In a recent decision of Acting Justice Nicholas of the Supreme
Court of New South Wales, a long-serving employee was awarded
damages of more than $1.1 million dollars following the termination
of her employment.
Such an award serves as a timely reminder to employers of the
potential financial risks associated with dismissing senior
management employees in circumstances of dispute or contention.
In addition, the decision provides important guidance for
employers (and industrial lawyers) regarding the calculation of an
employee's long service leave entitlements and has clarified
the meaning of the concept of "ordinary pay" in that
context.
Background
The employee had been employed by the Australian subsidiary of
an international shipping and logistics company for more thanr 24
years. For much of her employment, she occupied the role of
financial controller for the parent company's Asia-Pacific
branch.
