GLEBE ROWING CLUB PTY LTD v PRIDE and ANOR [1995] NSWCA 178
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GLEBE ROWING CLUB PTY LTD v PRIDE
SUPREME COURT OF NEW SOUTH WALES COURT OF APPEAL
PRIESTLEY, MEAGHER JJA and ROLFE AJA
18 August 1995, 6 December 1995
[1995] NSWCA 178
S22, s66 AND s67 WORKERS COMPENSATION ACT 1967 — IMPAIRMENT —
INJURY
IMPAIRMENT — INJURY — worker suffers injury to back — off work for three
months — worker then commences work with different employer — sustains further
injury to back — trial judge finds permanent back impairment at 22% of a most
extreme case — and awards $13,000 — impairment caused by two distinct injuries
so that each employer liable for half of this amount — also makes award for pain and
suffering under s67 — first employer appeals only in respect of s67 award — Held:
per Meagher JA and Rolfe AJA: trial judge erred in making award under s67 —
worker suffered two distinct injuries that equally contributed to her impairment —
therefore there is no loss from a single injury that was not less than 10% of maximum
amount referred to in s66(1) — per Priestley JA dissenting: although worker
sustained two distinct injuries, the worker has only back condition and one
permanent impairment of the back — worker therefore has only one "loss" — such
loss sufficient to
qualify for award under s67 and apportionment under s22 — appellant's second
argument, based on Note (g), also fails.
Priestley JA The materials and arguments relevant to the decision of this
appeal are all set out in the reasons of Rolfe AJA which I have had the benefit of
reading in draft.
In my view the trial judge arrived at the challenged conclusion by deciding:
that at the time of commencement of the Compensation Court proceedings the
worker was suffering one loss, being a permanent impairment of her back (see
s65(2) of the Workers Compensation Act 1987 (the Act) and the Table following
s73 (the Table)); that that one loss resulted from the two injuries received
successively in the employ of the two employers; and that the liability for the loss
under the Act should be apportioned equally between the two employers pursuant
to s22.
S22 and s65(3) both contemplate that one loss may result from more than one
injury, so that I see nothing wrong with the trial judge's method, nor, so long as
his factual findings were sound, with his conclusion. Did he make a mistake on
the facts?
The appellant, the first employer, argued, and both Meagher JA and Rolfe AJA
accept, that because there were two injuries there were two losses. That is, the
criticism made of Burke CCJ's fact finding (and the only criticism) is that he
found one loss only, although on his own primary findings that there were two
injuries, he had to find two losses. This criticism is logical so far as it goes, but
does not deal with the whole of what is involved in Burke CCJ's reasoning.
It is obvious that after the worker's first injury the loss she then suffered was
different from the loss she came to suffer after the second injury. The second
injury aggravated the consequences of the first. The further point however is that
2 UNREPORTED JUDGMENTS
after the second injury the worker had one back condition; her problem was
located at L4-5; she had one permanent impairment of her back; and she had one
loss, as that word is defined in s65. The loss she had suffered as a result of the
first injury was gone. She now had a different and greater loss. But although the
loss resulting from her first injury was gone, the loss in place after the second
injury was still the result, in part, of the first injury, as well as being in part the
result of the second. Both s22 and s65 recognise multiple causes of impairments
such as the one in question here, and seem to me to be directed to situations such
as the one the worker here finds herself in.
In my opinion Burke CCJ's method and fact finding were both sound. The
result is that, on the basis of there being one loss, the worker was entitled to an
award under s67.
In case the court came to this conclusion, the first employer had an alternative
argument, that Note (g) (as it was called at the relevant time) to the Table, taken
together with this court's decision in New South Wales TAFE v Pitt (1993) 9
NSWCCR 309. and similar cases, references to which are given in Crockett Pty
Ltd v Cox (unreported, Court of Appeal, 26 October 1994), had the effect that the
second employer alone should be liable under s67.
I need not get involved in the intricacies of this argument, because I do not
think Note (g) is relevant in the present case. On the view I have indicated of the
way the sections involving the concept of "loss" work, it is in my opinion
necessary, on the facts of the present case, to read "injury" in the two places in
which it appears in Note (g) as referring to the two injuries from which the loss
resulted. On this footing Note (g) can have no work to do in the case.
In my opinion both of the appellant's arguments fail, and its appeal should be
dismissed with costs.
The second employer briefly argued a cross appeal which depended upon a
different view being taken of the facts from the one I have indicated I think this
court should take. I see no basis for the view of the facts contended for by the
second employer.
In my opinion the cross appeal also should be dismissed with costs. I note that
Tagree with Rolfe AJA that the orders consequential upon the reasons of Meagher
JA and himself are those indicated by him in the final paragraph of his reasons.
Meagher JA Miss Pride, the worker, was employed in 1990 by the appellant
Glebe Rowing Club Pty Ltd, for whom she worked, apparently in the kitchens.
Before she worked there she was not affected by any back problems. On 29 May
1990 when endeavouring to manipulate a hopper of coins from a poker machine
in an awkward fashion she suffered an onset of back pain.
She was off work for three months or so.
His Honour, Burke CCJ, accepted medical evidence to the effect that she had
a moderate broad-based bulge at L4-5 which appeared to indent the dura, which
caused her problem. Medical evidence accepted by his Honour was that after her
period off work she was much improved, probably well enough to
resume her former work, although there was a "high probability" of future
recurrence and she should therefore avoid any work which involved heavy
lifting.
She then commenced work with the second respondent, trading as Croydon
Hotels. She worked long hours doing work of a fairly heavy kind: obtaining
supplies from the cellars, putting them into dumb waiters, stocking refrigerators
and shelves, handling cases of beer and cases of wines. Then, suddenly, on 14
URJ GLEBE ROWING CLUB PTY LTD v PRIDE (Rolfe AJA) 3
November 1991, he found she was unable to get out of bed. She returned to her
doctors, who eventually performed a laminectomy and a discetomy at L 4-5 level.
After this she returned to the work force, but not to her former job.
She sought, inter alia, awards under s66 and s67 against both employers.
His Honour found that both injuries contributed to Miss Pride's ultimate
condition. This is unremarkable, and was not challenged by anybody.
It is, I think, also true that his Honour found that each employer was 50%
responsible for that ultimate condition. From his language it is not presently
possible to locate such a clear finding, but it is implicit in his judgment, and
certainly explicit in the unchallenged medical evidence.
His Honour made an award of $13,000 in respect of permanent impairment of
the back, and ordered each employer to contribute equally to this award. He also
purported to make an award of $ 12,000 under s67 and ordered each employee
to contribute equally to this amount.
The appellant has appealed against the s67 order.
The appellant's argument is simple, and, I think, convincing.
At the relevant time the maximum entitlement for impairment of the back,
pursuant to s66, was $59,220 and the total maximum entitlement was $98,700.
His Honour's award of $13,000, as a matter of mathematics, was approximately
22% of the maximum for back impairments. Miss Pride was not entitled to an
award under s67 against either employer unless she obtained as against that
employer an award under s66 of at least 10% of the maximum amount, ie $9,800.
Since the amount awarded by his Honour against each employer under s66 was
only $6,500 (ie, half of $13,000), in each case it was under $9,800. Consequently
there was no occasion to make an award against either employee under s67.
One would reach a different result if one injury had caused the ultimate
impairment. That, however, seems to me irrelevant.
There was some debate about the applicability of s22 of the Act to the present
case. Again, it is unclear whether his Honour did or did not purport to rely on that
section. However, I cannot see how that section has any application when, as
here, there is a finding of two distinct injuries, each with a quantified amount of
damage resulting.
In my view the following orders should be made
1. Appeal allowed.
2. O.3 of the judgment of Burke CCJ of 7 December 1992 be set aside.
3. Respondents to pay the appellant's costs of the appeal and to have a
certificate under the Suitors Fund Act.
4. Cross-appeal dismissed with costs.
Rolfe AJA INTRODUCTION
Miss Karen Rhonda Pride, who was the applicant in the Compensation Court
and is the first respondent to this appeal, made application to that Court for
determinations in respect of low back injuries she alleged she sustained in the
course of her employment. She alleged that whilst employed as an assistant
manager by Glebe Rowing Club Pty Ltd, ("the appellant"), on 29 May 1990, she
was carrying out a lifting activity and injured her back, from which she suffered
total incapacity from 29 May 1990 to 4 September 1990, and partial incapacity
thereafter "to date and continuing". She also alleged she sustained an
exacerbation of that injury, together with an associated anxiety state, whilst
employed as an assistant manager by Guy Reynolds Constructions Pty Ltd and
Drumcourt Pty Ltd trading as The Croydon Hotel. These companies were the
4 UNREPORTED JUDGMENTS
second respondents on the appeal and I shall refer to them as "The Croydon
Hotel". Her Application for Determination alleged that during a time of staff
shortages additional work undertaken over a two week period culminated with a
lifting incident on 14 November 1991 when sharp pain in her lumbar spine made
it impossible to continue to work, in consequence of which she alleged total
incapacity from 14 November 1991 "and continuing". She claimed
compensation, inter alia, under s66 and s67 of the Workers Compensation Act.
The matter came on for hearing before Burke CCJ on 7 December 1992. His
Honour noted that as against the appellant Miss Pride claimed under s66 and s67
and in respect of "a closed period of partial incapacity between September and
November 1990", and that she claimed as against The Croydon Hotel under those
sections and also for weekly payments. He said, and as I understand it accepted,
that prior to the incident in 1990 Miss Pride was not affected by any back
problem, but that as a result of the lifting incident on 29 May 1990 she suffered
a moderate protrusion at L4-5 encroaching onto the thecal sac. He considered the
weekly payments to which he thought she was entitled and passed to what he
regarded as the "more vexed question", namely the entitlement to compensation
pursuant to s66 and s67.
He was of the view that Miss Pride had a permanent impairment, noting that
none of the doctors seemed to doubt that. He referred to various assessments of
the degree of that impairment and said, AB69:
"Proportionate to that of a most extreme case, I would think this applicant's
impairment is in a ratio of 1:5 approaching 1:4. I suppose one can get all very
mathematical and say 'well, somewhere halfway between those would be 9:40'
but that is the sort of proportionality that I find a bit difficult. It gives an air of
accuracy which I do not think this type of calculation really allows. In any event,
that impairment could, if compensible as the result of a single injury, certainly
entitle the applicant to the benefits of s67."
THE PROBLEM WHICH GIVES RISE TO THIS APPEAL
His Honour concluded that each of the incidents contributed equally to the
condition from which Miss Pride was suffering at the date of the hearing. This
gave rise to an argument, to which I shall refer in more detail in a moment, to the
effect that as there were two separate injuries, for which each employer was
equally liable, the threshold amount under s66, which would entitle Miss Pride
to compensation under s67, had not been achieved in respect of either injury. His
Honour recorded the submissions thus:- "But, both respondents have said 'well,
be that as it may, the applicant's ultimate state is the result of discrete injuries
with separate respondents and the Court will necessarily find what degree of
impairment resulted from each individual injury and the applicant will only be
entitled under s67, to pain and suffering from such as produces an impairment
adequate to pass the gateway of s67(2) or, more probably, neither, since whilst the
combined effects may be as I suggested, the individual effects are probably 50:50
and neither of those would generate an entitlement that would pass the gateway
to s67(2)."
I pause to repeat that his Honour was setting forth the submissions made on
this aspect. He continued:
"Tf it be so, it appears to me to be a lacuna in the Act, but be that as it may,
in looking at s22 - the apportionment legislation - it is fairly clear that where you
have two distinct, separable, identifiable incapacities resulting from two discrete
injuries, then there is no need to embark upon apportionment. Each are perfectly
capable of being compensated in accordance with the Act. However, where
URJ GLEBE ROWING CLUB PTY LTD v PRIDE (Rolfe AJA) 5
apportionment arises in relation to weekly payments is where there is a single
incapacity resulting from successive injuries. It seems to me that the same
situation applies in relation to Pt4 Division 3; the losses and impairments
provided under the Act.
Where there is a single impairment resulting from multiple injuries then the
appropriate course to follow is to compensate for the impairment and any
consequences that follow and apportion the liability appropriately, as between the
several injuries, be they with the same or with different employers."
The last cited paragraph posed what was considered on the hearing of the
appeal to be the critical question, viz whether the two injuries (and there was no
issue that there were two injuries), gave rise to one loss or to two losses within
the meanings of s66(1) and s67(1).
His Honour said:
"In those circumstances, having been satisfied that the applicant has an
impairment which of itself would generate an entitlement sufficient to pass the
gateway of s67(2), I think the applicant is entitled to compensation pursuant to
that section."
Implicit in this statement is the finding that there was one loss arising from the
two injuries. After further considering the matter his Honour continued, AB71:
"Tt seems to me that the applicant then suffered an L4-5 disc injury, probably
in the nature of a rupture and probably involving protrusion. There was a
resolution symptomatically. Pathologically, that does not seem to have been so.
Without the subsequent work with the respondent, particularly that latter period
in November 1991, it may well be that the applicant would have survived with
a low level intermittent back problem.
However, it seems to me on the evidence that her back had been considerably
weakened as a result of the first injury and that the variety of doctors who ponder
this problem of who did it, there seems to be a fair preponderance of them who
come down to the idea that it is a 50:50 contribution. That while the last injury
with the second respondent obviously triggered the overt problem and need for
surgery, the real underlying reasons for the back coming to the state that it was
in then, is largely attributable to the pathological changes effected by the first
injury with the superimposed stress, of course, of the work with the second
respondent.
In the circumstances, I would think that if one is apportioning on the basis of
relative contributions to the causality the, both the s66 and s67 awards would be
apportionable 50:50 as between the two respondents.
Those findings, in my opinion, mean the two injuries gave rise to two losses,
each of which was, in the view his Honour took, compensible under s66.
However, he held the extent to which each was compensible, in financial terms,
was at a figure which did not meet the threshold for compensation under s67(1)
required by s67(2). That flows from his finding that the amount payable under
s66 was $13,000 of which one half was attributable to each injury.
His Honour then made findings that on 29 May 1990, in the course of her
employment with the appellant, Miss Pride sustained back injury, and that on and
before 14 November 1991, in the course of her employment with The Croydon
Hotel, she received injury to her back and that, "'as a result of such injuries, the
applicant suffers permanent impairment of the back" in the ratio of approximately
1:4 of a most extreme case. He made an award that the appellant and The
Croydon Hotel pay her a lump sum pursuant to s66 of $13,000 in respect of
permanent impairment of the back, and a lump sum pursuant to s67 of $12,000
6 UNREPORTED JUDGMENTS
in respect of pain and suffering resulting from such loss. He further ordered that
the liability of the appellant and The Croydon Hotel in respect of the awards
pursuant to s66 and s67 and costs be apportioned as to fifty per cent to each.
THE RELEVANT STATUTORY PROVISIONS
S65(1), which is the first section of Pt3 Division 4, defines "loss" in relation
to a "thing" as meaning "the loss of that thing" or "the permanent loss of use, or
of the efficient use, of that thing". Subs(2) provides that a reference to a loss
mentioned in the Table to the Division includes a reference to "the permanent
impairment of the back".
S66(1) provides that a worker, who has suffered the loss of a thing mentioned
in the Table "as the result of an injury is entitled to receive from the worker's
employer by way of compensation for the loss", and in addition to any other
compensation, the amount equal to the percentage of $98,700, (which was then
the amount specified by the Act), set out opposite that loss in the Table.
The Table provides for 0 to 60 per cent in respect of permanent impairment of
the back. The maximum amount payable under s66(1) for impairment to the back
was, accordingly, $59,220. His Honour awarded $13,000 pursuant to s66(1),
which is 21.95 per cent. The parties, understandably enough, referred to it as 22
per cent.
S67(1) provides that a worker, who has suffered a loss mentioned in the Table,
"is entitled to receive from the worker's employer by way of compensation for
pain and suffering resulting from the loss" and in addition to any other
compensation, a further amount, provided the amount of compensation under s66
for the loss is not less than 10 per cent of the maximum amount referred to in
s66(1). His Honour awarded Miss Pride $12,000 under this provision, being his
assessment of the percentage compared to "a most extreme case". The amount,
per se, is not challenged.
Note (g) of the interpretation provision provides:
"In the case of impairment of the back... compensation is payable only in
respect of the degree of permanent impairment suffered as a result of the injury
concerned and as if any impairment existing before that injury did not exist."
The interpretative provision, so it seems, was seeking to overcome the
situation where, prior to the occurrence of the compensible injury, the worker
already had an impairment, which was made the greater by the work injury, to the
intent that the worker could only recover for the degree of impairment arising
from the compensible injury. The legislative intention, at least in relation to
backs, was to reverse the approach applied in Rodios v Trefle (1938) 54 WN
(NSW) 197. However, it would appear this was not achieved. In NSW
Department of Technical and Further Education v Pitt (1993) 9 NSWCCR 309
Cripps JA, with whom, relevantly for this point, Priestley and Meagher JJA
agreed, said, after quoting the provision:
"That would seem to me to make it clear that this Court is to deal with the
matter upon the basis that there has been no previous impairment and that this
Court is directed to the consequences of the injury the subject of the claim."
To make the clearer what his Honour was saying, he continued: "If the
appellant's submission be accepted, the Compensation Court would be required
to determine the impairment of the back resulting from the injury after the
commencement of the 1987 Act and the impairment of the back resulting from
other causes (in the present case an injury before the commencement of the 1987
Act) and deduct the second from the first. That is expressly what Note (g) forbids.
URJ GLEBE ROWING CLUB PTY LTD v PRIDE (Rolfe AJA) 7
To accede to the appellant's submission would be to oblige the Compensation
Court to do what the legislation says it cannot do, viz treat the worker's previous
impairment as if it did exist."
Judgment was delivered on 11 June 1993.
On 15 August 1993 this Court heard New South Wales Baptist Nursing Homes
Trust (t/as Yallambie Nursing Home) v Bingham (1993) 9 NSWCCR 493.
Judgment was delivered on 21 September 1993 by Mahoney JA, with whom
Sheller and Cripps JJA agreed without reservation. Counsel for the appellant, as
in Pitt, was Mr JL Sharpe. Thus the Judge who gave the leading judgment in Pitt,
and counsel for the appellant in Pitt were involved in Bingham and, one would
have anticipated, it would have been considered by the Court, if it was thought
to be relevant. Once again the applicant in the Compensation Court suffered from
several injuries to her back.
At 502 Mahoney JA commenced to deal with Note (g) and s71 and, at 503, his
Honour said:
"The total effect of these provisions is, I think, intended to deal with a case of
the present kind. If an award of compensation has been made for a partial loss of
a thing and a further loss of the thing occurs the (sensible) intention is that the
partial compensation awarded by the Table is to be increased but only
proportionately to the further loss. For this purpose, a reference to "loss" is a
reference to, inter alia, the impairment of the back. If 'the impairment of the
back" be read into the provisions in the place of "loss" there is, I think, no
semantic difficulty in concluding that the purpose and intention emerges that,
where there has been an increase in the permanent impairment of the back,
further compensation proportionate to the further impairment may be awarded."
As I understand it this decision says the exact opposite to Pitt. Yet there is no
reference to Pitt. In the present appeal Mr Curtis of Counsel, who appeared for
The Croydon Hotel, after citing the passage from the judgment of Mahoney JA,
which I have just quoted, submitted "that is entirely the contrary of what" Cripps
JA decided in Pitt: Tp 13. That submission accords with my own view.
In my respectful opinion the view in Bingham is correct, because it, unlike Pitt,
has regard to the words that "compensation is payable only in respect of the
degree of permanent impairment suffered as a result of the injury", ie an
assessment is made of the degree of permanent impairment resulting from the
injury on a back otherwise assumed or deemed not to be impaired, so there is no
doubling up. In that way only the degree or extent of impairment relating to the
injury is compensible and the decision in Rodios v Trefle is overcome.
However Pitt has been referred to frequently and often approved in this Court,
whereas my researches have disclosed no further reference to Bingham. In Clutha
Ltd v Danswan (1993) 9 NSWCCR 225, in which judgment was given on 5 April
1993, Cripps JA, with whom Meagher JA agreed, said:
"With respect to the new category of loss, Note (g) to the Table provides that
In my opinion, Moroney CCJ was correct, on the findings made, to conclude
that Mr Danswan was entitled to compensation calculated by reference to a 15
per cent loss of efficient use of the left leg at or above the knee. If that is an
unintended result, it is for the legislature and not this Court to correct."
In view of the nature of the injury I do not see the relevance of Note (g) and
perhaps what his Honour said was obiter dictum.
8 UNREPORTED JUDGMENTS
In JA Crockett Pty Ltd v Cox (Court of Appeal - 26 October 1994) Powell JA
gave the principal judgment with which, relevantly for present purposes,
Mahoney and Priestley JJA agreed. The worker suffered successive injuries to his
lumbar spine and, as in the earlier cases, attention was directed to Schedule 6 Pt6
CL6 of the transitional provisions. Powell JA, after a full recitation of the
relevant statutory provisions and a lengthy recital from Pitt, including the passage
concerning Note (g) to which I have referred, held that what Cripps JA had said
in Pitt, at least in relation to Schedule 6 Pt6 CL6, was not obiter dictum and his
Honour said further, at least on this point, that Pitt was supported by Danswan.
Once again Powell JA included a reference to Cripps' JA observations about Note
(g) in Danswan. He posed the question whether these two decisions should be
reconsidered and decided they should not. There was no reference to Bingham.
In Wilkes v State Rail Authority of New South Wales (Court of Appeal - 2
February 1995) the Court comprised Kirby P and Powell and Cole JJA. Once
again the transitional provision required consideration and Danswan and Pitt
were expressly approved. This Court refused leave to re-argue Danswan in
Australian Iron and Steel Pty Ltd v Nixon (Court of Appeal - 13 April 1995 -
unreported) and Pitt, in so far as it dealt with transitional provisions, was
approved expressly by Kirby P in Kempsey District Hospital v Thackham (Court
of Appeal - 7 June 1995 - unreported).
In Mulwaree Shire Council v Bezzina (Court of Appeal - 9 June 1995 -
unreported) Mahoney, Priestley and Powell JJA were asked to re-consider the
transitional provisions and Note (g). Priestley JA, who delivered the judgment of
the Court, held that leave to re-argue the decisions to which I have referred and
Leonie Holdings Pty Ltd v JW Kirkwood Pty Ltd (Court of Appeal - 9 June 1995
- unreported) should not be granted. Once again there was no reference to
Bingham.
This line of authority leads me to the conclusion that the interpretation given
to Note (g) by Cripps JA in Pitt has been approved by this Court and that the
refusal to grant leave to re-argue the matter in Bezzina means that is the
interpretation I should accept, viz that the whole consequences of the loss can be
visited on the second injury, notwithstanding that there was a prior injury, which
caused loss. Therefore, in the present case, it would have been open to Miss Pride
to submit that her entitlement fell to be determined only by reference to the injury
she sustained in the second incident during her employment with The Croydon
Hotel. This she did not do nor did she cross-appeal against the decision seeking
any such order.
$22 provides that if a loss by a worker, as referred to in Division 4 of Pt3,
results from more than one injury to the worker, liability to pay compensation
under the Act is to be apportioned as the Compensation Court determines.
THE APPEAL
The appellant appeals from so much of his Honour's decision as found Miss
Pride was entitled to an award of compensation in the sum of $12,000 pursuant
to s67 of the Act. The grounds of appeal assert that he erred in law in awarding
that amount without due regard to s67(1) and s67(2), and that having found that
Miss Pride suffered a permanent impairment of the back of between twenty and
twenty five per cent of "a most extreme case" resulting from injuries sustained by
her equally in the employment of the appellant and The Croydon Hotel, he could
not, in law, award her compensation pursuant to s67 as she did not, in respect of
URJ GLEBE ROWING CLUB PTY LTD v PRIDE (Rolfe AJA) 9
either injury, suffer a loss of at least ten per cent of the relevant maximum amount
referred to in s66(1), which was required before an award could be made
pursuant to s67(2).
THE SUBMISSIONS ON BEHALF OF THE APPELLANT
The submissions on behalf of the appellant were that his Honour erred, having
found that Miss Pride suffered two injuries that equally contributed to her
impairment and having found that the total impairment was between 1:5 and 1:4,
in that there was no loss from a single injury that was not less than ten per cent
of the maximum amount referred to in s66(1). His Honour, having found that
$13,000 was payable pursuant to s66, found, so it was submitted, that only
$6,500 was payable "in respect of the loss resulting from each of the injuries" and
it was not in issue, if that be the correct view as to what his Honour did, that the
amount of the award under s66 was insufficient to attract the provisions of s67,
so that Miss Pride was not entitled to an award thereunder.
It was submitted that if the appellant's basic proposition was not correct, the
alternative position was that the appellant's liability was for "the eleven per cent
impairment pursuant to s66" so that when Miss Pride went to the employment of
The Croydon Hotel and suffered a further injury and a further "loss" Note (g) is
applied as suggested in Pitt, so that for the purpose of assessing the s67
compensation the Court should "ignore" the ten per cent loss in the appellant's
employment:
"\.. and simply say: this worker has, because of the injury with the second
employer, twenty per cent loss and therefore the worker is entitled to an
assessment under s66 and whatever flows pursuant to s67."
For the reasons I have given I think this is correct, but, as I have come to a
view favourable to the appellant on its first submission it is not necessary to
pursue it.
On behalf of The Croydon Hotel it was submitted that s9(1) provides that a
worker, who has received an injury, shall receive compensation from his/her
employer in accordance with the Act, that s66 provides that if the worker suffers
the loss of a thing mentioned in the Table "as a result of an injury" he/she is
entitled to compensation "for the loss", and that his Honour found, as a fact, that
Miss Pride suffered a single impairment, which was equated in the submission,
to loss as a result of multiple injuries. From this point it was submitted that the
appellant's contentions wrongly assumed that the phrase "results from"
necessarily denoted a single cause, whereas, so the submission ran, a relevant
loss may result from two or "both" injuries and, in these circumstances, once his
Honour's finding pursuant to s66 was accepted, the award pursuant to s67 must
follow. Thereafter it was appropriate for his Honour to consider apportionment,
as between the employers, pursuant to s22.
THE APPROACH FOLLOWED BY HIS HONOUR
The first task his Honour undertook, which in my view was correct, was to
determine whether Miss Pride had suffered "the loss of a thing" within s66(1).
Relevantly, for present purposes, that loss could only be permanent impairment
of the back. To achieve the result he did it seems to me his Honour had to find
that only the second injury caused the loss, either as a matter of fact or as a matter
of the construction of Note (g).
The problem, at this stage, is whether there was one loss resulting from two
injuries, or whether there were two losses resulting from two injuries within the
meaning of s66. For the appellant to succeed it must show the latter. It canna be
in dispute that after the second incident Miss Pride was suffering from a loss
10 UNREPORTED JUDGMENTS
different from that from which she was suffering after the first incident. But the
proper inference from his Honour's findings is that each injury gave rise to a loss
compensible equally under s66. That is made clear by his Honour's findings at
AB71, which I have quoted. Thus as a matter of fact his Honour found two
injuries giving rise to two losses each of which was compensible in the sum of
$6,500, which sum was insufficient to justify an award of compensation under
s67.
THE SUBMISSIONS ON BEHALF OF THE CROYDON HOTEL AND
MISS PRIDE
The submissions on behalf of the Croydon Hotel and Miss Pride were, in my
respectful opinion, encapsulated in the following passage, Tp 10:
"PRIESTLEY JA: Is this your argument, looking at s67, Judge Burke found
this worker had suffered the losses (sic) as a result of two injuries and was
entitled to recover from two employers an amount on that one loss?
CURTIS: Yes.
PRIESTLEY JA: And that s22 only comes into the picture after he has reached
that stage and then via s22(1)(b) enables him to apportion between the two
employers...
CURTIS: Exactly.
PRIESTLEY JA: That is all it is. That is your argument and that is what you
say the Judge properly did.
CURTIS: Yes. I do not think Mr Menary would dispute his Honour is entitled
to do that as a matter of law and the only question is whether he has properly
done so. Your Honour is familiar with the authorities as to specialist jurisdiction
and the reasons, if they are sufficiently clear, need not be exemplary."
The word "losses" should obviously read "loss".
CONCLUSIONS
The problem I have with the submission is that it overlooks the existence of
two injuries each of which gave rise to a compensible loss under s66, and it is
clear from his Honour's findings that had he been considering each such loss
separately he would have found that the amount of compensation payable for
each was $6,500. This, as was not in issue, was below the threshold. The
aggregation of the two losses into one loss was not, in my opinion, a permissible
exercise. The situation may have been different if the factual findings had been
that the first incident did not give rise to a compensible loss. But it is not
necessary to explore that because it clearly did. I would uphold the primary
submission of the appellant. On the view I take it is unnecessary to consider the
apportionment his Honour undertook. The appellant did not appeal against it. The
Croydon Hotel filed a Notice of Contention and Cross-Appeal. It firstly sought to
uphold his Honour's finding on the ground that there was but one injury. In my
view that is untenable on the findings his Honour made. Secondly, it challenges
the apportionment, it being assumed that what his Honour did was make an
apportionment under s22. The ground of that challenge is that as there was only
one injury s22 has no application. That ground must similarly fail for the same
reason. This conclusion also avoids a consideration of the difficulties pointed up
in Patrick Sanderson Stevedoring Pty Ltd v Mali and Anor (Court of Appeal - 11
August 1995 - unreported).
However, notwithstanding that Note (g) and its effect was expressly raised for
consideration, Miss Pride did not seek to submit that the application of Note (g),
which has found favour with this Court, would have allowed her to maintain the
compensation under s67 as against The Croydon Hotel. The submissions on her
URJ GLEBE ROWING CLUB PTY LTD v PRIDE (Rolfe AJA) 11
behalf were directed to repulsing the first submission on behalf of the appellant
and not to embracing the second. This approach is, no doubt, understandable by
dint of there being no cross-appeal as the procedural basis for launching such a
submission. Indeed counsel for Miss Pride acknowledged firstly that he only had
to deal with the appellant's first submission and conceded that if that submission
succeeded his client failed to establish an entitlement to s67 compensation: Tp
16.
PROPOSED ORDERS
The consequence is that I agree with the orders proposed by Meagher JA,
although, in addition, I note that in consequence of O.3 being set aside, O.5
should also be set aside.
1. Appeal allowed.
2. O.3 and O.5 of judgment below set aside.
3. Respondent to pay appellant's costs of the appeal and to have certificate
under Suitors Fund Act.
4. Cross-appeal dismissed with costs.
Counsel for the Appellant: P MENARY
Counsel for the Respondent: (1) N MAYELL (2) J CURTIS
Solicitors for the Appellant: AO ELLISON AND CO
Solicitors for the Respondent: (1) IAN M GENGE (2) HICKSON LAKEMAN
AND HOLCOMBE
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