Amanda Hay and Comcare

Case [2014] AATA 325


[2014] AATA 325

Division GENERAL ADMINISTRATIVE DIVISION

File Number(s)

2013/2186

Re

Amanda Hay

APPLICANT

And

Comcare

RESPONDENT

DECISION

Tribunal

Senior Member Bernard J McCabe

Date 27 May 2014
Place Brisbane

The decision under review is set aside. The Tribunal decides in substitution that Comcare is liable for the applicant’s claim under section 14 of the Safety, Rehabilitation and Compensation Act 1988 (Cth).

..........................Sgd..........................................

Senior Member Bernard J McCabe

CATCHWORDS

COMPENSATION – Applicant diagnosed as suffering adjustment disorder with symptoms of anxiety – Date of onset agreed between parties – Respondent argues the condition does not meet legislative definition of ‘injury’ – Distinction between matters connected to employment and matters of an operational nature – Tribunal not satisfied that meeting concerned matters connected to applicant’s employment – Legislative exemption does not apply – Reviewable decision set aside – Decided in substitution that respondent is liable for the applicant’s claim.

LEGISLATION

Safety, Rehabilitation and Compensation Act 1988 (Cth), ss 5A(1); 5A(2); 14

CASES

Commonwealth Bank of Australia v Reeve (2012) 199 FCR 463

REASONS FOR DECISION

Senior Member Bernard J McCabe

27 May 2014

  1. This case is about reasonable administrative action within the meaning of s 5A of the Safety, Rehabilitation and Compensation Act 1988 (Cth) (“the SRC Act”).

  2. Ms Amanda Hay suffers from psychiatric symptoms that she claims arose out of the circumstances of her workplace.  Comcare, the respondent, agrees:

    ·Ms Hay has been properly diagnosed as suffering from adjustment disorder with symptoms of anxiety;

    ·the date of onset was 6 September 2010, while she worked for the Child Support Agency; and

    ·the applicant’s employment at the Child Support Agency made a significant contribution to the condition.

  3. Notwithstanding these concessions, Comcare says it is not liable for Ms Hay’s condition because it does not meet the definition of injury in s 5A. While a psychiatric condition would ordinarily qualify as an injury, Comcare relies on the exemption that applies to conditions that are “suffered as a result of reasonable administrative action taken in a reasonable manner in respect of the employee's employment”: s 5A(1). Comcare says the exclusion clause is applicable here because the event which set off Ms Hay’s condition was an interaction with a manager. On Comcare’s case, the manager was speaking to Ms Hay about aspects of her performance.

  4. The applicant denies the interaction with the manager amounted to administrative action. She says the discussion related to operational matters: it was not “action…in respect of the employee’s employment”. She goes on to argue that even if the interaction did amount to administrative action, it was not “taken in a reasonable manner” because the manager handled the situation in an unnecessarily confrontational manner.

  5. I am satisfied the applicant’s claim should succeed. I explain my reasons below.

    THE APPLICANT’S WORK HISTORY

  6. Ms Hay is an experienced public servant who has worked in a variety of roles in a number of public sector organisations. She has also spent time working in the private sector. She commenced employment with…

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AGLC
Amanda Hay and Comcare [2014] AATA 325
Case
[2014] AATA 325
Decision Date

CaseChat Overview and Summary

In Amanda Hay and Comcare, the Federal Circuit and Family Court of Australia was tasked with determining whether Comcare could rely on an exclusion clause under the Safety, Rehabilitation and Compensation Act 1988 (Cth). The dispute centred on whether a meeting held on 6 April 2010, which involved Amanda Hay, an employee, and her supervisor, constituted an administrative action taken in connection with her employment. The court had to decide if this meeting triggered Ms Hay's psychiatric condition, thereby making Comcare liable for her claim.

The primary legal issue was whether the meeting on 6 April 2010 constituted an administrative action taken in connection with Ms Hay's employment, which would allow Comcare to invoke the exclusion under section 5A(2) of the Act. This required an analysis of the nature of the meeting and the evidence provided by Mr McEwan and Mr Robinson, who both indicated that the meeting was not about taking any disciplinary or employment-related action, but rather an attempt to understand the situation and resolve any issues.

The court concluded that the meeting was not about taking any administrative action related to Ms Hay's employment, as it was more investigative in nature. The evidence supported that the meeting was intended to discuss Ms Hay's failure to hand over a case and determine next steps. Therefore, the court found that Comcare could not rely on the exclusion in section 5A of the Act. Consequently, the decision to dismiss Ms Hay's claim was set aside, and the court ruled in her favour, holding Comcare liable for her claim under section 14 of the Safety, Rehabilitation and Compensation Act.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

I think the answer ultimately lies in the evidence of Mr McEwan (supported by Mr Robinson) as to the purpose of the meeting on 6 April 2010. I have already noted Mr McEwan said in his statement “my intention was to have an informal discussion about her apparent failure to hand over the case as directed and next steps”: Exhibit 5 at [27]. I also noted Mr Robinson said in his statement that it was his “understanding that the meeting was really just Gary trying to resolve the situation.” In other words, evidence presented by Comcare confirms the meeting was not about considering any sort of action in connection with Ms Hay’s employment. That might come later, but not until Mr McEwan got to the bottom of what had occurred. The meeting appeared to go off the rails when Ms Hay was not inclined to cooperate in what was really still in the nature of an investigation. I would add that I am not satisfied the meeting could be characterised as something that was done in connection with the sort of actions referred to in s 5A(2)(a)-(d). Things had not yet reached that stage.CONCLUSION I am not satisfied the administrative action that triggered the applicant’s psychiatric condition was taken in connection with her employment. That means Comcare cannot rely on the exclusion in s 5A. In those circumstances I do not need to consider whether it was reasonable to take the administrative action, or whether that action was taken in a reasonable manner. The decision under review is set aside. The Tribunal decides in substitution that Comcare is liable for the applicant’s claim under s 14 of the SRC Act.

Ratio Decidendi

Legal Principle Established

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