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The management firm of oil and gas giant New Zealand Energy Corporation must pay four staff it sacked “out of the blue” more than a quarter of a million dollars in lost wages, reimbursements and compensation.
In a damning decision around process, the Employment Relations Authority has found NZEC Management Limited guilty of breaching good faith as an employer.
The Taranaki based management arm of the oil and gas exploration firm blamed its precarious financial position, and the Covid pandemic for the way in which it carried out what were initially pay cuts, but which soon after became job cuts.
The failure in process has resulted in a combined compensation order for the hurt caused of $74,000. The remainder is in compensation for lost wages and reimbursement of pay that was cut prior to the layoffs, leading to a total $278,589 order.