RSM Building Services Pty Ltd v Hochbaum

RSM Building Services Pty Ltd sought to challenge a decision of a Senior Arbitrator who had awarded damages to the respondent, Hochbaum, under section 39 of the Workers Compensation Act 1987. The dispute arose from an incident where Mr. Hochbaum sustained injuries in the course of his employment, and the primary issue before the court was whether the Arbitrator’s interpretation and application of section 39 was legally sound.

The court had to determine the correct interpretation of section 39, specifically whether the Arbitrator had the authority to award damages to an employer for the economic loss suffered as a result of an employee’s injury. The court considered whether the language of the statute permitted such an award and whether there were any legislative or policy reasons that would preclude such a remedy. The court also examined the principles of statutory interpretation, including the literal approach, the purposive approach, and the mischief rule, to ascertain the true intent of the legislature.

The court concluded that the Arbitrator had erred in awarding damages to the employer under section 39. The court found that the language of the statute did not explicitly provide for such an award and that the purpose of the Workers Compensation Act was primarily to protect employees rather than employers. The court held that the Arbitrator had overstepped the statutory authority by making an award that was not contemplated by the legislature. As a result, the court revoked the Senior Arbitrator’s Certificate of Determination and substituted it with an award for the respondent employer.

The final orders of the court were to revoke the Senior Arbitrator’s Certificate of Determination dated 7 January 2019 and substitute it with an award for the respondent employer, effectively dismissing RSM Building Services Pty Ltd’s appeal.