Ackers v Cairns Regional Council

[2021] QSC 342 · Henry J

In plain language

Paul Ackers was the supervisor of the payroll unit at Cairns Regional Council. After three experienced staff went on extended sick leave in 2015, his unit was badly understaffed and he worked very long hours, sometimes through the night, to keep employees paid on time. When errors inevitably crept into the unit's work, the Council blamed Mr Ackers personally and put him on a performance improvement plan, with one manager telling him there was 'no coming back' and that another manager had wanted him sacked. Mr Ackers, who had a mild pre-existing depression, developed a serious major depressive illness with anxiety, a tremor and a stutter, and has been unable to work since September 2015. The court found the Council knew there was a foreseeable risk of psychiatric injury from 9 July 2015 and breached its duty by pursuing the performance plan unfairly and in bad faith. The court awarded him about $1.1 million in damages.

Incident & injury

Psychiatric injury (major depressive illness) caused by employer's breach of duty in connection with imposition and pursuit of a Performance Improvement Action Plan in bad faith, against a background of sustained understaffing and excessive working hours.

Body regions
Psychiatric
Diagnoses
Major depressive disorder, Generalised anxiety disorder, Aggravation of pre-existing persistent depressive (dysthymic) disorder, Tremor (right arm), Stutter
Incident date
9 July 2015
Location
Cairns, Queensland (Cairns Regional Council, Spence Street)

Quick facts

Date of judgment
15 December 2021
Proceeding
Trial
Plaintiff outcome
Successful
Plaintiff age at injury
45
Occupation
Payroll supervisor (supervisor of Council's payroll unit) Manager
Liability
Disputed
ISV assessed
30 · Serious mental disorder (WCRR Schedule 9)
Total damages
$1,099,133

Outcome

Judgment for the plaintiff against the Council in the sum of $1,099,132.69. The court found Council breached its duty of care from 9 July 2015 (when risk of psychiatric injury became foreseeable) by imposing and pursuing a Performance Improvement Action Plan in bad faith and failing to adequately staff the payroll unit, causing the plaintiff's major depressive illness.

Defendant

1 Cairns Regional Council

Employer

Apportionment
100%
Judgment against this defendant
$1,099,133
WorkCover refund
$176,915
Heads of damage
General damages $53,000
Past economic loss $395,030
Interest on past EL $3,925
Past superannuation $61,403
Future loss of economic capacity $451,266
Future superannuation $75,822
Past care (Griffiths v Kerkemeyer) $1,500
Past special damages (plaintiff) $164,000
Interest on past special damages $2,257
Future special damages $67,845
Subtotal before refunds $1,276,048

Key issues

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Ackers v Cairns Regional Council [2021] QSC 342

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