LSG Sky Chefs New Zealand Limited v Pacific  Flight Catering Limited and PRI Flight Catering Limited - SC 103/2013

Summary

Civil Appeal –  Employment Relations Act 2000 – Whether the Court of Appeal erred in finding that s 69J of the Employment Relations Act 2000 had the effect of extinguishing the transferring employer’s accrued contractual obligations to a transferred employee – Whether the Court of Appeal erred in finding that s 69J of the Employment Relations Act 2000 absolved the transferring employer from liability to the new employer for the accrued contractual entitlements of a transferred employee – Whether the Court of Appeal erred in using the Employment Relations Amendment Bill 2013 as an aid to interpretation of the Employment Relations Act 2000.   [2013] NZCA 386   CA 758/2012

Result

A Leave to appeal is granted.
B The ground for appeal is whether, under Part 6A of the Employment Relations Act 2000, the respondents are liable to reimburse the applicant for the cost of accrued leave entitlements of the respondents’ former employees on their transfer to the applicant.
6 December 2013

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The appeal is dismissed.
The appellant is to pay the respondents costs of $25,000 and reasonable disbursements as fixed by the Registrar.

5 November 2014

Additional Information

Hearing date : 19 August 2014

Elias CJ, McGrath, William Young, Glazebrook, Arnold JJ.