Michael Marson v Coral Princess Cruises (N.Q.) Pty Ltd T/A Coral Expeditions

Michael Marson, an employee, applied to the Fair Work Commission for an order to deal with a dispute involving his stand-down by Coral Princess Cruises (N.Q.) Pty Ltd T/A Coral Expeditions. The dispute arose due to a government directive in response to the COVID-19 pandemic, which led to the stand-down of crew members on cruise ships. The legal issues before the court were whether the employees could have been usefully employed, and whether the Applicant, in particular, was capable of useful employment. These issues were framed by references to sections 524 and 526 of the Fair Work Act 2009.

The court examined the evidence provided by both parties regarding the operational capabilities of the cruise ship under the government directive. It assessed whether the employees, including the Applicant, could have been assigned to tasks that would have been beneficial to the employer. The Applicant argued that he could have performed other duties that would not have breached the government directive, while the Respondent maintained that all employees were effectively stood down due to the directive. The court weighed the evidence and found that the Respondent could not demonstrate that the Applicant or other crew members could have been usefully employed given the constraints imposed by the directive. Consequently, the stand-down was deemed to be in relation to a stoppage of work and not for a legitimate reason.

The Fair Work Commission ordered that the stand-down of the Applicant and other crew members be treated as an unlawful termination of employment. The Respondent was directed to reinstate the Applicant and provide back-pay, along with other reliefs as stipulated by the Fair Work Act. This decision underscored the importance of demonstrating that employees can be usefully employed when a stand-down is implemented, particularly in extraordinary circumstances such as those caused by the COVID-19 pandemic.