A Christchurch trucking company director has been ordered to pay $55,000 to a former employer after his business was put into liquidation.
The order comes after the Employment Relations Authority last year ordered Michael Edward Radley and his company, Heavy Transport Services Canterbury Ltd, to pay $88,000 to former employee Peter Adams.
However, 10 months on from that decision, the company is now in liquidation and nothing has been paid.
Adams brought the matter back before the authority in July seeking to recover minimum entitlements from Radley personally, totalling $55,734.50, made up of wage arrears, holiday pay and KiwiSaver entitlements.
In its decision, authority member Geoff O'Sullivan agreed that as Radley was the sole director and shareholder of the company it was "clear he is a person involved in the breach".
The court battle originated after Adams filed for unjustifiable dismissal after the paying of his wages was "sporadic and inconsistent".
Adams began working for Radley on February 1, 2018 but an employment agreement wasn't signed until June 2018.
He was concerned about his wages and approached Radley who told him he would dismiss two other employees to help with outstanding bills.
"Mr Radley apparently stated that the place wasn't paying its way and he was sick of putting money into a sinking ship."
In November of the same year, Adams was contacted by IRD stating he hadn't been paying any KiwiSaver, child support, ACC or PAYE deductions.
Radley approached Adams who assured it had been sorted but when he checked, the non-payments had continued.
In mid-November Adams told Radley he felt he had no option to find another job because of the significant wage arrears and the sporadic payment when they were eventually paid.
Adams then filed a personal grievance. Radley filed a statement in reply alleging false claims of inappropriate and unprofessional conduct towards other employees.
The authority, in October last year, awarded Adams $83,754.50, including $23,000 compensation for humiliation, loss of dignity and injury to his feelings.
In the latest decision, O'Sullivan awarded Adams $55,000 but noted that didn't "extinguish the liability" of the remaining monies owed to Adams including the costs and damages for hurt and humiliation.
Radley has 14 days from date of the August 20 determination to make the latest payment.