Judgment Title: Galway Mayo Institute of Technology -v- Employment Appeals Tribunal Composition of Court: Charleton J. Judgment by: Charleton J. Status of Judgment: Approved |
Neutral Citation Number [2007] IEHC 210 THE HIGH COURT JUDICIAL REVIEW [2005 No. 601 J.R.] BETWEEN[2005 No. 602 J.R.] GALWAY-MAYO INSTITUTE OF TECHNOLOGY APPLICANT AND EMPLOYMENT APPEALS TRIBUNAL RESPONDENT AND HELENA PIDGEON AND HELEN THORNTON NOTICE PARTIES JUDGMENT of Mr. Justice Charleton delivered on the 20th June, 2007.1. This case concerns the right to be heard. In this application for judicial review, the applicant claims that it did not get a fair hearing from the respondent in deciding on redundancy payments claims brought by two of its former employees, who are the notice parties. 2. Fundamental to the correct dispensation of justice is the right of each party to communicate their case. If one party is deprived of that entitlement they will legitimately have a sense of grievance if a judicial decision goes against them. If one party is given an unfair advantage over the other in the way in which a judicial tribunal conducts its business, the same fundamental right in the due process of justice may be infringed. The touchstone for the administration of justice by any judicial body is that both sides be heard. This is done by giving them, as far as practicable, an opportunity to fairly present their case. 3. The ultimate powers of discovery of documents, examination and cross-examination by each side, the presentation of submissions, followed by the consideration of, and then delivery of, a reasoned judgment need not apply to the conduct of all forms of judicial, or quasi-judicial, tribunal. Some forms of fair procedure may require only that a party should be given notice of what the nature of the problem is and then given an opportunity to present a reply. Other forms of decision are so far reaching as to require what is, in effect, the adoption by the tribunal of all of the measures inherent in a plenary hearing or a criminal trial. Fundamental to any procedure, however, is the duty of the tribunal to identify the issue which it is tasked with deciding and to make available to the parties the means, which can be variable, whereby they may address that issue. Facts 4. There are two notice parties to this case, Helena Pidgeon and Helen Thornton. Since their cases are the same, I am giving one judgment in respect of both. Both were employed in the Galway-Mayo Institute of Technology from 1993, in the case of Helena Pidgeon, and 1994 in the case of Helen Thornton, until their employment was terminated, in both cases, on the 31st August, 2003. I am not concerned in deciding the controversy relating to their redundancy payments. I understand that their issues with the applicant as to their redundancy payments have been disposed of to the satisfaction of all sides prior to this application being made to the court. Nonetheless, I need to refer to some of the issues which arose on the termination of their employment. 5. Both third parties were employed as lecturers in German studies. Their contracts of employment seem to imply that their position, which was part-time, and paid on an hourly basis, would allow them to work at least nine hours a week. However, the documents indicate that over the course of their nine or so years of employment the hours varied and that they were paid on a pro-rata basis depending on the hours they worked. These hours went up or down depending upon the number of students who wished to take the option of studying the German language. Unfortunately, numbers have been in decline in recent years. In the academic year 2001 to 2002, both the notice parties would have worked eleven hours per week. Then the number of students taking German declined so that only five hours tuition a week was required. Then the demand decreased even further until there was no need to have part-time lecturers in German at all. 6. Having been made redundant on the 31st August, 2003, both the notice parties brought a claim before the Employment Appeals Tribunal under the Redundancy Payments Acts 1967 - 2001. Helena Pidgeon, in setting out her reasons for the application for redress to the respondent stated, on the appropriate application form, as follows:-
8. The third schedule to the Redundancy Payments Act 1967, as amended, sets out the calculation of the lump sum that is payable upon redundancy. The right to a redundancy payment arises upon losing your job by reason of the disappearance of your employment; as where a firm closes down or needs to reduce its workforce. Sometimes people can negotiate for a voluntary redundancy package and sometimes the lump sum payment to which an entitlement arises on a statutory basis may be the subject of collective negotiations: therefore, it can be seen as a floor of rights. Even that can disappear if a firm is wound up on insolvency, in which case the workers look to the State. 9. Schedule 3, in calculating a redundancy payment, provides:-
(b) a sum equivalent to the employee’s normal weekly remuneration.
10. Form T1-A issued by the Employment Appeals Tribunal is an elegant document. It allows claimants to tick boxes in respect of the statutory relief they are seeking; it requires them to give relevant dates; it takes the particulars of their employment; it gives them a space in which to indicate what the nature of their case was; and it gives them space in which they can write out the nature of their case. I have quoted this latter section already. When the case came on for hearing it was, very unusually, agreed by both sides that the right way to approach it was for the Employment Appeals Tribunal to take no evidence or oral submissions, but, instead, to decide the matter on the basis of written legal submissions. The core issue, as between an entitlement to a redundancy based upon the pay appropriate for five hours of employment or eleven hours of employment, seemed readily capable of being joined through written legal arguments only. This is what happened. These submissions, which were date stamped by the Employment Appeals Tribunal on the 15th November, 2004, are a full discussion of the law. Both parties centred their submissions on the interpretation of the Redundancy Payments Acts 1967 – 2003. Nobody mentions any other statutory entitlement as, I infer, it did not seem to anybody that any other statutory entitlement could possibly be relevant to this claim. At the end of the day, it all looked rather complicated and it is not surprising, therefore, that the solicitors on behalf of the applicant, who were the employers for the purpose of the issue before the Employment Appeals Tribunal, wrote on the 8th November, 2004 and requested an oral hearing. They said:-
13. The point of contention here is that nobody either averted to the Protection of Employees (Part-Time Work) Act, 2001, in their written submissions and that neither side thought it was applicable, or even that it might be applicable, until the Employment Appeals Tribunal decided that it governed the entire basis for its decision of the issue under the Redundancy Payments Acts 1967 – 2003.
Fundamental duty 14. Every judge, and every judicial or quasi-judicial tribunal, takes on two fundamental tasks in hearing a case. They are, firstly, to attempt to find out what the true situation is as between the allegations and counter allegations of the parties. Sometimes that fundamental duty may be diverted by the necessity for parties to abide by written pleadings in furtherance of the right to have notice of a claim or a defence; but even there, such procedural rules exist for the purpose of assisting in finding out where the truth lies. Where one party to a hearing is not legally represented, the court or tribunal may find themselves drawn in to the process of examination and cross-examination where otherwise it may be wise to remain silent and simply listen to the evidence. Where a decision-making body is drawn into the process of attempting to find out the facts, then it does so in fulfilling the fundamental principle that justice requires to know the truth before it can decide on the remedy. Secondly, a judge applies the rule of law to his or her decisions and a tribunal is no different from that. Certainty of legal principle is the opposite end of the spectrum to the arbitrary decision making that characterises a totalitarian society. A judge, tribunal, or quasi-judicial tribunal, cannot divert from its duty to discover the law and then to apply it. The law can not be made up. It must be applied whether it is attractive or unattractive; subject only to the power of the Superior Courts to declare a law unconstitutional as a last resort if the principles of constitutional interpretation cannot otherwise be applied to save it and so to respect the will of the people as expressed in the Oireachtas. 15. Save by accident, no one who did not witness an event or who did not have reliable testimony about it, could come to know the truth in relation to the facts of disputed event. Knowing about a case personally is something which is not allowed to a judge. The declaration of the law is, however, a much easier proposition since every lawyer is trained to find it and to state it accurately. The central point of defence in this judicial review is stated at paras. 3, 10 and 12 of the statement of opposition.
10. It is denied that the respondent considers the protection of Employees (Part-Time Work) Act 2001 in a manner which exposed the applicant to civil or criminal consequences and it is pleaded by the respondent that the respondent as a quasi-judicial body was entitled to, and indeed obliged, to have regard to the provisions of the Act of 2001 and the underlying European Community Directive. 12. It is denied that the respondent acted in breach of natural or constitutional justice as alleged or at all. The Tribunal considered the facts, and only the facts and no other facts, other than those brought before it and admitted by the parties in their submissions to the Tribunal. Insofar as the parties and in particular the applicants failed to address the law or adduce the relevant law to the Tribunal, the Tribunal was obliged and indeed had a duty to apply the law in force in making its determination between the parties.” Fair procedures 16. In his judgment in Joseph Murphy v. The Minister for the Marine, Ireland and the Attorney General [1977] IEHC 62, Shanley J. at p. 3405-3406 summarised the circumstances which would cause the High Court on judicial review to interfere with a discretionary decision. In that case, the decision concerned a refusal to grant a sea fisheries licence in respect of a fishing vessel which, to be granted, had to replace the tonnage lost to the national fishery fleet by reason of the taking out of service of another vessel. I note the decision by Shanley J. as to the fairness of the procedures adopted by the respondent in accepting submissions from the application. He makes wider remarks as to the powers of the court on judicial review, which though directed towards the review of discretionary administrative decisions, I find helpful in this context. Shanley J. stated:-
(b) was made having regard to matters which were not relevant or germane to the decision to be taken, (c) was not made in good faith, (d) was made on wholly unreasonable grounds, (e) was based on a mistaken view of the law, (f) was taken on foot of a rule or policy which had to the effect of negating the discretionary power, (g) was taken without hearing what the applicant had to say or without otherwise adhering to the principles of natural justice.
20. The requirement that a party should have notice as to what might happen in consequence of a judicial or quasi-judicial decision is exemplified in extreme form by the decision of the Supreme Court in the State (Irish Pharmaceutical Union) v. Employment Appeals Tribunal, [1987] I.L.R.M. 36. The written form, on which that tribunal now proceeds, as I understand it, includes a series of boxes whereby the employee indicates a preferred choice of the remedy that he or she is seeking should it be held that their employment was unfairly terminated. These remedies include re-instatement, re-engagement and damages. Experience also indicates that since that particular Supreme Court decision, it has been the practice of every division of the Employment Appeals Tribunal at the end of an unfair dismissals hearing, or at some stage during it, to ask the applicant what remedy he or she is seeking and to give an opportunity to the respondent employer to comment on that preference, if they wish. In that case, an unfair dismissal hearing was held which had the result of the Tribunal finding that the employee had been unfairly dismissed. Their decision was that the most appropriate remedy, having regard to all the circumstances of the case, was that the employee should be re-engaged. The entirety of the hearing had been confined to the circumstances of the dismissal; what had been uppermost in the minds of the parties seems to have been the financial loss arising therefrom. None of the applicants, on either side, had raised any question as to whether there should be a re-instatement or a re-engagement. The Employment Appeals Tribunal, however, did not award damages but made an order that renewed the employment relationship. The decision of the Employment Appeals Tribunal was quashed in the High Court and this decision was affirmed by the Supreme Court. It is noteworthy, in relation to this decision, that s. 7 of the Unfair Dismissals Act, 1977 expressly provided that where a finding of unfair dismissal had been made then the Employment Appeals Tribunal, or on appeal the Circuit Court, would grant one of the alternative reliefs of re-instatement, re-engagement or damages not exceeding an amount equal to 104 weeks of the employee’s remuneration. It might, therefore, be argued that once a decision had been made by the Employment Appeals Tribunal that an employee had been unfairly dismissed, that the employer should necessarily have, as a matter of law, regarded himself as being liable to be the subject of any of the three orders that the Tribunal might make. However, correct procedures dictated that not only the issue of fairness or unfairness in dismissal should be addressed by the parties, but also the remedy. At page 40-41 of the report, McCarthy J., on behalf of the Supreme Court, stated:-
East Donegal Cooperatives Livestock Marts Ltd. v. Attorney General [1970] I.R. 317. In the instant appeal it was argued for the Tribunal and the employee that the employer and its legal advisors where aware of the powers of the Tribunal in s. 7 of the Act; consequently they had adequate and ample opportunity to call such evidence and to make such representations as they saw fit on the appropriate redress, if and when the question arose. Such an argument might be sustainable if the redress sought were not specified other than being under the Act and the “run” of the hearing had been at large. Such was not the case. The hearing was directed towards two substantial issues, the dismissal and a remedy by way of compensation. That part of the determination by the Tribunal, albeit within the terms of s. 7, which prescribed re-engagement as the appropriate redress, there was one made without affording the other party, the employer, any adequate or real opportunity of meeting the case. Consequently, it was in breach of that fundamental principle which the employer calls in aid.” This decision 21. This decision was flawed on the basis of two principles derived from the relevant law. Firstly, I am not entitled to decide and do not now decide, whether it was possible that an objective justification might have existed for the difference in treatment of the notice parties in this case, as part-time employees, that was made by the Galway-Mayo Institution of Technology in comparison with the treatment of their full-time staff. I do not know the answer to that question because I have not heard evidence on it. From the point of view of the respondent Employment Appeals Tribunal, they were entitled to choose a procedure which might best dispose of that issue; oral evidence being the safest option but written submissions and agreed statements being also a possible option. Once evidence is required on any issue, it seems impossible to argue, on the authorities, that a tribunal which has made a determination in the absence of that evidence can have acted correctly. 22. Secondly, the parties before the Employment Appeals Tribunal were entitled to know that an issue had arisen pursuant to a statutory entitlement that may arguably have existed under the Protection of Employees (Part-Time Work) Act, 2001. This was not one of the Acts listed in the helpful claim form supplied to employees by the Employment Appeals Tribunal; it was not something which was adverted to by either side in their written submissions; and it is now submitted that it could never have been part of the determination of the Employment Appeals Tribunal at all. Counsel on behalf of the Applicant has argued that the various wrongs giving rise to remedies in employment law are referable, for their enforcement, to a range of bodies including the Labour Court, a Rights Commissioner and the Employment Appeals Tribunal. Section 1(4) of the Protection of Employees (Part-Time Work) Act, 2001 states that insofar as that Act relates to redundancy payments it should be construed together as one and may be citied with the Redundancy Payments Act, 1967 to 2001 (as it then was). As a matter of fact the Protection of Employees (Part-Time Work) Act, 2001, creates rights on behalf of employees and makes the declaration of those rights, and their enforcement, the task of a Rights Commissioner under s. 16 of the Act and allows an appeal to the Labour Court under s. 17. Enforcement of such declarations calls in aid the Circuit Court under s. 18(3). Therefore, under the Act, this issue as to whether there was discrimination as to variable hours between part-time and full-time employees by the Galway-Mayo Institution of Technology could never, it is submitted, have come before the Employment Appeals Tribunal. 23. I am not in a position to decide whether this submission is correct. It is not an issue which is before me. Neither, however, was it a submission that was before the Employment Appeals Tribunal as no one had ever adverted to the Act and neither of the parties therefore could have raised an objection to the decision eventually made by arguing before the Employment Appeals Tribunal that it was not within their powers to reach the determination which they eventually arrived at. Issues of Law 24. It follows from the foregoing that a judicial or quasi-judicial tribunal is not entitled to invoke a statutory remedy which no one has sought and in respect of which no one is on notice. For the purpose of fulfilling the requirements of natural justice, however, I would have thought that if any such tribunal does have jurisdiction to give a remedy under a particular Act, then if this remedy is sought in an originating document, for instance by ticking a box giving a choice of remedies, or if it is orally sought to in the course of the hearing, such a tribunal is entitled to make a choice in favour of it. If that happens, parties have to be taken as being aware that in the event that a decision goes a particular way the tribunal may look to a remedy claimed. In that regard, I would regard a written claim or an oral assertion seeking a particular remedy as being sufficient for the due administration of constitutional justice provided the tribunal has jurisdiction in respect of it. If remedies are complex, and a tribunal has rules as to notice in the form of simple originating documents, then it should abide by its own procedures or consider the grant of an adjournment to a genuinely surprised party. 25. In R. v. Immigration Appeals Tribunal, ex-parte Suen, [1997] Imm. A.R. 355, Collins J. made some helpful comments as to what should happen when a court or tribunal discovers a new piece of law that was relevant to an issue before the parties. He felt it best that a tribunal should re-convene and point out the legal material to the parties to enable them to make legal submissions. Is that necessary? 26. At a judicial or quasi-judicial hearing it is important to try to give the parties an adequate opportunity to refer to all aspects of the law which they consider to be important. It is for the parties to discover the issues, from the pleadings or other originating documents, or the correspondence and documents exchanged between them, and to address them. Therefore, any question as to whether a particular issue has or has not been addressed might arise only very rarely. If the judge feels an issue of law is important then I feel, as a matter of manners at least, that it is up to him or her to indicate to the parties that one particular issue may be of significance and that it should not be overlooked but that submissions on it would be welcome. If this involves re-convening a hearing then it is better to go for that option. 27. Issues often give rise to legal submissions. Text books, statutes or case law may be referred to. The judge or the tribunal may then retire and, in considering those submissions, find passages in reports or text books, or in the folders of authorities handed in by the parties, that seem to be as germane, or more important, than those referred to in oral argument or written submission. The court or tribunal may, in pursuing its duty to declare the law correctly, make its own exploration to see whether other relevant authorities may be discovered. In my view, in those circumstances neither courtesy nor law requires that a hearing should reconvene for the purpose of ploughing through the same field of law that has already been traversed by the parties to their satisfaction. Natural justice requires that they be given an opportunity to be heard as to the fact in issue, as to the remedies and as to the law. It does not necessarily require that there should be re-convening of a hearing merely for the purpose of considering a different passage of law to those cited when, as can happen, an advocate may take an over-optimistic or over-inventive view as to the law. I would say that re-convening a hearing should be considered if the judge or tribunal discovers a completely new issue, to which no one has adverted. Result 28. In this instance, the Employment Appeals Tribunal went about the task of determining the appropriate redundancy payments to the employee third parties, as against the applicant, with great diligence. Unfortunately, in basing its decision on a remedy created by an Act to which no one had referred, and in respect of which the Employment Appeals Tribunal may not ever have had jurisdiction to determine, and in failing to hear evidence on a point of determination as to objective justification on which the parties would have been entitled to call evidence, it fell into error. Accordingly I am going to quash the decisions of the respondent dated the 20th April, 2005 in the proceedings entitled Pidgeon v. Galway-Mayo Institute of Technology case no. RP31/2004 and in the proceedings entitled Thornton v. Galway, Mayo Institute of Technology case no. RP666/2003 on claims pursuant to the Redundancy Payments Act, 1967 - 2003. No further order is required because the applicant and the notice parties, who were its employees, have separately settled the issue of an appropriate redundancy payment. No in camera issues were raised. Approved.
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