LWB Disability Services South Limited t/as Life Without Barriers v Smith

LWB Disability Services South Limited trading as Life Without Barriers (the employer) appealed a decision concerning a dispute with its former employee, Mr Smith. The central issue was whether the employer's insistence on changing Mr Smith's work location constituted a repudiatory breach of his employment contract, entitling him to terminate the contract and claim damages. The appeal was heard by Bell P, Macfarlan and Payne JJA in the Court of Appeal of New South Wales.

The court was required to determine whether the location of employment specified in Mr Smith's letter of offer was an essential term of his contract. Further, the court had to consider whether the employer's actions in seeking to change Mr Smith's work location breached this essential term, thereby giving rise to a right to terminate and claim damages. The court also examined the interplay between the employment contract and a mobility of staff clause within the relevant Award, specifically whether the Award's clause, which permitted staff transfers within a defined District under certain conditions, was ousted by the location specified in the letter of offer.

The Court of Appeal found that the mobility of staff clause in the relevant Award did not operate to oust the terms of the employment contract. The court held that the employer's direction to transfer Mr Smith was not a repudiatory breach of contract. It was noted that the employer had consulted with Mr Smith prior to issuing the transfer direction, satisfying the requirements of the Award. The court concluded that there was no failure to consult and that the employer's actions did not amount to a breach of an essential term of the employment contract.