In the case of Costley v Waimea Nurseries Limited [2011] NZERA Christchurch, the Employment Relations Authority ('ERA') found that Mr Costley was unjustifiably dismissed for using drugs at work because Waimea did not disclose to Mr Costley information that was relevant in reaching their decision to dismiss him.
It was reported to Waimea's nursery manager, Mr Jameson, that Mr Costley and another employee (Api) may be consuming drugs during their lunch breaks. Mr Jameson met with each employee separately and told them of his suspicions. Api confessed that he and Mr Costley were smoking marijuana at lunch time. Mr Costley was not told about Api's admission or the identity of the person who raised concerns about their suspected drug use.
The ERA found that by not disclosing Api's admission to Mr Costley, Waimea had withheld the piece of information that was most relevant to the decision to dismiss, and that this was a breach of s4(1A)(c) of the Employment Relations Act 2000.
This decision serves as a timely reminder that employers must follow a fair procedure when disciplining or dismissing employees including providing the employee with any relevant information that may be relied on by the employer in reaching their decision.
If you have are concerned about the procedures in your workplace or would like more information on the standards which are expected please contact Susie Tait on This e-mail address is being protected from spambots. You need JavaScript enabled to view it
