 605 at p.617:-
"Once it is said that the appellant dismissed him
because he was deliberatly disrupting production
and was setting a bad example it is not easy to
say without more that this had nothing to do with
Fete na ot eta Ne reer ED te rn en a ee a me an: en me ee ee ee
were
Fn gare Pe nn mT Rt generat cee Son men me pe
44,
his being a shop steward. Although the activities
in question did not fall within his
responsibilities as a shop steward his office gave
him a status in the workforce and a capacity to
lead or influence other employees, a circumstance
of which the appellant could not have been
unaware. It would be mere surmise or speculation,
unsupported by evidence, to suppose that the
appellant's management, if concerned as to the bad
example he was setting, divorced that
consideration from the circumstance that he was a
shop steward."
These comments were made in relation to a shop steward. The
same considerations are applicable to a dismissal of a mere
member of a Union if he is using or is likely to use his
capacity as a member to lead or influence other employees in
what are regarded as unacceptable causes. In this case the
capacity of the informant to do this was not to be doubted.
As was said of the shop steward in Cuevas v. Freeman Motors
(1975) 25 F.L.R. 67 at p. 78 in a passage which is just as
applicable to a mere member as to a shop steward, as follows:-
"There are, of course, active shop stewards and
passive shop stewards. It is apparent that an
active shop steward may be responsible for
recurring incidents irritating to management and
creating in the mind of the employer a desire to
be rid of the employee because although otherwise
he may be a satisfactory workman, nevertheless as
a shop steward his capacity for stirring up what
the employer regards as trouble is to the employer
quite intolerable.
If, in such a case the employer dismisses the
employee not because of any particular item of
conduct but because of his propensity as such to
stir up such trouble then, in our opinion, the
dismissal must be characterised as a dismissal
arising by reason of the circumstance that the
employee is a shop steward."
og a ee ee cn oe a ete re a sent eee ne ane ate rere te fan
< 45.
The evidence of the General Manager denying that
the defendant was activated by the circumstance that the
informant was a member of the M.O.A. or was entitled to the
benefit of the award, or proposed to appear as a witness in
proceedings under the Act 1s evidence upon which I am unable
to rely. That of Mr. Adkins was also unhelpful. In giving his
evidence his main anxiety seemed to be to avoid saying
anything. that might possibly assist the informant. AS a
result his evidence abounded with passages in which after
giving some answer he was persuaded after a few questions that
the contrary was the truch. But the relevant mind was that of
the General Manager. It was his decision in which Mr. Adkins
Mr. Byrne and Mr. Ling were concerned. It was his initiative
for whatever reasons were good to him that was accepted by the
others.°* Also, notwithstanding that he was a member of
Management who voted to dismiss the informant he was
insensitive to any question of propriety or even of taste in
taking four proxy votes to a Union meeting and thus delivering
five votes in favour of the Union refraining from bringing
these proceedings concerning that dismissal.
The matters mentioned above which must have
presented themselves to the General Manager, as factors which
rendered the demotion of the informant good for management and
the Trust, were also relevant when the dismissal was decided
upon. The prospect of having the informant not only an active
member of the Union but one with a real sense of grievance
nee ren SR ME HOT RRR, 8 eR Te ERR ER RD EGE S Sm NEN ONORE = ne SE RRR en canner ete ne Tr ee ee rr
aan pe ee whe
pedteten ae Ya ee we - ee
oe:
46,
could not then have escaped notice by management. But there
were no reasons for dismissal on 22 December. However, that
changed on 23 December. The possibility that the General
Manager welcomed the events of 23 December as providing an
opportunity to get rid of the informant as a troublesome union
member insisting on the strict observance of the award and
likely to be an irritant in the future is a strong one. There
was a serious prospect that so long as the informant was on
the staff and influential in the Union he would be active in
seeking change in various aspects of the Trust's management
practices, and even the issue of the General Manager's double
positions of General Manager and Chairman of the Board.
This matter had already been canvassed by the
informant in the Union and the General Manager had shown much
sensitivity thereto. He would not relish the presence on the
staff of a strong unionist working to change that situation.
Added to that the s.25 proceeding already taken by the
informant was obviously of serious concern to the General
Manager. He denied this but it is clear from the statements
made at the hearing of the s.25 proceeding both by Mr. Adkins
and Mr. Byrne that it was regarded by them as no light matter.
Mr. Adkins said that the Trust management —
MR. ADKINS: Mr. Commissioner, the trust
Management is rather perturbed by the fact
that the Municipal Officers' Association saw
fit to bring a matter of this nature before
the Commission at this point of time. As
you are aware, sir, commercial and
OP rent ie ay erin ae re ern mr cee te ee =< - a ee en rns eer 8 ee
ee tee te,
47.
industrial interests in Australia have been
enforced to apply modern techniques to their
organizations in order to compete
satisfactorily with industries of a like
nature in other countries. This updating
process is now commencing to flow through
the public sector of Australia.
Over the past decade the trust is now facing
an ever-increasing annual deficit, and to
remain a viable organization it must
introduce, where practical, any technical
equipment and methods to its operations
which will assist in containing its deficit.
The government is currently pre-allocating
ministerial responsibility resulting in some
government department instrumentalities
being amalgamated. To date, the trust has
been able to retain its independence.
Approximately 18 months ago cabinet
appointed Mr. T. Maclurkin as general
manager of the trust and one of his first
duties was to review and update where
necessary, the technical and administrative
procedures. By introducing modern methods
into the system, workloads of many of the
Classified salary positions had been
markedly changed and at this point I would
draw to your attention that the
classification list in the present award has
been in operation since 5 February 1967,
nearly 14 years.
Further, it has become the practice, when a
'classified position came vacant, to appoint
an officer in an acting capacity and pay
higher duties as permitted under clause 22
of the award in order to ascertain whether
the officer concerned has the capacity to
carry out all the duties required by
management.
This dispute centres around two important
facets of industrial relations, the first
relates to whether management is permitted
to aply the term acting to a classified
position on a temporary basis and depending
on the degree of responsibility required of
the appointee, a salary set at a lower range
ee RAEN Ao eermeRam am eNom oe mene
o
oo 48.
to that of the permanent position and
provided for under clause 22 of the MTT
sub-branch MOA award as amended C.No.185 of
1979.
In a small organization many of the
classifications are formulated not only on
the work value study but the aptitude of a
present occupant is also taken into account.
The difficulty then arises that when the
position becomes vacant an assessment of the
actual value of the duties must be taken in
comparison with those of other award
classifications. In summing up, management,
in aJl good faith, is upgrading the standard
of its administrative staff. Many officers
have already been upgraded and at the same'
time is adjusting Salaries, where
appropriate, for services rendered.
However, if it is ruled that the trust must
adhere to the payment of salaries according
to the classified list to personnel
' appointed in a temporary capacity with
limited qualifications experience, the trust
will have to make other arrangements when
filling senior positions.
The following passage took place between Commissioner McLagen
and Mr. Byrne:-
THE COMMISSIONER: Yes. what appears to me to be a
simple case of saying, was the man paid for
his right position or was he not according
to the terms of the award, now becomes a
very complicated case because both of you
are saying, well, maybe the classifications
of the award do not suit the needs of the
trust. Maybe we should have got together
and discussed it and I think maybe that is
what should happen eventually, but anyway,
you continue.
MR. BYRNE: Well, the point I was making was that
~- and I take your point that management and
the union should get together - and just to
rebut one thing in relation to this, Mr.
Hand did read out his letter that he wrote
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emit had AS Ascenso neti ae ~ meena ee attain tnt - =.
y
49.
to the trust and he said that was never
answered. Granted it was never answered by
letter but a few days after that Mr. Hand
spoke to the Chairman and received a full
answer. But we did not expect that we would
have to appear here. We expected that
eventually a board of reference would
eventuate, but suddenly we had a dispute, a
registered dispute."
Mr. Adkins and Mr. Byrne were the two most senior
officers of the Trust next to the General Manager. What they
said to the commissioner was not "ad libbing" as the General
Manager had said. They had prepared their statements. The
General Manager said he was surprised at what Mr. Adkins and
Mr. Byrne had said, but it is impossible to doubt that the
Trust, including the General Manager had to say the least, a
real reluctance to an official discussion in the Commission
concerning its practice of downgrading or reclassifying
positions according to wage and other specifications laid down
by the Trust and using acting appointments with a view to
avoiding paying award rates applicable to various
classifications.
The reason for such reluctance appear from all that
Mr. Adkins and Mr. Byrne said and also from the defence of
these practices expressed in evidence in this Court. Although
the General Manager indicated that when he read the remarks of
Mr. Adkins and Mr. Byrne he was very surprised, there is no
suggestion that at any time he had asked them how they came to
make them. I would attribute his alleged surprise to his
unwillingness to admit that the s.25 proceedings caused him
ee ERLE A gE RTA ttt ee at Etat a pa ere mi, Aen ON Se wae en ee em cen ae ee
yu
50.
the slightest concern. And there is the word of Mr. Adkins
that the General Manager was concerned that the informant had
proceeded by way of s.25 of the Act and not by an approach to
a board of reference.
It is my view that to the General Manager it would
have seemed a good thing, so far as the s.25 proceedings were
concerned, that the informant should have ceased to be an
employee of the Trust. It might well have seemed to the
General Manager that just as the s.25 proceeding would lose
some of its sting if the informant were back in his oid
position at an award rate so it might be less significant if
the informant were no longer an employee.
It is unfortunate that I have been unable to rely on
the evidence of the General Manager in a number of matters. He
gave the impression in the witness box of one slightly aloof.
Sometimes his manner verged on the patronising and at other
times there was an attitude of unreal subservience. He was
evasive in many answers. It may be that he had persuaded
himself of the validity of his assertions even in the face of
objective difficulties. But essentially his demeanour was
unconvincing.
I found the informant a truthful witness,
essentially straight forward, facing every question. I think
he exaggerated the influence which ineffic1ent machinery
a EA OT PTE RY CRN OR me oe nye oe en --
played in the delay in producing the statistics, and I think
he probably did use the word "corrupt".
qualifications I accept his evidence as a true account of the
51.
Matters to which it relates.
In the end I am unable to find that the defendant
has established as on a balance of probabilities that:-
(a)
(b)
in altering the position of the informant
to his prejudice on 22 December 1980; or
in dismissing the informant on 23 December
1980,
the defendant was not actuated by the
circumstance that:
(i)
(ii)
(iii)
the informant was entitled to the
benefit of an award;
that the informant proposed to appear
and give evidence in a proceeding
under the Act; or
that, being a member of an
organization which was seeking better
industrial conditions the informant
was dissatisfied with his conditions,
and
Subject to these
- &a--
re
Sn ter meri mee
52.
fc) in dismissing the informant on 23 December
1980 the defendant was not actuated by the
circumstance that the informant was a member
of the Municiapal Officers' Association.
Accordingly, the defendant must be convicted on each
of these charges and in respect of each is fined $400. The
informant has announced that he does not seek an order for
reinstatement. However I reserve liberty to apply in respect
of any other relief to which the applicant may be entitled.
TRAE Nene men emer eee - - - -- eee ee en eee
Kove rte