Reynolds, Leo v Southcorp Wines Pty Ltd [2002] FCA 712

FEDERAL COURT OF AUSTRALIA Reynolds v Southcorp Wines Pty Ltd [2002] FCA 712 CONTRACT – employment contract – termination of employment – redundancy – applicant employed by respondent as Executive General Manager of Finance in Sydney – applicant was offered and accepted a 3 year project role interstate on the basis that he would be re-employed by the respondent in an equivalent or higher position upon expiry of the project – employment terminated on applicant's return to Sydney – applicant was paid a redundancy package – whether breach of contract by respondent – whether respondent's representation that applicant would be re-employed upon expiry of the project was made on reasonable grounds – whether representation was a contractual term – whether new project appointment effected variation of existing employment contract – whether respondent's termination of employment policy became incorporated in employment contract DAMAGES – calculation of damages for breach of employment contract – whether redundancy payment should be taken into account in determining whether applicant suffered any loss in consequence of early termination of employment – whether any damages should be calculated on the basis of the salary and allowances of applicant's successor – whether applicant entitled to aggravated damages for distress or disappointment Trade Practices Act 1974 (Cth) s 51A, 52 Annual Holidays Act 1944 (NSW) s 2(1), 2(6), 4(1) Long Service Leave Act 1955 (NSW) s 3(2C), 4(5) Truth About Motorways Pty Ltd v Macquarie Infrastructure Investment Management Ltd (1999) 200 CAR 591 applied Concut Pty Ltd v Worrell (2000) 176 ALR 693 considered Bostik (Australia) Pty Ltd v Gorgevski (No 1) (1992) 36 FCR 20 applied Fryar v System Services Pty Ltd (1996) 137 ALR 3 applied Black v Brimbank City Council (1998) 152 ALR 491 followed Yorkshire Engineering & Welding Co Ltd v Burnham [1974] 1 WLR 206 referred to Furey v Civil Service Association of WA (Inc) (1999) 91 FCR 407 considered Haley v Public Transport Corporation of Victoria [1998] VSC 132 considered, not followed Kirchner v Mayne Nicholas Ltd [2000] VSC 459 considered Holmes v Jones (1907) 4 CLR 1692 applied Clunne v Nambucca Shire Council (1995) 63 IR 304 referred to Addis v Gramophone Co Ltd [1909] AC 488 applied Fink v Fink (1946) 74 CLR 127 applied Aldersea v Public Transport Corporation (2001) 183 ALR 545 followed Macken et al The Law of Employment 5th ed.2002 McGregor on Damages 16th ed. 1997