Court also warns of prison time if company owner has another employment breach
The owner of Star Moving Limited has been fined $20,000 for initially failing to comply with an order to pay an employee he unjustifiably dismissed, according to reports.
The Employment Court's fine against Stuart Biggs came with a warning of prison time if he appears in court again for breaching orders, following a series of rulings against him and his company over employment violations.
His latest dispute at the court was for not immediately complying with an enforcement order handed by the Employment Relations Authority (ERA), which directed him to pay former employee Tovio Ugone for unjustifiable dismissal.
Ugone was awarded by the ERA in 2023 with over $50,000, in addition to $5,250 in costs.
Biggs, however, didn't pay Ugone in both instances until his company was threatened with liquidation, the New Zealand Herald reported.
Penalty sought for non-compliance
The matter was raised to the Employment Court, with Ugone's defence lawyer, Joshua Pietras, arguing that a penalty was warranted despite Biggs already paying Ugone.
Pietras accused Biggs of being deliberately obstructive in his delayed payment, pointing out that he also gave a trespass warning to the person who served legal papers.
Biggs also has a history of not paying the awards ordered by the ERA in his other cases, such as one with a former employee, according to Pietras.
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He further accused Biggs of delaying pay as long as possible so that the individuals give up.
"It is my submission that Biggs and his various entities have utter disrespect for the court and won't comply until enforced," Pietras said as quoted by NZ Herald.
Court fines Biggs
In handing over the fine, the Employment Court acknowledged a "theme" in Biggs' cases that indicated his non-compliance in orders made against him.
"That theme must influence the amount of uplift in the fine," the court ruled.
It also rejected the argument that Biggs' failure to comply was because of inaction or being passive, noting that there is "no meaningful difference between inactivity and disobedience" in the face of unsatisfied orders to pay.
Half of the fine ordered against Biggs will be given to Ugone, as the court recognised his time and effort in seeking a resolution to his case.