Bailey and Australian Postal Corporation

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Administrative

Appeals

Tribunal

 

DECISION AND REASONS FOR DECISION [2004] AATA 713

ADMINISTRATIVE APPEALS TRIBUNAL      )          No.   S2000/346 &
  )          No.   S2001/468

GENERAL ADMINISTRATIVE DIVISION )         
Re HELEN JANE BAILEY

Applicant

And AUSTRALIAN POSTAL CORPORATION

Respondent

DECISION

Tribunal Deputy President D G Jarvis

Date2 July 2004

PlaceAdelaide

DecisionThe Tribunal

(a)      varies the decision under review in matter number S2000/346 in relation to the applicant’s claim in respect of her shoulder injury insofar as the Tribunal decides that the respondent is liable to the applicant for compensation for the period from 17 to 31 May 2000;

(b)      sets aside the decision under review in matter number S2001/468 in relation to the applicant’s claim for a major depressive disorder, and in substitution for that decision decides that the respondent is liable to pay compensation in respect of the applicant’s psychological disorder;

(c)       reserves liberty to apply within 14 days in relation to the costs of the proceedings; and

(d)      orders that in the absence of any such application, the respondent pay the costs of the proceedings.

D G Jarvis
  (Signed)
  Deputy President

5.      She then made a claim for compensation dated 2 May 2000 for injury to her right shoulder.  She asserted that the injury happened in August 1999.  She described the events which led to the injury as follows:

“Shoulder pain and stifnes (sic) in right shoulder.  No specific injury / then when reaching under counter for cash tin on floor came up to (sic) soon and hit shoulder hard.  Hard enough to bring tears and pain.  (This was noticed by staff members).” (exhibit A1, T8, page 11).

6.      By a determination dated 22 May 2000, the respondent rejected the claim for compensation on the basis that it had not been established that the applicant suffered an injury to her right shoulder that could be attributed to her employment.  The applicant sought a reconsideration of this determination by letter dated 28 July 2000, and in a reviewable decision dated 15 August 2000, the respondent affirmed the determination to reject the claim for compensation.  By an application dated 31 August 2000 the applicant applied to this Tribunal for review of that decision.

7.      The applicant lodged a further incident report dated 8 August 2001 in respect of symptoms from October 1997 to May 2000 described as “stress/anxiety disorder” (and I note that the additional words “right shoulder – muscular pain” had also been inserted apparently in the applicant’s handwriting, but were deleted).  In describing how the accident happened, the form reads:

“Stress/anxiety from shoulder pain and stifnes (sic) in R shoulder.  No specific injury / then when reaching under work bench-counter for cash tin on floor I came up too soon and hit my R shoulder hard.  Hard enough to bring tears and pain.  (This was noticed by all staf (sic) members.  One staff member finished serving for me as I went out the back to recover. + as attached.” (exhibit A2, T4, page 13).

8.      The applicant lodged a…

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Details
Case
[2004] AATA 713
Decision Date

CaseChat Overview and Summary

Bailey brought a claim against the Australian Postal Corporation for compensation under the Safety, Rehabilitation and Compensation Act 1988 (Cth) for injuries he sustained during the course of his employment. Bailey alleged that he suffered a shoulder injury in 1993, which was diagnosed as a frozen shoulder, and that this injury was aggravated by his employment. The matter was heard by the Administrative Appeals Tribunal and the primary decision-maker rejected Bailey's claim for compensation. Bailey appealed the decision to the Federal Circuit Court of Australia.

The appeal centred on whether Bailey's shoulder injury was related to his employment and whether his psychological condition, which developed in the aftermath of the injury and the dispute over compensation, was a compensable injury. The appeal hinged on the interpretation of the relevant statutory provisions, particularly the meaning of "injury" under the Safety, Rehabilitation and Compensation Act 1988 (Cth), and whether Bailey's psychological condition was caused by his employment.

The court found that Bailey's shoulder injury was not related to his employment, but that his psychological condition was a compensable injury. The court held that Bailey's acute depression, which was a result of his perception of victimization by management and his distrust of management, was materially contributed to by his employment. The court set aside the decision of the primary decision-maker and remitted the matter back to the Tribunal for redetermination in light of the findings.

The court made no orders as to costs.

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