Quality Plumbing & Building Contractors Pty Ltd v Schloss

The case of Quality Plumbing & Building Contractors Pty Ltd v Schloss involved a dispute regarding the assessment of loss of earning capacity under the Workers Rehabilitation and Compensation Act. The worker had departed from their initial pleadings during oral submissions, leading the employer to seek leave to reopen their case or obtain an adjournment to adduce additional evidence. The employer argued that the denial of this leave infringed upon natural justice. The court had to determine whether the employer's rights to natural justice were violated and whether the loss of earning capacity was assessed correctly under the statutory provisions.

The court examined the statutory interpretation of sections 65(2)(b) and 65(2)(b)(ii) of the Workers Rehabilitation and Compensation Act. Specifically, the court had to decide whether the loss of earning capacity should be assessed based on a full week's earnings, considering the worker's most profitable employment was only available for 20 hours per week. The court also needed to determine the meaning of the phrase "whether or not such employment is available to him or her" and whether it should be interpreted strictly to limit availability in the labour market.

The court held that the employer's rights to natural justice were indeed infringed by denying the opportunity to reopen the case or obtain an adjournment. Consequently, the appeal was allowed. Regarding the statutory interpretation, the court found that the loss of earning capacity should be assessed based on the hours available for work each week in the most profitable employment that could be undertaken. The court also ruled that the proviso should not be read to limit the availability of employment strictly to the labour market. Instead, each case must be assessed considering all circumstances. The matter was remitted to the Work Health Court for reassessment of the loss of earning capacity.