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Painter Who Refused to Work for Free Held to be Unjustifiably Dismissed

A Wellington paint and decorating firm has found itself in hot water after dismissing a worker without proper investigation and due process.

The Employment Relations Authority (ERA) recently ruled in favour of Enrique Ilano, a painter at Jono Decorators, ordering the business to pay him over $30,000 in remedies.

 

Background

Enrique Ilano joined Jono Decorators as a painter in November 2022.

In March 2023, he was assigned to paint a block of seven units, but the client expressed dissatisfaction with the work. Company director, Jonathan Murillo, instructed Ilano to rectify the job on his day off and without compensation.

When Ilano refused, his employment was terminated via text message.

 

Issues

Ilano brought claims against Jono Decorators for unjustified dismissal, unpaid wages, holiday pay, taxes, and compensation for lost wages and emotional distress.

 

ERA Holding

The ERA scrutinised Murillo’s actions and found glaring deficiencies in his handling of the situation. Murillo failed to conduct a proper investigation into the alleged poor workmanship and denied Ilano the opportunity to respond adequately.

The ERA concluded that Murillo’s decision to dismiss Ilano was unjustified. Murillo’s motives appeared to be driven by a desire to cut costs rather than legitimate concerns about Ilano’s performance.

Additionally, the ERA emphasised that employees should not bear the brunt of business risks, which are the responsibility of the employer.

As a result, Jono Decorators was ordered to pay Ilano $30,394 in remedies, including compensation for emotional distress.

 

Takeaways

This case highlights the importance of due process in employee dismissals.

It makes it clear that employers must conduct proper investigations and allow employees to respond to any allegations before making dismissal decisions.

It also underscores how cost-cutting is not an adequate reason for dismissing employees without reasonable cause.

 

If you are unsure about your rights as an employee or your obligations as an employer, please get in touch with the team here at Watermark Employment Law – we would love to assist you in the matter.

We are proud to offer initial consultation calls free of charge.

 

Watermark Employment Law are specialist employment lawyers acting for employers and employees.