Lewis Construction Company Pty Ltd v. Martin, N. & Ors [1986] FCA 635
Federal Court of Australia
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CATCHWORDS
INDUSTRIAL LAW - whether employees dismissed because of membership
of an organization - dismissals seen as only means of countering
conduct of organization - whether membership of organization a
'substantial and operative factor' in decision to dismiss -
relevance of initial refusal of offers of re-employment in
exercise of discretion regarding reinstatement of dismissed
employees.
Conciliation and Arbitration Act 1904 s.5
General Motors Holden Pty Ltd v Bowling (1976) 51 ALJR 235
Heidt v Chrysler Australia Ltd (1976) 26 FLR 257
Lewis Construction Company Pty 'Ltd v Norman Martin
No. V21 of 1986
Leighton Contractors Pty Ltd v David Kerrin
No. V28 of 1986
Prentice Builders Ltd v Steven Keith Bradford
No. V35 of 1986
Hooker Cockram Limited v Robert Hugh Myles
No. V36 of 1986
Steven Keith Bradford v Prentice Builders Ltd
No. V41 of 1986
Robert Hugh Myles v Hooker Cockram Limited
No. V42 of 1986
Woodward, Jenkinson and Gray JJ
Melbourne
24 December 1986
IN THE FEDERAL COURT OF AUSTRALIA Nos. V21 of 1986
)
VICTORIA DISTRICT REGISTRY ) V28 of 1986
INDUSTRIAL DIVISION ) V35 of 1986
V36 of 1986
V4l of 1986
V42 of 1986
ON APPEAL FROM THE FEDERAL COURT OF AUSTRALIA
BETWEEN: LEWIS CONSTRUCTION
COMPANY PTY LTD
Appellant
AND: NORMAN MARTIN
Respondent
BETWEEN: LEIGHTON CONTRACTORS
PTY LTD
Appellant
AND: DAVID KERRIN
Respondent
BETWEEN: PRENTICE BUILDERS LTD
Appellant
AND: STEVEN KEITH BRADFORD
Respondent
BETWEEN: HOOKER COCKRAM LIMITED
Appellant
AND: ROBERT HUGH MYLES
Respondent
ow
, i
BETWEEN: STEVEN KEITH BRADFORD
Appellant
AND: PRENTICE BUILDERS LTD
Respondent 2
BETWEEN: ROBERT HUGH MYLES
Appellant
AND: HOOKER COCKRAM LIMITED
Respondent
MINUTES OF ORDER
JUDGES: Woodward, Jenkinson and Gray JJ.
PLACE: Melbourne
DATE: 24 December 1986
THE COURT ORDERS THAT:
In each case, the appeal be dismissed.
(Note: Settlement and entry of orders is dealt with in 0.36
the Federal Court Rules.)
of
IN THE FEDERAL COURT OF AUSTRALIA
VICTORIA DISTRICT REGISTRY
INDUSTRIAL DIVISTON
Nos. V21 of 1986
V28 of 1986
V35 of 1986
V36 of 1986
V41 of 1986
V42 of 1986
ON APPEAL FROM THE FEDERAL COURT OF AUSTRALTA
BETWEEN
AND:
LEWIS CONSTRUCTION
COMPANY PTY LTD
Appellant
NORMAN MARTIN
BETWEEN :
BETWEEN:
Respondent
LETGHTON CONTRACTORS
PTY LTD
Appellant
DAVID KERRIN
Respondent
PRENTICE BUILDERS LTD
Appellant
STEVEN KEITH BRADFORD
Respondent
HOOKER COCKRAM LIMITED
Appellant
ROBERT HUGH MYLES
Respondent
BETWEEN: STEVEN KEITH BRADFORD
Appellant
AND: PRENTICE BUILDERS LTD
Respondent
BETWEEN: ROBERT HUGH MYLES
Appellant
AND: HOOKER COCKRAM LIMITED
Respondent
JUDGES: Woodward, Jenkinson and Gray JJ.
PLACE: Melbourne
DATE: 24 December 1986
REASONS FOR JUDGMENT
WOODWARD J
In these matters I have had the advantage of reading the
draft reasons for judgment of Gray J. I agree with him that each
appeal should be dismissed, for the reasons which he has stated.
I certify that this and the preceding
page is a true and accurate copy of
the Reasons for Judgment herein of
The Hon Mr Justice Woodward
pn.
Associate
Dated: 24 December 1986
IN THE FEDERAL COURT OF AUSTRALIA ) Nos. V21 of 1986
VICTORIA DISTRICT REGISTRY ) V28 of 1986
INDUSTRIAL DIVISTON ) V35 of 1986
V36 of 1996
V4l of 1986
V42 of 1986 =
ON APPEAL FROM THE FEDERAL COURT OF AUSTRALIA
BETWEEN: LEWIS CONSTRUCTION
COMPANY PTY. LTD.
Appellant
E
NORMAN MARTIN
Respondent
BETWEEN
LEIGHTON CONTRACTORS PTY.
LTD.
Appellant
E
DAVID KERRIN
Respondent
BETWEEN: PRENTICE BUILDERS LTD.
Appellant
E
STEVEN KEITH BRADFORD
Respondent
BETWEEN: HOOKER COCKRAM LIMITED
Appellant
AND: ROBERT HUGH MYLES
Respondent
BETWEEN: STEVEN KEITH BRADFORD
Appellant
AND: PRENTICE BUILDERS LTD.
Respondent -
BETWEEN: ROBERT HUGH MYLES
Appellant
AND: HOOKER COCKRAM LIMITED
Respondent
CORAM: Woodward, Jenkinson and Gray Jd.
PLACE: Melbourne
DATE: 24 December, 1986
REASONS FOR JUDGMENT
JENKINSON J.
I agree that each appeal should be dismissed, for the
reasons stated by Gray J.
I certify that this and the preceding page 1s a true copy of the
Reasons for Judgment herein of the Honourable Mr. Justice
JENKINSON.
B. N00
pr Associate
Dated: 24 December, 1986
IN THE FEDERAL COURT OF AUSTRALIA
VICTORIA DISTRICT REGISTRY
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tJ
ran
INDUSTRIAL DIVISION
ON APPEAL FROM THE FEDERAL COURT OF AUSTRALIA
BETWEEN:
LEWIS CONSTRUCTION COMPANY
FIY. LTD.
Appellant
AND
NORMAN MARTIN
Respondent
BETWEEN:
LEIGHTON CONTRACTORS PIY. LTD.
Appellant
AND
DAVID KERRIN
Respondent
BETWEEN:
PRENTICE BUILDERS LTD.
Appellant
AND
STEVEN KEITH BRADFORD
Respondent
BETWEEN:
HOOKER COCKRAM LIMITED
Appellant .
AND
ROBERT HUGH MYLES
Respondent
BETWEEN:
STEVEN KEITH BRADFORD
Appellant
AND
PRENTICE BUILDERS LTD.
Respondent
BETWEEN:
ROBERT HUGH MYLES
Appellant
AND
HOOKER _ COCKRAM LIMITED
Respondent
CORAM: WOODWARD, JENKINSON, & GRAY JJ.
DATE: 24TH DECEMBER 1986
REASONS FOR JUDGMENT
GRAY J.: On 10th, 11th and 12th November 1986, the Court heard
Six appeals from four judgments of Keely J. In each case, Keely
Jd. had convicted the defendant before him of an offence against
5s. 5(1)(a) of the Conciliation and Arbitration Act 1904 ("the
~3-
Act"), and had made certain consequential orders. Each of the
four defendants appealed against conviction and against
consequential orders. In two of the cases, the prosecutors
appealed against the refusal to make further consequential
orders.
Section 5(1)(a) of the Act provides, 50 far as 15
relevant:
"5(1) An employer shall not dismiss an employee...by
reason of the circumstance that the employee-
(a) is...Cal member of an organization..."
The word "organization" is defined in s. 4(1) of the Act as
meaning any organization registered pursuant to the Act.
The provisions of sub-ss. (4) and (5) of s. 5 of the Act
are also relevant; they are as follows:
"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.
5(5) Where an employer has been convicted of an
offence against this section the court by which the
employer 1S convicted may order that the employee be
reimbursed any wages lost by him and may also direct
that the employee be reinstated in his old position or
in a similar position."
At the hearing of the appeals, Mr. McDonaid Q.C. and Mr.
L. Kaufman appeared as counsel for Lewis Constructions Pty. Ltd.
("Lewis"), Prentice Builders Pty. Ltd. ("Prentice") and
~4-
Hooker Cockram Pty. Ltd. ("Hooker Cockram"), Mr. Vickery of
counsel appeared for Leighton Contractors Pty. Ltd. ("Leighton"),
and Miss Hickey of counsel appeared for Messrs. Martin, Kerrin,
Bradford and Myles. ~
It 1S convenient to deal with the appeals affecting the
four employers separately, as the facts of the cases differed
slightly.
Lewis Constructions Pty. Ltd. v. Martin
The charge against Lewis was that on 24th February 1986
it dismissed Mr. Martin by reason of the circumstance that he was
a member of the Australian Building Construction Employees and
Builders Labourers Federation ("the B.L.F."). On 30th June 1986,
Lewis was convicted of this offence. Subsequently, the learned
trial judge ordered pursuant to s. 5(5} of the Act that Lewis
pay to Mr. Martin the wages lost by him for the period from 14th
February 1986 until 18th April 1986, less an amount equivalent to
two weeks waqes.,
The learned trial judge was satisfied beyond reasonable
doubt of the following facts:
"(C1L) the BLF was on 14 February 1986 an organization
of employees registered under the Act.
(2) the defendant was incorporated at all material
times.
(3) the prosecutor was employed by the defendant at
the building site for the South Eastern Medical Complex
(the SEMC site) from May 1985 until February 1986.
(4) on 14 February 1986 the prosecutor was given
notice of termination of his employment by the
defendant.
(5) the prosecutor was a member of the BLF at all
Material times.
(6) throughout the course of its employment of the
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prosecutor the defendant believed that the prosecutor
was a member of the BLF."
None of these findings was the subject of challenge on appeal.
Instead, the argument on behalf of Lewis was that his Honour
should have found that Lewis had discharged the onus upon it of
proving that, 1n dismissing Mr. Martin, it was not actuated by
the fact that he was a member of the B.L.F. Counsel for Lewis
accepted, and this Court is bound to hold, that an offence was
committed if Mr. Martin's membership of the B.L.F. was a
"substantial and operative factor" ain the decision to dismiss
him. See General Motors-Holden''s Pty. Ltd. v. Bowling (1376) 51
A.L.J.R. 235, at pages 241 and 242 per Mason J., with whom
Stephen and Jacobs JJ. concurred.
The argument on behalf of Lewis was that the learned
trial judge had found that the relevant officers of Lewis
believed that dismissal of all members of the B.L.F. employed by
Lewis was the only course open to it as a means of countering a
campaign or campaigns then being conducted by the B.L.F. Because
of this finding, the fact that Mr. Martin was a member of the
B.L.F. dad not amount to a reason why he was dismissed;
membership of the B.L.F. was no more than the criterion for
selection of those who were being dismissed.
The evidence disclosed that the B.L.F. had a history of
conducting campaigns by means of its members imposing bans on the
performance of certain tasks on certain building sites. These
bans caused considerable disruption to building on those sites
where they were in force. The object of the bans was to force
-6-
the employers on those sites to accede to the demands made by the
B.L.F. in respect of the terms and conditions of employment of
1ts members. Once some employers conceded, it was thought to he
more difficult for other employers to hold out against similar
demands, with the actuality or possibility of the imposition of
bans on other sites. The relevant campaigns of the B.L.F. were
in support of payment to 1ts members of a 3.8% increase in wages,
which had resulted from a national wage case, but which the
Australian Conerliation and Arbitration Commission had refused to
award to the B.L.F. because of its refusal to give to the
Commission undertakings which were required of those
organizations whose members received the increase, and in support
of a reduction of ordinary working hours to 35 or 36 per week, or
to a nine day fortnight. These campaigns had been conducted for
some months prior to 14th February 1986. In late 1985, some bans
had been imposed by B.L.F. members at various building sites. As
a result of a meeting of representatives of a number of building
employers, under the auspices of the Master Builders' Association
of Victoria ("the M.B.A.V."), an ultimatum had been delivered to
the B.L.F., to the effect that 1ts members would be dismissed
from their employment by builders unless the bans were lifted.
On that occasion, the bans were lifted. They were re-imposed on
certain building sites early in 1986. As a consequence, on 12th
February 1986, a further meeting took place at the offices of the
M.B.A.V. The meeting was attended by representatives of a number
of building employers, including Lewis. It was resolved that a
further ultimatum, similar to that previously delivered, should
be given to the B.L.F. As a consequence, on 12th February 1986,
a telegram was sent to the B.L.F. warning that if bans which were
-7-
then currently in force were not lifted by 12 noon on 13th
February 1986, all B.L.F. members employed on building sites in
Victoria would be dismissed from their employment. The bans were
not lifted by the required time. In consequence, a number of
employees, who were members of the B.L.F., were dismissed from
their employment by building employers in Victoria. One of these
was Mr. Martin. There was no relevant ban in force on the site
at which Mr. Martin was employed.
The learned trial judge did make a finding that Lewis
"in fact believed that dismissal of all members of the BLF was
the only course open to it as a means of countering the SLF
campaign." This finding was not the subject of any challenge on
appeal. Counsel for Lewis invited the Court to hold that this
was the "real" reason for the dismissal, and that it could not
therefore be said that Mr. Martin's membership of the B.L.F. was
a reason. There are two major flaws in this argument.
In the first place, there is no inconsistency between
the presence of a perceived need to dismiss B.L.F. members in
order to counteract a B.L.F. campaign as a reason for dismissal,
and the existence of other reasons for that dismissal. The
search for the "real" reason for a dismissal 1s not one
sanctioned by the authorities. The reference in General
Motors-Holden's Pty. Ltd. v. Bowling (1976) 51 A.L.J.R. 235, at
page 241 to "the real reason for the dismissal" is to be read in
the context of a case in which the court at first instance had
rejected the express evidence of an employer as to the reasons
for dismissing a shop steward, and the employer then sought to
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advance on appeal another reason as being the sole operative
factor in the decision. It 15 not to be thought that, in each
case, there will only be one "real" reason for a dec2zsion to
dismiss an employee. As Mason J. said in Bowling, at page 242:
"It was suggested that even if the appellant's
Management had regard to the respondent's position as a
shop steward in dismissing him, that was not enough to
bring the case within s5.5(1)(a). The short answer to
this suggestion is that s.5(1) does not proscribe the
circumstances which it lists as the scle or predominant
reasons for dismissal. It is sufficient if the
circumstance 1s a substantial and operative factor. And
at does not cease to be such a factor because it 15s
coupled with other circumstances or because regard is
had to it in association with other circumstances not
mentioned in the section."
In the present case, the learned trial judge clearly recognized
that there could be more than one reason for a dismissal when he
Said:
"Mr. Kaufman's submission...seemed to proceed on the
basis that there was only one reason for the dismissal,
namely "to combat the campaign". However, accepting
that to be the reason underlying the defendant's
decision to dismiss the prosecutor and all other members
of the BLF employed by it, there is no evidence from any
of the witnesses called by the defendant that the fact
that the prosecutor was a member of the BLF at the time
of his dismissal was not a substantial and operative
factor in the defendant's reasons for deciding to
dismiss the prosecutor."
In failing to lead any evidence to support the proposition that
Mr. Martin's membership of the 8.L.F. was not a substantial and
operative factor in the decision to dismiss him from his
employment, Lewis failed to exclude that reason as such a
substantial and operative factor, and therefore failed to
discharge the onus of proof imposed upon it by s. 5(4) of the
Act. The attempt to characterise Mr. Martin's membership of the
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B.L.F. as a factor in a reason, rather than a reason in itself,
Must also fail. The Act and the authorities do not distinguish
between a "reason" anda "factor"; indeed, ain Bowling, these
terms are used interchangeably. The attempt to decide whether a
Particular circumstance was a factor ina reason, or a reason
itself, tends to distract from the essential question, which is
whether that circumstance was a substantial and operative factor
or reason in the decision.
The second flaw in the argument put on behalf of Lewis
lies in the nature of the "real" reason advanced itself. An
essential step in the reasoning which led to the decision to
dismiss B.L.F. members was the fact of their membership. The
only way in which Lewis could retaliate effectively against the
B.L.F.'s campaigns, as it saw the position, was by dismissing all
of the members of the B.L.F. whom it employed. No employees who
were not members of the B.L.F. were dismissed. Mr. Martin was
not dismissed because of any conduct of his, but purely hecause
he was a member of an organization against which Lewis had
decided to retaliate. This case is, in substance, no different
from the very sort of case for which s. 5(1)(a) was designed,
namely the case in which an employer, in order to protect itself
from claims or demands made by a registered organization,
dismisses the members of that organization in its employ. Such
conduct is prohibited by the Act, without regard to the reasons
for which the employer dislikes the particular organization, or
even the nature of that organization's conduct which has produced
the dislike. The very reason advanced by Lewis as the reason for
the dismissal, therefore, carries with it the conclusion that
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Lewis was properly convicted.
Lewis also appealed against the decision of the learned
trial Judge pursuant tos. 5(5) of the Act, to order that Mr.
Martin be reimbursed wages lost by him between 14th February 1986
and 18th April 1986, less an amount which, it was agreed, had
been paid to him representing the two weeks between 14th and 28th
February 1986. There was evidence that Lewis made an offer to
the other B.L.F. members who had been employed by 1t on the South
Eastern Medical Complex site, and had been dismissed on 14th
February 1986, to return to work on that site on 28th February
1986. That offer was not made to Mr. Martin. There was evidence
that he had not been singled out, but had simply been overlooked
when the offer was made. There was also evidence that he was
aware of the offer to other members of the B.L.F., and
participated in a meeting at or near the site on Z8th February,
and in conveying to the management of Lewis at the site the
decision of the B.L.F. members not to resume employment. It was
put by counsel for Lewis that Mr. Martin was sufficiently aware
of the offer to have known that he could have returned to work on
28th February 1986. The fact is, however, that the offer was not
made to him; it was therefore incapable of acceptance by him.
The factual basis for Lew1s's argument on the appeal therefore
did not exist. In any event, 1t should be pointed out that the
decision of the learned trial judge on this aspect of the case
was the exercise of a discretion. Even if 1t would have been
open to Mr. Martin to return to work on 28th February 1986, 1t
was not shown that the exercise of the discretion to order that
he be reimbursed for lost wages up until the time when he did
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return to work for Lewis miscarried.
For these reasons, the appeal by Lewis must fail.
Leighton Contractors Pty. Ltd. v. Kerrin
On 24th July 1986, the learned trial judge convicted
Leighton of an offence in that, on 18th February 1986, 1t
dismissed Mr. Kerrin from his employment with Leighton, by reason
of the circumstance that Mr. Kerrin was a member of the 8.L.F.
In addition, the learned trial judge ordered that Mr. Kerrin be
reinstated in his old position or ina similar position within
seven days from 24th July 1986. The thrust of Leighton's appeal
was against the conviction, and against the order for
reinstatement.
The learned trial judge was satisfied beyond reasonable
doubt of the following facts:
"(1) the BLF was on 18 February 1986 an organization of
employees registered under the Act.
(2) the defendant was incorporated at all material
times.
(3) the prosecutor was employed by the defendant as a
builder's labourer at the Flinders Street Carpark site
(the site) from early October 1985 until February 1986
but was unable to perform his work and was receiving
payments of compensation from about 25 October 1985
until the hearing of this matter.
(4) the prosecutor was a member of the BLF at the time
when he gave evidence in this matter and had been since
February 1985.
(5) at all material times the defendant believed that
the prosecutor was a member of the BLF.
(6) the defendant was at all material times a member
of the Master Builders' Association of Victoria (MBAV),
an organization of employers registered under the Act.
(7) on 18 February 1986 the prosecutor was given
notice of termination of his employment by the
defendant."
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No challenge was made to any of these findings.
With respect to conviction, the argument advanced on
behalf of Leighton was similar to that advanced on behalf of
Lewis, with one exception. Leighton did not have a
representative at a meeting held at the M.B.A.V. premises on 12th
February 1986; 1t did not give an ultimatum to the B.L.F.
members employed by it, nor did it dismiss its employees who were
B.L.F. members on 14th February 1986, as did other building
employers. It acted after receiving an inquiry on behalf of the
Public Works Department of the State of Victoria, requesting that
B.L.F. members be dismissed in order to satisfy the Victorian
Government's "code of conduct". Evidence was given on behalf of
Leighton of three factors or reasons which influenced the
decision to dismiss Mr. Kerrin. The first related to the
Victorian Government's code of conduct, which required that
building employers who dealt with the State of Victoria should
observe certain practices in their dealings with the B.L.F. The
second reason was the desire to be seen as standing with the rest
of the building industry, rather than against 1t or outside it.
The third was the ability of the B.L.F., if it wished to do so,
to secure the 3.8% wage increase by giving the necessary
undertaking to the Australian Conciliation and Arbitration
Commission.
Counsel for Leighton was unable to point to any finding
of the learned trial judge which could be construed as a finding
that Leighton saw the dismissal of its employees who were B.L.F.
members as the only way in which it could combat the campaigns of
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the B.L.F. Nevertheless, he argued that his Honour ought to have
found that this was the sole reason which actuated Leighton in
deciding to dismiss Mr. Kerrin and its other 8.L.F. member
employees. Emphasis was placed on the use of the word "actuated"
in s. 5(4); counsel called in aid dictionary definitions of the
word "actuate", for the purpose of arguing that s. 5 was
Concerned with the circumstance which motivated or inspired an
employer to act in dismissing an employee. It was suggested that
the three reasons given in evidence were factors in the decision,
and not reasons for it.
It is one thing to accept, as counsel for Leighton
argued, that Leighton was aware of the B.L.F. campaigns, and the
steps taken in support of them, including the application of bans
to certain sites at which Leighton itself was operating (although
not to the site on which Mr. Kerrin was employed at any relevant
time). It is another to suggest that the learned trial judge
should have refashioned the evidence actually given by heighton
as to the reasons for the dismissal, by making from 1t another
reason of a more fundamental kind, consistent with that advanced
by the employers in the other cases the subject of these appeals.
It is necessary to go still further to assume that this more
fundamental reason was the "real" reason. All these steps need
to be taken before considering whether that "real" reason was
necessarily inconsistent with a dismissal by reason of the
circumstance that Mr. Kerrin was a member of the &8.L.F. One
further difficulty was that the person who made the decision to
dismiss Mr. Kerrin gave evidence that "if Mr. Kerrin had not been
in the B.L.F. he would not have been terminated". Such express
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evidence made it very difficult, 1f not impossible, for Leighton
to discharge the onus of proving that it was not actuated by the
circumstance that Mr. Kerrin was a member of the B.L.F.
Concentration upon the use of the word "actuated" in 5. 5(4) of
the Act distracts attention from the fundamental question whether
a particular dismissal was "by reason of the circumstance"
proscribed by s. 5(1), and from the question whether the
proscribed circumstance was a substantial and operative factor in
the decision to dismiss. For all of these reasons, the appeal
against conviction must fail.
The power given to the Court by s. 5(5) of the Act to
reinstate an employee the subject of an offence under s. 5(1) is
a discretionary power. In normal circumstances, the discretion
will be exercised in favour of the employee. See the judgment of
the Full Court of the Federal Court of Australia in Bowling v.
General Motors-Holden's Pty. Ltd. (1980) 50 F.L.R. 79, at page
94, Leaghton's submission that the exercise of the discretion in
the present case had miscarried was supported by two arguments.
Reference was made to the judgment of Northrop J. in
Heidt v. Chrysler Australia Ltd. (1976) 26 F.L.R. 257, at page
266, to the effect that s. 5 of the Act is designed to protect
organizations. The essential role played by organizations in the
system of conciliation and arbitration established by the Act was
emphasized. By s. 3 of the Builders' Labourers (Cancellation of
Registration) Act 1986, which came into force on 14th April 1986,
the registration of the B.L.F. as an organization was cancelled.
It was said, therefore, that at the time when the learned trial
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judge came to exercise the discretion, the B.L.F. could no longer
avail itself of the protection for which 5. 5 was designed.
It is not altogether clear that such a narrow purpose as
the protection of organizations can be ascribed to s. 5. It is
true that, in Heidt v. Chrysler Australia Ltd., Northrop J. saw
the protection of organizations as being the purpose of the
section. In General Motors-Holden's Pty. Ltd. v. Bowling (1576)
51 A.L.J.R. 235, at page 240, Mason J. said, with reference to
sub-ss. (1) and (4) of 5. 5:
"The two sub-sections are, broadly speaking, designed to
protect an officer, delegate or member of an
organization against discrimination by his employer."
In Bowling v. General Motors-Holden's Pty. Ltd. (1980) 50 F.L.R.
79, at page 94, the Full Court said:
"The policy and purpose of sub-ss.(1) and (4) of s. 5
is to protect organizations of employees and their
representatives from discrimination and victimization by
employers. Subsection (5) gives effect to an essential
feature of that policy and purpose of os. 5. It as
essential that an employer convicted of an offence
against the section should not benefit from that offence
by ridding itelf of an employee by reason of any one or
more of the circumstances specified.
The purpose of protection of organizations has been seen to be
linked with the protection of their members. Indeed, the
retention in s. 5(1) of the low maximum penalty (a fine of
$400.00), coupled with the existence of the reinstatement power
ins. 5(5), tends to suggest that the emphasis lies on the
protection of the person dismissed, as much as upon the
protection of the organization. If the intention were merely to
protect organizations, this could no doubt be accomplished by
heavy penalties, without the existence of a power to reinstate.
There can be no doubt that the statutory de-registration
of the B.L.F. was a matter which could properly be taken' into
account by the learned trial judge inthe exercise of his
discretion. His Honour clearly took account of the legislation,
but regarded it as having little or no weight in the
circumstances. It cannot be argued that the fact of
de-registration of the B.L.F. precluded his Honour from
exercising his discretion in favour of reinstatement.
The second basis upon which Leighton sought tao overturn
the decision in favour of reinstatement was that the order was,
or could be rendered, futile. By virtue of cl. 38.1 of the
National Building and Construction Industry Labourers (On Site)
Award 1986, which appears to be the award governing the terms and
conditions of employment of builders labourers employed by
Leighton at the time when the judgment appealed from was
delivered, as well as at the present time, the engagement of an
employee is terminable by one day's notice, or the payment of one
day's pay. In the absence of the protection of 5. 5 (the B.L.F.
having been de-registered), it was said that Mr. Kerrin could be
dismissed in accordance with the award immediately upon his
reinstatement taking effect.
Even if this argument is correct, the possibility of
almost immediate dismissal would not operate to render an order
for reinstatement futile. There may be many entitlements which
might attach to Mr. Kerrin, and might be increased by greater
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length of service, or seniority of service. Examples which
spring to mind are accrued annual leave and long service leave.
No attempt was made to show that such entitlements would not be
affected materially by reinstatement, even for a short time. It
was mot shown that the learned trial judge was incorrect in
concluding that the Court's order would not be rendered futile.
The same could be said of any order to reinstate any employee
where a short period of notice is all that is necessary for
termination of the employment after reinstatement.
The appeal by Leighton must be dismissed.
Prentice Builders Pty. Ltd. v. Bradford
Bradford v. Prentice Builders Pty. Ltd.
On 24th July 1986, Prentice was convicted of dismissing
Mr. Bradford on 14th February 1986 by reason of the circumstance
that he was a member of the B.L.F. Prentice was also ordered to
pay to Mr. Bradford the sum of $477.22, which represented wages
lost by him between his dismissal and a time at which he could
have been re-employed in accordance with an offer of Prentice.
The learned trial judge was satisfied beyond reasonable
doubt of the following facts:
"(1) the BLF was on 14 February 1986 an organization of
employees registered under the Act.
(2) the defendant was incorporated at all material
times.
(3) the prosecutor was employed by the defendant at
the Geelong Grammar building site (the site) from June
1985 until February 1986.
(4) on 14 February 1986 the prosecutor was given
notice of termination of his employment by the
defendant.
(5S) the prosecutor was a member of the BLF at the time
- 18 -
when he gave evidence and had been since 1981.
(6) throughout the course of its employment of the
prosecutor the defendant believed that the prosecutor
was a member of the SLF.
(7) the defendant was at all material times a member
of the Master Builders' Association of Victoria (MBAV),
an organization of employers registered under the Act." -
Prentice appealed against the conviction, and Mr.
Bradford appealed against the refusal of the learned trial judge
to order that he be reinstated in the same, or a similar,
position.
The argument on behalf of Prentice was similar to that
put by Lewis in its appeal. A representative of Prantice did
attend the meeting at the M.B.A.V. premises on 12th February
1986. Prentice complied with the terms of the resolution passed
at that meeting by dismissing all of the B.L.F. members employed
by 1t on 14th February 1986, irrespective of whether those
employees were applying bans at the time. There were no bans in
force at the site at which Mr. Bradford was employed.
Counsel for Prentice found it more difficult than in the
case of Lewis to contend that there was one real reason for the
dismissal of Mr. Bradford, which was inconsistent with his
membership of the B.L.F. being a reason for his dismissal. This
was because the managing director of Prentice conceded in
cross-examination that the membership of the B.L.F. of the
persons who were dismissed was "one of the reasons" for their
dismissal, and that if they had not been members of the 8.L.F.
they would not have been dismissed. Not surprisingly, there was
no attempt by Prentice to lead evidence at the trial that Mr.
- 19 -
Bradford's membership of the 8B.L.F. was not a substantial
operative factor in his dismissal. For the reasons given in
relation to the appeal by Lewis, and for this additional reason,
the appeal by Prentice must be dismissed. <
The appeal by Mr. Bradford was against the refusal of
the learned trial judge to order that he be reinstated in his old
position or in a similar position. That refusal resulted from
the exercise of the learned trial judge's discretion pursuant to
s. 5(5). His Honour found that Mr. Bradford had been offered
re-employment by Prentice, and that if he had accepted the offer
he would have been able to recommence work at the site at which
he had been employed, on 28th February 1986.
The learned trial judge rejected a number of submissions
made on behalf of Prentice as to why Mr. Bradford should not he
reinstated. The decision not to reinstate was based upon the
fact that an offer of re-employment had been made and not
accepted by Mr. Bradford. In the course of his judgment, his
Honour said:
"The Bowling case principle 1s that, upon conviction of
the employer, prima facie the dismissed employee should
be reinstated. That principle cannot apply to an
employee who has already resumed his employment with the
defendant...nor should the principle, 1n my opinion,
apply to one who has been offered re-employment and has
rejected that offer, where the terms of employment
offered were no less favourable to the employee than
those upon which he was employed immediately before his
dismissal."
Counsel for Mr. Bradford contended that his Honour had
not followed the principles laid down by the Full Court in
- 20 -
Bowling v. General Motors-Holden's Pty. Ltd. (1980) 50 F.L.R. 79,
at pages 94-95, ain that he had treated an unaccepted offer of
re-employment as a bar to the exercise of the power to reinstate,
and had therefore allowed his discretion to be fettered. A-<close
examination of the passage quoted above suggests, however, that
his Honour was not treating such an offer as a bar, but treating
it as ousting the prima facie principle that an employee should
be reinstated upon conviction of his or her employer. Once the
prima facie principle is ousted, it then becomes the duty of the
Court to consider in all the circumstances whether reinstatement
would be a proper order. The question for the Court on appeal is
not whether the Court which hears the appeal considers that the
discretion should have been exercised in a different manner; it
is whether 1t was open to the learned trial judge to make the
order which he made. In the present case, it 1s clear that it
was open to the learned trial judge to exercise his discretion in
the manner in which he did. The circumstances of the case were
not sufficient to compel the Court to make an order for
reinstatement.
For these reasons, both appeals must fail.
Hooker Cockram Limited v. Myles
Myles v. Hooker Cockram Limited
On 24th July 1986, the learned trial judge convicted
Hooker Cockram of an offence in that on 14th February 1986 it
dismissed Mr. Myles from his employment by reason of the
circumstance that he was a member of the B.L.F. His Honour
declined to order that Mr. Myles be reinstated, but ordered that
- 21 -
he be reimbursed wages lost by him between the date of his
dismissal and the date upon which he could have been re-employed
in accordance with an offer made to him by Hooker Cockram.
Hooker Cockram appealed against the conviction, and Mr.
Myles appealed against the refusal to reinstate him. The facts
of this case, and the arguments presented on the appeals, are
indistinguishable from those in the case of Prentice and Mr.
Bradford. The site on which Mr. Myles was employed was the
Walter and Eliza Hail Institute site. A representative of
Hooker Cockram attended the M.B.A.V. meeting on 12th February
1986, and Hooker Cockram complied with the resolution passed at
that meeting in dismissing all of the members of the B.L.F.
employed by 1t on 14th February 1986. There were no bans in
force at the site at which Mr. Myles was employed.
This case was similar to the case involving Prentice and
Mr. Bradford, in that a representative of Hooker-Cockram conceded
in cross-examination that the membership of the B.L.F. of the
persons dismissed was the only thing that connected them with the
bans, and that it was "the reason" and "the only reason" that
they were dismissed. As in the case involving Prentice and Mr.
Bradford, this evidence made it impossible for the appeal by
Hooker Cockram to succeed; not only could it not be argued that
the learned trial judge had made a finding as to "real" or "sole"
reason for dismissal, being a reason inconsistent with the
proscribed reason, but there was actual evidence upon which it
was proper for the learned trial judge to find that Mr. Myles's
membership of the B.L.F. was a substantial and operative factor
- 22 -
in the reason for his dismissal.
On the question of re-instatement, his Honour relied
upon the same reasons as those he had given in the case involving
Prentice and Mr. Bradford, without restating those reasons. It
follows from the decision above in relation to that matter that
Mr. Myles's appeal in this matter must fail. Both of these
appeals will be dismissed.
I cortiry thet this and tle /
preceding paces om a trae copy of the
Raasons for Juaziewu herein of his honour
ur. Justice GRAY
Assogiate
Dated 2 y Fi ? -
Dated 23/1a [Hs Len bp LOabdre,
at
No. V21 of 1986
Counsel for the Appellant : Mr A.W. McDonald QC and
Mr L. Kaufman
Solicitors : Messrs Freehill Hollingdale and Page
Counsel for the Respondent : Miss M. Hickey
Solicitors : Messrs Holding Redlich and Cooper Korbl
No. V28 of 1986
Counsel for the Appellant : Mr P. Vickery
Solicitors : Messrs Rigby and Fielding
Counsel for the Respondent : Miss M. Hickey
Solicitors : Messrs Holding Redlich and Cooper Korbl
No. V35 of 1986
Counsel for the Appellant : Mr A.W. McDonald QC and
Mr L. Kaufman
Solicitors : Messrs Freehill Hollingdale and Page
Counsel for the Respondent : Miss M. Hickey
Solicitors : Messrs Holding Redlich and Cooper Korbl
No. V36 of 1986
Counsel for the Appellant : Mr A.W. McDonald Qc and
Mr L. Kaufman
Solicitors : Messrs Freehill Hollingdale and Page
Counsel for the Respondent : Miss M. Hickey
Solicitors : Messrs Holding Redlich and Cooper Korbl
No. V41 of 1986
Counsel for the Appellant : Miss M. Hickey
Solicitors : Messrs Holding Redlich and Cooper Korbl
Counsel for the Respondent : Mr A.W. McDonald QC and
Mr L. Kaufman
Solicitors : Messrs Freehill Hollingdale and Page
No. V42 of 1986
Counsel for the Appellant : Miss M. Hickey
Solicitors : Messrs Holding Redlich and Cooper Korbl
Counsel for the Respondent : Mr A.W. McDonald QC and
Mr L. Kaufman
Solicitors : Messrs Freehill Hollingdale and Page