[2007] AIRC 912

PR979615
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AUSTRALIAN INDUSTRIAL RELATIONS COMMISSION

Workplace Relations Act 1996
s.643 application for relief in respect of termination of employment

Richard Hudson

and

Woolworths Limited
(U2007/2686)

 
   

COMMISSIONER THATCHER

SYDNEY, 24 OCTOBER 2007

Termination of employment - arbitration

DECISION

[1] This is an application made under s.643(1)(a) of the Workplace Relations Act 1996 (the Act) by Mr Richard Hudson who contends that the termination of his employment by Woolworths Limited (Woolworths) was harsh, unjust or unreasonable.

[2] The matter was not settled in conciliation and proceeded to arbitration following a decision by Cargill C on 12 June 2007 to extend the time for the lodgement of the application.

[3] On 13 December 2006 Mr Hudson was summarily dismissed from his employment as a Night Filler at the Big W store in Tamworth for reason of misconduct.

[4] Mr Hudson, who is 57 years of age, had worked with Woolworths continuously since 4 December 2003. 1 At the time of his termination he was working 35 hours per week Mondays to Fridays with overtime on special occasions. He was responsible for maintaining levels of stock within the home entertainment department and his role did not include any supervisory or management responsibilities.

[5] The incidents that led to the termination of Mr Hudson’s employment occurred in the home entertainment department on two consecutive days, namely Thursday 7 December 2006 (the first incident) and Friday 8 December 2006 (the second incident).

[6] During the hearing, Mr Hudson gave evidence on his own behalf and the following persons gave evidence on behalf of Woolworths:

THE EVIDENCE

First incident

[7] The incident occurred at approximately 8.45 pm on 7 December 2006. Mr Hudson was putting DVD’s into plastic safers and found they had gone from the counter when he turned to get some more. There was contradictory evidence of what then happened.

[8] According to Mr Hudson’s evidence, he said words to the effect of: ‘Ben, where are they?’ to which Ben replied: ‘I have put them away.’ Mr Hudson, who thought that Ben would have seen that he was using them said: ‘Ben, I was using them’, thinking Ben’s answer to be a bit silly. Mr Hudson then ‘playfully flicked him on the upper part of his arm’ without any force associated with the flick. Ben then said words to the effect: ‘You don’t have to touch me’. He thought Ben was joking and left it at that. He denied yelling at or raising his voice 3 or using any threatening language to Ben.

[9] According to Mr Hudson, a couple of minutes later he saw that some CD’s had been left on the counter and he asked Ben if he had been pricing them, to which Ben replied that he had not. Another employee said that she had been pricing the CDs.

[10] According to Ben’s evidence, he and Mr Hudson were working at the counter but he was not aware of what Mr Hudson was doing. In the process of clearing work space so he could count his draw (which contained the day’s takings) he saw two plastic safers next to the draw and put them under the counter. Without saying anything Mr Hudson turned to Ben and started to ‘baby-slap’ him on the arm. 4 When asked how he felt Ben stated: ‘It probably was a surprise. I’d never been physically like, you know, hurt, touched or anything in a workplace so it was a shock to me that he was hitting me on the arm for no apparent reason that I knew at the time.’5 Whilst he did not feel threatened by the physical contact,6 Ben stopped what he was doing and demanded: ‘Why did you touch me?’ and Mr Hudson replied: ‘I’m using those’. Ben then said ‘deeply and rightfully’:7Well you didn’t have to touch me’.

[11] According to Ben, Mr Hudson responded, in a threatening manner, by saying words to the effect: ‘I’ll knock you down’. Ben was shocked and turned away without saying anything and tried to carry on with what he had been doing even though his immediate supervisor at the time 8 who had heard what Mr Hudson had said9 was egging things on with comments like: ‘You can take him Ben’ - which Ben took to mean to respond verbally to Mr Hudson.10 Ben chose not to respond11 and after about 15 seconds Mr Hudson said smartly (in a teasing way12): ‘What? Did I upset you?

[12] In his evidence Ben described the subsequent events as follows:

[13] Under cross-examination Ben described how he did not respond at that time as, without exaggeration, he was fearful for his life. 13 In his prepared statement he describes his reaction as follows:

[14] Also, according to Ben’s evidence, after the store closed and before 9.40pm as he was going about his tasks Mr Hudson yelled out to him with words to the effect: ‘Who owns this stock down here?’ to which Ben replied resentfully: ‘Not me.’ According to Ben, Mr Hudson ‘didn’t like my comment as he asked me the same question three times and each time I gave the same answer.’ Mr Hudson appeared to become “angry with me and said:Well that’s a BIG help Ben’. Nothing more transpired between them after the other employee intervened and explained to Mr Hudson that she had been dealing with the stock he was asking about.

[15] Ben stated that before leaving work at 10.00pm he spoke to a colleague about what had happened (no appropriate manager being on duty at the end of his shift 14) who advised him to report it. When he met his mother in the car park he broke down in tears because he was very upset about the incident and felt frightened. He persuaded his mother to take him home where he made handwritten notes of what occurred. Prior to attending school the next day Ben’s mother took him to speak with Mr McBlane, where Ben explained what happened and showed Mr McBlane the handwritten notes. At Mr McBlane’s request, after school Ben wrote a detailed description of the incident and gave it to Mr McBlane.

[16] In giving evidence, Mr Hudson and Ben each demonstrated the physical contact that occurred with the flick/baby-slap. As demonstrated by Mr Hudson it was a light one-off cuff with open fingers to Ben’s upper arm without significant force. As demonstrated by Ben, Mr Hudson used the back of his fingers of an open hand to make contact with his forearm on four or five occasions (with the timing similar to knocking on a door) and the force used was not significant (more than a tap but less than a smack).

[17] Mr Hudson’s evidence of his prior working relationship with Ben was that he had never had any problem with Ben and he considered that they got on quite well. He considered Ben to be a fairly easy-going boy and a good worker. 15

[18] Ben’s evidence was that there weren’t any problems between himself and Mr Hudson prior to the incident, 16 although they were not on particularly friendly terms.17 In re-examination Ben stated that he had experienced Mr Hudson to be moody and angry18 and on those days he had kept his distance as he felt scared.19 On other occasions he’d been able to approach Mr Hudson and work alongside him.20

[19] According to Ben’s evidence it seemed to him that:

[20] Further, at the beginning of his shift on the day in question Ben had observed Mr Hudson to be in an angry or anxious 22 mood because he wasn’t talking to people and seemed withdrawn23 and he had been advised by a colleague that Mr Hudson had been in a funny mood as ‘he was quite angry/shitty.’24

Second incident

[21] It was not disputed that it is usual for music of current hits/top 20 to be played in the home entertainment department at a level louder than background/lift music. 25

[22] The incident occurred as approximately 7.40pm on 8 December 2006 (outside trading hours) and involved the music that Mr Howell was playing on stock that was on display. According to Mr Howell: “… I had put a CD on the stereo that I thought he would like. We had previously had disagreements about what sort of music to play on the stereo so I had deliberately chosen a CD with popular music on it that I thought he would not object to.” 26

[23] Without consulting anyone Mr Hudson went over and turned the music off. Mr Howell observed this and about three or four minutes later he turned the music back on and lowered the volume slightly in case it was disturbing one of the night fill staff. Mr Hudson went over again and turned it back off and Mr Howell then turned it back on, each without discussing it with the other. Mr Hudson (for the third time) turned it back off.

[24] What Mr Hudson said when he turned to Mr Howell was disputed. According to Mr Hudson, he said: ‘Now leave it off’. According to Mr Howell, Mr Hudson said: ‘Now leave it off this time you little shit’.

[25] Mr Howell was annoyed that Mr Hudson had turned the music off and had used offensive language to him  27 and said: ‘I do not have to listen to you. You are not a manger. A manager did not ask you to turn it off. You are no higher than me in the food chain.

[26] According to Mr Hudson, he then responded: ‘Just leave it off’.’ According to Mr Howell, Mr Hudson then stated: ‘Just do it you little shit.

[27] The verbal exchange became heated with Mr Howell responding angrily: ‘You are a dickhead’, Mr Hudson in turn responding: ‘What did you say?’ and Mr Howell responding: ‘You heard me’, and Mr Hudson repeating: ‘What did you say?’ as Mr Howell made his way five or six metres back to the checkout area to get more returns 28 and Mr Hudson moved about two metres towards Mr Howell to roughly the TV/DVD stand, with the result that they came directly face to face.29

[28] According to Mr Hudson’s evidence, he did not become upset when Mr Howell said he was not a manager. 30 However as the argument became more heated he became ‘slightly angry’ when called a dickhead31 and partly because of his migraine. After the further words were exchanged, without really thinking:32

[29] According to Mr Howell’s evidence:

[30] Mr Hudson denied that he had said: “Well I could have you for what you have said to me.” 34

[31] Mr Hudson’s evidence was that there were several things that contributed towards his reaction to Mr Howell. As well as his migraine, he was going through a difficult time with his separation from his former wife and his leg was hurting (caused by a knee injury from the previous week). 35

[32] Mr Howell’s evidence was that Mr Hudson was not an easy character to work with. They had a number of minor arguments when they had worked together prior to the second incident. He had never raised Mr Hudson’s conduct with management. Although he had felt uncomfortable around Mr Hudson he had never felt threatened or scared. He thought that Mr Hudson thought himself a manager and that he could tell Mr Howell what to do when he was not entitled to. 36

[33] Mr Hudson’s evidence was that he had not had a number of minor arguments with Mr Howell when they had worked together. Prior to the second incident Mr Hudson had formed the view that they got on well and were able to work together.

The investigation

[34] On 9 December 2006 Mr Biggers received a telephone call from Mr McBlane advising him that he had received two separate complaints relating to incidents involving allegations of violence by Mr Hudson. Mr Biggers requested that Ben and Mr Howell be asked to write down what had happened and that Mr McBlane contact Mr Hudson and get him to provide a statement.

[35] Mr Biggers received the statements of Mr Howell and Ben on 12 December 2006.

[36] Mr Biggers also received a statement from Mr McBlane 37 regarding his discussion with Mr Hudson, which included Mr McBlane advising Mr Hudson that the two incidents were to be investigated whilst he was stood-down (on full pay) and requesting Mr Hudson to provide a statement of what occurred.

[37] Mr Hudson declined to provide a statement. 38

[38] On 13 December 2006 Mr Biggers met with Mr Hudson and Mr McBlane. Mr Biggers had no previous knowledge of Mr Hudson. At Mr Hudson’s request the union delegate was present.

[39] Prior to the meeting Mr McBlane informed Mr Biggers that on 27 September 2006 Mr Hudson had received a written warning in connection with a second occurrence of his failing to report an injury on the same day that the injury occurred. 39

[40] At the meeting Mr Biggers informed Mr Hudson that the complaint by Ben involved alleged intimidation and touching and that the complaint by Mr Howell involved an alleged assault. Mr Biggers provided Mr Hudson with the statements of Mr Howell and Ben. Mr Hudson read through them and said he did not agree with everything. Where he did not agree, Mr Biggers wrote his remarks directly onto the statements. 40

[41] In respect of the first incident, Mr Biggers wrote on Ben’s statement that Mr Hudson had said that:

    1. the other employee’s advice to Ben of Mr Hudson’s mood earlier in the day was irrelevant;
    2. he did ‘hit him once/flick what ever you want to call it’ on the arm; and
    3. he did not say to him ‘I’ll knock you down’ or ‘I’ll knock you over the head’.

[42] Even though Mr Biggers wrote the words in subparagraph 41(b) above on Ben’s statement during the meeting, in his evidence Mr Hudson admitted only to using the word ‘flick’ when talking to Mr Biggers and not to using the word ‘hit’. 41

[43] In relation to the second incident, Mr Biggers wrote on Mr Howell’s statement that Mr Hudson denied calling Mr Howell a ‘little shit’. Also, Mr Biggers highlighted a sentence in Mr Howell’s statement which described the physical contact of Mr Hudson with his palms as a ‘hit’ and stated that at the meeting Mr Hudson described his contact as a ‘push’.

[44] Mr Biggers made written notes of the meeting on the Woolworths pro forma. According to Mr Biggers, in agreeing to his pushing Mr Howell, Mr Hudson told him that he was an epileptic and was on medication. Mr Biggers included this in the written notes of the meeting.

[45] Although it is not included in the written notes, both Mr Hudson and Mr Biggers gave evidence that Mr Hudson told Mr Biggers that he had been under considerable stress of late with the formal separation from his partner. (Mr Biggers established that the break-up had occurred about 12 months earlier.)

[46] According to Mr Hudson, he told Mr Biggers that his knee was causing him considerable pain and discomfort. Mr Biggers evidence was that he had no recollection of any mention being made by Mr Hudson during the meeting of his knee injury. No notation of any such mention was made in the notes of the meeting.

[47] Mr Hudson’s evidence was that: ‘I told him that I was under considerable emotional stress due to these types of problems in my life which may have had an effect on my demeanour at work.

[48] Mr Hudson declined to sign the record of the meeting. 42

[49] In giving evidence Mr Biggers, when referring to his discussions with Mr Hudson prior to the commencement of the formal interview, stated: ‘- at one point he said he shoved one of the guys and he didn’t think – he couldn’t see that shoving was a problem and basically he’d been provoked by the others anyway.’ 43

[50] It was not disputed that Mr Hudson did not apologise for his actions of pushing Mr Howell, 44 and there was no evidence to suggest that Mr Hudson acknowledged that it was inappropriate to have pushed Mr Howell or have touched Ben, other than Mr Hudson, under cross-examination, denying that he had said: ‘I haven’t done anything wrong.45

[51] It seems that Mr Biggers gave Mr Hudson a short statement from another employee who, whilst in the menswear department, had observed the incident between Mr Hudson and Mr Howell. 46 That person was not called to give evidence in support of Mr Hudson or Woolworths. Mr Hudson was not asked to comment on the statement during the meeting and there is no mention of it having any significance in the notes of the meeting.

[52] Because Mr Hudson had admitted to pushing Mr Howell, Mr Biggers did not consider it necessary to interview Mr Howell. Because Mr Hudson had admitted to flicking 47 Ben, as the admission involved some physical contact he did not need to question Ben.48 He did not investigate the alleged intimidation of Ben by Mr Hudson other than getting his denial of threatening to knock Ben down or over the head.49 He considered that each admission amounted to a breach of the Woolworths code of conduct.

[53] Mr Biggers evidence was that in deciding what action to take in relation to Mr Hudson he took into account everything that Mr Hudson had said in relation to the incidents and his personal circumstances, including that:

[54] After the interview, Mr Biggers terminated Mr Hudson’s employment with immediate effect.

[55] Mr Biggers spoke to Mr McBlane and asked him to counsel Mr Howell in relation to his conduct during the second incident.

[56] Mr Biggers evidence was that Woolworths has a policy of zero tolerance in relation to all physical violence in the workplace, with ‘action being taken against any employee who is found to have committed an act of violence in the workplace.’

[57] Mr Biggers interpretation of the Woolworths code of conduct was that unacceptable behaviour can result in dismissal. 50 He considered any kind of inappropriate touching,51 including any kind of pushing to be unacceptable.52 In the cases he has dealt with or been aware of, pushing has justified dismissal.53

[58] Mr Biggers did not regard the push by Mr Hudson of Mr Howell to be physical fighting for the purposes of the code of conduct 54as he regarded physical fighting by two people as when each initiated contact with the other.55 For the purposes of the Woolworths code of conduct he regarded the push as being physical intimidation and bullying behaviour by Mr Hudson.56

[59] Mr Biggers stated that if only the ‘baby-slap/flick’ portion of the first incident was taken in isolation it would have warranted Mr Hudson being performance managed over physical contact and saying to him: ‘That’s unacceptable, it can’t happen again.’ 57

[60] The main element or biggest factor 58 that caused him to terminate Mr Hudson’s services was his admission to pushing Mr Howell59 which was totally unacceptable.60 He had considered the Woolworth’s culture of not tolerating physical violence in the workplace and regarded the push as violence.61

[61] Also, Mr Biggers gave evidence of his consideration of his obligations to protect the health, safety and welfare at work of all employees. He stated: ‘...Everyone may think its just a simple pushing of someone, the simple thing is if that person had fallen even and we’ve all seen it before where a serious injury could occur and that’s just not acceptable to myself morally or legally.’ 62

Code of conduct and induction booklet

[62] Woolworths tendered a signed statement by Mr Hudson dated 7 January 2004 stating that he agreed that:

[63] Mr Hudson’s evidence was that he signed the statement without reading the code of conduct. Also, he was given the induction handbook in January 2004 and he signed it and handed it straight back. There were never any formal conference/discussions with the training manager in relation to the content of the workbook or codes of conduct that were to apply.

[64] Mr Biggers’ evidence was that Woolworths employees have a fairly clear understanding of what is acceptable behaviour because it is promoted very heavily throughout the business ‘in our code of conduct and on a regular basis’. 64

APPLICANTS SUBMISSIONS

[65] The submissions on behalf of Mr Hudson included the following:

(b) Mr Hudson had been provoked by what Mr Howell had said to him.

(h) The process followed in investigating the incident was flawed, including:

[66] In response to my inquiry as to whether I should take account of the age differentials between Mr Hudson and Mr Howell and Ben, it was submitted on behalf of the applicant that Mr Hudson was not using his age as a means of using a power imbalance to intimidate two young workers. It was submitted that Mr Howell and Ben each regarded Mr Hudson as an equal who did not consider himself to be their equal.

RESPONDENTS SUBMISSIONS

[67] Woolworths submissions included the following:

(a) Mr Hudson admitted to hitting/flicking Ben and pushing Mr Howell.

LEGISLATION

[68] Subsection 643(1)(a) of the Act provides:

[69] In Byrne v Australian Airlines Limited the High Court explained similar grounds 72 as follows:

[70] In determining whether a termination was ‘harsh, unjust or unreasonable’ the Commission must have regard to the matters identified in s.652 (3) of the Act, namely:

[71] In having regard to the matters identified in s.652(3) each of the matters referred to in paragraphs (a) to (g) must, in so far as they have application or are relevant to the circumstances of the case, be treated as a matter of significance in the decision making process. 74

[72] In considering applications made pursuant to s.643(1)(a), the Commission must have regard to the provisions of subsection 635(2) of the Act which provides that the procedures and remedies concerning the conciliation and arbitration of claims, as well as any decision on remedies:

[73] In a matter in which the termination is based on the conduct of the employee, the Commission must determine whether the conduct took place and what it involved. 76 The Commission must make a finding on the evidence before it as the test is not whether the employer believed, on reasonable grounds after sufficient inquiry, that the employee was guilty of the conduct which resulted in the termination.77

CONSIDERATION

S.652(3)(a): whether there was a valid reason for the termination related to the employee’s capacity or conduct (including its effect on the safety and welfare of other employees)

[74] For a reason to be ‘valid’ within the context of s.652(3)(a), it must be ‘sound, defensible or well founded’ and ‘genuinely connected with the employee’s capacity or conduct’, 78 including its effect on the safety and welfare of other employees.

[75] The words ‘including its effect on the safety and welfare of other employees’ were inserted by the Workplace Relations Amendment (Work Choices) Act 2005. The Explanatory Memorandum to the Bill that resulted in that Act, namely the House of Representatives Workplace Relations Amendment (Work Choices) Bill 2005, when referring to that amendment, stated:

[76] In determining what conduct occurred, I will have regard to all of the evidence before the Commission as I am obliged to consider whether there was a valid reason for Mr Hudson’s termination of employment and not be limited to the reason given by the employer for the termination. 79

[77] In considering whether or not a valid reason existed for Mr Hudson’s termination of employment the Commission does not take account of whether the termination was a summary dismissal or was with notice (or compensation in lieu thereof). 80 (In circumstances of summary dismissal the issue of whether the penalty imposed was proportionate to the conduct is a matter appropriately considered in the context of s.652(3)(g).81)

[78] In relation to the first incident, I am satisfied that when Mr Hudson ascertained that Ben had removed the plastic safers, as a mild form of admonishment he touched Ben without significant force in the manner described by Ben (refer to paragraph 16 above). In that respect, having observed each give their evidence, I have preferred Ben’s evidence to that of Mr Hudson. There was no reason for Ben to fabricate what occurred whereas Mr Hudson was in some physical pain and under some personal stress. In any event, Ben acted appropriately in advising Mr Hudson that he did not welcome being physically touched and the incident (which I would not characterise as violence to any extent) should have ended there. I appreciate that it may be awkward for a 16 year old to convey his objection to being touched to a 57 year old, but I find that Ben conveyed his wish assertively and not aggressively.

[79] However, I am satisfied that the incident did not end there. Ben presented to the Commission as a fairly serious young man with a level of maturity appropriate for his years. According to Mr Hudson he was a fairly easy going boy. I prefer his evidence, which was tested under cross-examination, of how, after he did not react to Mr Hudson’s tease of: ‘What, did I upset you?’, Mr Hudson in an aggressive manner leant over him and threatened him with physical violence, even though there was no evidence that Mr Hudson was serious about acting on the words used. It is more likely that Mr Hudson was functioning under a ‘short fuse’ following Ben’s assertive rejection of his previous physical contact and reacted to Ben’s ignoring his tease, than Ben fabricating the events.

[80] By his behaviour Mr Hudson, who had been in a mood and was in some physical pain and under some personal stress, acted in a most unsatisfactory manner and without regard to the differing levels of maturity of Ben and him, for which Mr Hudson should reasonably have made an allowance. I find that nothing than Ben did justified such an aggressive, threatening and intimidating response from Mr Hudson which was unacceptable and contrary to the Woolworths code of conduct.

[81] In determining whether such aggressive behaviour was unsatisfactory, I have not taken into account whether Ben actually felt intimidated. Rather I have viewed the behaviour objectively and from the perspective of whether or not a reasonable person, being a child of Ben’s age, would have reasonably found Mr Hudson’s behaviour threatening or intimidating. Whilst Ben might fear for his life in Mr Hudson’s presence, viewed objectively, there are no reasonable grounds for such a fear.

[82] The second incident involved the argument between Mr Hudson and Mr Howell which had its genesis in Mr Hudson turning the music off without consulting Mr Howell who was playing the music in accordance with a common practice. The incident escalated when Mr Howell called Mr Hudson a dickhead in response to Mr Hudson calling Mr Howell a little shit. Whilst Mr Hudson denied calling Mr Howell a little shit, having observed the witnesses and heard their evidence I prefer the evidence of Mr Howell to that of Mr Hudson. The turn-off/turn-on off process without either speaking to the other and the nature of the name calling demonstrated immature behaviour by each which does neither of them credit.

[83] However Mr Hudson then pushed Mr Howell with both palms to his chest area, with sufficient force which I accept caused him the take a couple of steps backwards (which, from its description, I find is more aptly described as a shove). Mr Hudson’s taking the exchange between them to a physical level was totally unacceptable considering:

[84] In determining whether Mr Hudson’s aggressive behaviour was unsatisfactory, I have not taken into account whether the shove actually caused Mr Howell to feel scared or threatened by the prospect of Mr Hudson carrying on with a punch or the like (which he did not). Rather I have viewed Mr Hudson’s behaviour objectively and from the perspective of how a reasonable person, including persons within the age range employed at the Big W store, Tamworth, would have reasonably found Mr Hudson’s behaviour.

[85] Mr Howell’s response to Mr Hudson’s shove backwards does not excuse Mr Hudson’s physical aggression. Mr Hudson must accept responsibility for his actions in resorting to such physically aggressive behaviour.

[86] I am satisfied that in shoving Mr Howell, Mr Hudson’s behaviour was unacceptable and contrary to the Woolworths code of conduct.

[87] Having applied s.643(1)(a) to the evidence, I am satisfied that the following reasons taken cumulatively constitute serious misconduct such that a valid reason existed for terminating Mr Hudson’s employment:

S.652(3)(b): whether the employee was notified of that reason

[88] The reference in s.652(3)(b) to ‘that reason’ is a reference to the ‘valid reason’ for the employee's termination. 83 The reason must be given prior to the decision to terminate.84

[89] There is no dispute over the matters that were put to Mr Hudson at the meeting on 13 December 2006, which included the accounts of Ben and Mr Howell of the incidents.

[90] At that meeting Mr Hudson was not notified that the reason for his termination included what I have found to be his aggressive, threatening and intimidating conduct to Ben (subsequent to the ‘baby-slap’). However he was questioned about those allegations and denied the conduct.

S.652(3)(c): whether the employee was given an opportunity to respond to any reason related to the capacity or conduct of the employee

[91] The ‘opportunity to respond’ in s.652(3)(c) refers to an opportunity that is provided before a decision is taken to terminate the employee's employment. 85 The ‘any reason’ refers to the valid reason for the employee’s termination.86

[92] In cases where an employee’s conduct is involved, this opportunity serves two purposes. Firstly, it gives the employee the opportunity to demonstrate that the allegations have no foundation. Secondly, it gives the employee the opportunity to persuade the employer that, while the allegations are of substance, there are factors that should persuade the employer not to terminate the employment. Those factors may be extenuating personal circumstances or they may involve undertakings about future conduct. 87

[93] At the meeting on 13 December 2006, in the presence of the union delegate, Mr Hudson was asked to respond to the written allegations which included the valid reason referred to in paragraph 87 above.

[94] Whilst I doubt that Mr Biggers adequately investigated the allegations by failing to question Ben or Mr Howell about their written statements before interviewing Mr Hudson, I do not regard that doubt sufficient to find the process not to have been sufficiently procedurally fair to Mr Hudson who had ample opportunity to respond to the written allegations in the presence of the union delegate. 88

[95] The evidence did suggest that Mr Biggers, on hearing Mr Hudson’s admission of his physical contact with Mr Howell and Ben, considered that he had no option but to take action against Mr Hudson because of Woolworths zero tolerance policy. However I accept Mr Biggers evidence that, before making the decision to terminate Mr Hudson, he weighed up the seriousness of the allegations with the other circumstances known to him.

S.652(3)(d): if the termination related to unsatisfactory performance by the employee—whether the employee had been warned about that unsatisfactory performance before the termination

[96] The question of whether Mr Hudson was warned about his performance before the termination of his employment is only relevant if the termination related to his unsatisfactory performance. I have found that there was a valid reason for Mr Hudson’s termination which related to his conduct rather than to unsatisfactory performance by him.

S.652(3)(e): the degree to which the size of the employer’s undertaking, establishment or service would be likely to impact on the procedures followed in effecting the termination

[97] Woolworths is a large organisation and therefore cannot rely upon its size as a justification for any defects in the procedures followed in effecting the termination of Mr Hudson’s employment.

S.652(3)(f): the degree to which the absence of dedicated human resource management specialists or expertise in the undertaking, establishment or service would be likely to impact on the procedures followed in effecting the termination

[98] Woolworths has the capacity to ensure that persons involved in implementing procedures for the termination of employees have sufficient training to enable them to discharge those responsibilities reasonably.

S.652(3)(g): any other matters that the Commission considers relevant

[99] I am required to have regard to any other matters I consider relevant.

Work record

[100] Mr Hudson had worked continuously for Woolworths for a period of approximately three years. There is no evidence of his performance being other than satisfactory, apart from approximately three months earlier he received a written warning because on a second occasion he had failed to report an injury on the same day as the injury occurred.

[101] Mr Hudson was not a long serving employee with an unblemished record.

Knee injury

[102] Mr Hudson was absent on sick leave on the three days prior to the first incident, namely on 4, 5 and 6 December 2006. He returned to work on 7 December 2007, the day of the first incident.

[103] There was no medical evidence to support Mr Hudson’s assertion that at the time of each of the incidents he was experiencing considerable pain and discomfort from his knee.

[104] Given that the notes of the interview on 13 December 2007 include Mr Hudson’s reference to being an epileptic who was on medication, I think it reasonable to infer that if Mr Hudson had referred at that meeting to such pain and discomfort as being a mitigating factor of any significance, it would have also been recorded. In any event whilst this might be a reason for Mr Hudson feeling ‘out of sorts’ or adversely affecting his performance, it is does not excuse his conduct towards other employees which I have identified as a valid reason for the termination of his employment.

Epilepsy

[105] Whilst this was mentioned by Mr Hudson during his interview with Mr Biggers, during the proceedings before the Commission it was not raised on behalf of Mr Hudson as a mitigating factor or extenuating circumstance.

Headache/Migraine

[106] At the time of the incident with Mr Howell, Mr Hudson had a bad headache/migraine. Whilst this might be a reason for Mr Hudson feeling ‘out of sorts’ or affect his performance, it does not excuse the conduct towards Mr Hudson which I have identified as a valid reason for the termination of his employment.

Family circumstances

[107] Mr Hudson is the father of a 14 year old dependant daughter who lives with her mother. The break-up with his former partner of some 13 years (who is employed in the same store) occurred a bit before December 2005 – approximately 12 months before the incidents.

[108] Mr Hudson gave evidence that at the time of the incidents he was going through a difficult time with the separation. He had thought that he could re-establish the relationship but had found out that his former partner was involved with another person who had commenced living with her and that depressed him somewhat. 89

[109] At the time of his interview with Mr Biggers his relationship with his former partner was such that he had requested that she be a witness at the interview.

[110] The Commission was provided with a certificate from Mr Hudson’s general practitioner dated 29 March 2007 which stated that Mr Hudson had been having personal difficulties for several months and prior to his medical treatment commencing in early December 2006. It includes: “These difficulties are likely to have contributed to the behaviour that lead to his dismissal in mid-December.” 90

[111] Whilst his family circumstances would be a factor that would have contributed to Mr Hudson’s emotional state at the time of the incidents, I am not persuaded that it is a factor that goes in favour of a finding that Mr Hudson’s termination of employment was harsh, unjust or unreasonable.

Consequences of termination upon personal and economic situation

[112] Some measure of regard should be given to the impact of the termination. 91

[113] Mr Hudson has experienced difficulty in obtaining alternative employment which he is yet to obtain. This would not have been assisted by his undergoing a knee operation in late February 2007 which made him unavailable for work until 11 April 2007.

[114] I accept that Mr Hudson is of an age where it may be more difficult for him to obtain employment than if he was younger, particularly in the absence of a positive reference from Woolworths. This is a factor that goes in his favour when considering the harshness of the termination of his employment.

Lack of remorse

[115] The written submissions on behalf of Mr Hudson in these proceedings refer to his conduct as unfortunate and unacceptable. Neither of his prepared statements (dated 11 July 2007 and 17 August 2007) contain any such view.

[116] I accept that during his interview Mr Hudson took the view that his actions did not warrant the termination of his employment.

[117] However I also accept that that during his discussions with Mr Biggers, both prior to and during the interview, Mr Hudson did not apologise for or indicate that he considered there was anything wrong with his shoving Mr Howell.

[118] I also accept that that during his discussions with Mr Biggers, Mr Hudson saw nothing wrong in his unwelcome touching of Ben (which is not to say that the ‘baby-slap’ incident was something which, of itself and if not repeated, constituted misconduct).

[119] There was no indication in Mr Hudson’s evidence that at the time of the termination of his employment he had appreciated the care that must be reasonably taken when someone of his age interacts with workers of such lesser age, life experience and maturity within the working environment of the Big W store in Tamworth.

[120] This goes against a finding that his termination of employment was harsh, unjust or unreasonable.

[121] In saying that, I think that it is commendable that Mr Hudson has subsequently been undergoing counselling in connection with the breakdown of his marriage. In his evidence Mr Hudson stated that he has learned a lot from the experience of his termination of employment and that he is willing to continue with his counselling.

[122] Under cross-examination, when asked if he could again, without thinking and instinctively, push another worker in the future Mr Hudson stated: ‘No, because I voluntarily sought counselling over my behaviour and I feel I’m a better person now.’ 92 Also he stated: ‘I don’t feel I would react that way at all again. I’ve learnt my lesson.93

[123] Mr Hudson is a person with considerable work experience within the retail industry, having worked for 15 years at Coles as a supermarket manager as well as his experience with Woolworths, and I see no reason why, given his voluntary counselling and his acceptance that his behaviour during two incidents on 7 and 8 December 2006 was unacceptable, he should not be given the opportunity to obtain further work with young people within the retail industry or other industries.

Inequality of treatment

[124] There was no cause for Woolworths to admonish Ben for his role in the first incident. He had the right to inform Mr Hudson assertively that he did not want to be touched, without some form of retaliation.

[125] There was no evidence on what action, if any, Woolworths took in respect of the immediate supervisor who was egging Ben on to respond verbally to Mr Hudson’s initial threat.

[126] Action was taken to counsel Mr Howell for his conduct in relation to the second incident.

[127] I am satisfied from the evidence that the working environment at the Big W store, Tamworth is not such as to accept or ignore conduct similar to that of Mr Hudson in the valid reason I have identified. There was no evidence to suggest that others had received more lenient treatment for similar conduct or that his summary dismissal was disproportionate to disciplinary action taken in respect of other employees at Big W stores.

[128] This is not a factor that goes in favour of a finding that Mr Hudson’s termination of employment was harsh, unjust or unreasonable.

Was termination disproportionate?

[129] In having regard to whether the sanction of summary dismissal was disproportionate to the gravity of the valid reason for the termination of Mr Hudson’s employment, I have considered whether some lesser alternative response was warranted. In doing so I have given no weight to the ‘baby-slap’ of Ben (which is not part of the valid reason) which would warrant, at most, some form of counselling of Mr Hudson by his supervisor in an endeavour to ensure that Mr Hudson appreciated that unwelcome touching of another in the workplace is inappropriate.

[130] I have concluded that, taken in isolation:

[131] On that basis, if time had allowed the incidents to be dealt with separately, the shoving incident would have occurred within the context of Mr Hudson having received three warnings, 94 including a prior final written warning.

[132] Of course it is the collective weight of subparagraphs 130(a),(b) and (c) above that must be considered in making a finding under s.652(3)(g).

[133] In my opinion, the conduct of Mr Hudson did warrant his termination of employment by way of summary dismissal.

[134] This is a factor that goes against a finding that Mr Hudson’s termination of employment was harsh, unjust or unreasonable.

Maintenance of discipline amongst employees

[135] There are currently around 150 employees at the Tamworth store and the number increases at Christmas time to around 220 employees. It is relevant that a number of employees are under 18 years and attend school.

[136] Because of the working environment it is important that Woolworths establish and maintain discipline amongst its employees such that employees who are children (and their parents) know that they work in an environment where they feel safe from intimidation and physical aggression.

Summary

[137] After consideration of these other relevant factors I find, on balance, that they do not favour a finding that the termination was harsh, unjust or unreasonable.

CONCLUSION ON HARSH, UNJUST OR UNREASONABLE AND A FAIR GO ALL ROUND

[138] After having regard to my findings in relation to each of the matters in paragraphs 652(a) to (g) of the Act, I am satisfied that the termination of Mr Hudson’s employment by Woolworths was not harsh, unjust or unreasonable.

[139] In arriving at that decision I have been conscious of the objects of Division 4 (Termination of Employment) of Part 12 of the Act, including ensuring that both Woolworths and Mr Hudson are accorded a ‘fair go all round’.

BY THE COMMISSION:

COMMISSIONER

Appearances:
Mr M Easton of counsel with Mr A O’Halloran for the Applicant
Ms P Thew of counsel with Ms S Barry of Henry Davis York for the Respondent

Hearing details:
2007.
Tamworth:
August 22.

Printed by authority of the Commonwealth Government Printer

<Price code C>

 1   Having previously worked with the company for a period of 2 years from 1991 to 1993.

 2   Because he is a child I have exercised my discretion not to identify his surname in this decision.

 3   PN226.

 4   PN326.

 5   PN346.

 6   PN426.

 7   ‘… as a right to myself, I should feel safe …’ – PN352.

 8   The Leisure Business Manager. The evidence of Ben (at PN383-PN385) indicated that the Leisure Business Manager was also the immediate supervisor of Mr Hudson. Mr Hudson’s evidence was that his direct boss was the Night Fill Manager (paragraph 43 of Exhibit E1).

 9   PN365.

 10   PN445.

 11   PN448-PN452.

 12   PN455.

 13   PN468-PN474.

 14   PN489.

 15   Paragraph 2 of Exhibit E2 and PN176-PN180.

 16   PN305-PN306 and PN481.

 17   Paragraph 4 of Exhibit T1.

 18   PN519-PN522.

 19   PN534 and PN553.

 20   PN553.

 21   Paragraph 4 of Exhibit T1, PN285 and PN303.

 22   PN310.

 23   PN315 and PN521.

 24   First paragraph of attachment to Exhibit T1, PN315-PN317.

 25   Evidence of Mr Hudson at PN187-PN192.

 26   Under cross-examination (PN613) he stated: ‘I knew he liked that CD because we’d played it before on a previous day I worked with him, on another day, yes.’

 27   PN647.

 28   PN687.

 29   PN698.

 30   PN219.

 31   PN220 and PN234.

 32   PNPN199-PN201.

 33   Annexure TH1 of Exhibit T2.

 34   PN223.

 35   PN228 and PN230.

 36   PN597-PN611.

 37   Document SB6 of Exhibit T3.

 38   PN874.

 39   Document SB7 of Exhibit T3.

 40   PN206 and PN207.

 41   PN210-PN211.

 42   Document SB8 of Exhibit T3.

 43   PN773.

 44   Paragraph 25 of Mr Biggers’ statement (Exhibit T3). Mr Hudson did not deny this in his statement of 17 August 2007 (Exhibit E2).

 45   PN205.

 46   Exhibit E3, which was tendered on behalf of Mr Hudson, not for its truthfulness but for the fact it was given to Mr Hudson. Mr Biggers could not recall giving the statement to Mr Hudson (he only recalled putting two statements to Mr Hudson) (PN791) but did not have a clear recollection of not giving it to Mr Hudson (PN810).

 47   PN843.

 48   PN779-PN780.

 49   PN861, PN873-PN878, PN884.

 50   PN901.

 51   PN1078-PN1079.

 52   PN897. “If it becomes physical, it’s not acceptable behaviour” (PN1046).

 53   Paragraph 28 of Exhibit T3, PN899 and PN902.

 54   PN960.

 55   PN1080.

 56   PN1010 and PN1011.

 57   PN870 and PN1077.

 58   PN1067.

 59   PN868.

 60   PN1077.

 61   PN1088.

 62   PN1198.

 63   SB3 to Exhibit T3.

 64   PN895-PN896.

 65   Under cross-examination (PN727) Mr Howell indicated that at that point in time he didn’t fear that Mr Hudson was about to hit him again.

 66   PN94.

 67   PN93.

 68   PN97.

 69   Annexure SB1 of Exhibit T3 at pages 23 & 25.

 70   Annexure SB2 of Exhibit T3 at pages 31 & 33.

 71   Paragraph 10 of the respondent’s closing submissions.

 72   As they appeared in an award.

 73   McHugh and Gummow JJ, (1995) 185 CLR 410 at 465-468.

 74   Full Court of the Federal Court in Edwards v Giudice and Others (2000) 169 ALR at 92 (paragraph 5). Also Full Bench of the Commission in Re: P. Annetta, S6824, 7 June 2000, per Giudice P, Williams SDP and Cribb C, at paragraphs 15 and 16.

 75   The dicta concerning a ‘fair go all round’ are set out in the decision of Sheldon J in Loty and Holloway v Australian Workers Union (1971) AR (NSW) 95.

 76   Full Court of the Federal Court in Edwards v Giudice and Others, op cit, at 93 (paragraph 9), per Moore J.

 77   King v Freshmore (Vic) Pty Ltd, S4213, 17 March 2000, per Ross VP, Williams SDP and Hingley C, at paragraph 24.

 78   Selvachandran v Peteron Plastics Pty Ltd (1995) 62 IR 371 at 373, per Northrop J.

 79   Re: MM Cables (A Division of Metal Manufacturers Limited), S8106, 17 July 2000, at paragraph 42, per Ross VP, Drake SDP and Lawson C.

 80   Re: P. Annetta, op cit, at parahraph 10.

 81   Re: Thomas Brian Potter, PR948009, 15 June 2004, per Ross VP, Williams SDP and Foggo C, at paragraph 55.

 82   Jupiters Limited trading as Conrad Jupiters Gold Coast, PR928970, 19 March 2003, per Giudice P, Lawler VP and Foggo, at paragraph 12.

 83   Decision of the Full Bench in P Crozier v Palazzo Corporation Pty Limited t/as Noble Park Storage and Transport, Print S5897, 11 May 2000, per Ross VP, Acton SDP and Cribb, at paragraph 64. Endorsed by the Full Bench decision in Ben Clifton Sabeto v Waterloo Car Centre Pty Limited trading as Red Spot Rentals, PR930816, 20 May 2003, per Acton SDP, O’Callaghan SDP and Foggo C, at paragraph 8.

 84   P Crozier v Palazzo Corporation Pty Limited t/as Noble Park Storage and Transport, op cit, at paragraph 73. Also endorsed in Ben Clifton Sabeto v Waterloo Car Centre Pty Limited trading as Red Spot Rentals, op cit at paragraph 8.

 85   See Crozier v Palazzo Corporation Pty Limited t/as Noble Park Storage and Transport, op cit, at paragraph 75.

 86   Tenix Defence Systems Pty Ltd v Fearnley, S6238, 22 May 2000, per Ross VP, Polites SDP and Smith C, at paragraph 83.

 87   Refer to the relevant comments of Ross VP, in Shorten and Others v Australian Meat Holdings Pty Ltd, (1996) 70 IR 360 at 361, which are applicable, even though that case operated under different legislation.

 88   Paragraphs 652(3)(b) and (c) “are clearly related” to procedural fairness – refer Crozier v Palazzo Corporation Pty Limited t/as Noble Park Storage and Transport, op cit, at paragraph 70.

 89   PN228 and PN230.

 90   Letter A to Exhibit E1.

 91   Refer to the decision of the Full Federal Court in Bostik (Australia) Pty Ltd v Gorgevski (No.1), (1992) 36 FCR 20

 92   PN229.

 93   PN231.

 94   Including the warning on 27 September 2006.