Allwood v Workers' Compensation Regulator [2017] QIRC 88
QUEENSLAND INDUSTRIAL RELATIONS COMMISSION
CITATION: Allwood v Workers' Compensation Regulator [2017]
QIRC 088
PARTIES: Jason Scott Allwood
(appellant)
v
Workers' Compensation Regulator
(respondent)
CASE NO: WC/2016/84
PROCEEDING: Appeal
DELIVERED ON: 28 September 2017
HEARING: 13, 14, 15 December 2016, 20 April 2017
MEMBER: Deputy President O'Connor
ORDERS : 1. The appeal is allowed.
2. The decision of the Workers' Compensation
Regulator dated 15 April 2016 is set aside.
3. The respondent is to pay the appellant's costs
of and incidental to this appeal to be agreed or
failing agreement to be the subject of an
application to the Commission.
CATCHWORDS: WORKERS' COMPENSATION – APPEAL
AGAINST DECISION – Where injury exists –
Whether injury excluded under s32(5) of the
Workers' Compensation and Rehabilitation Act 2003
– Appeal allowed
LEGISLATION:
CASES:
Acts Interpretation Act 1954 (Qld) s 14D
Uniform Civil Procedure Rules 1999 (Qld) ch 11
pt 5
Workers' Compensation and Rehabilitation Act 2003
(Qld) s 32
Canadian General Electric Company Limited v The
Ontario Labour Relations Board (1956) OR 437
Commonwealth Bank v Reeve (2012) 199 FCR 463
Commonwealth of Australia v Lyon (1979) 24 ALR
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2
300
Davidson v Blackwood [2014] QIC 008
Davis v Blackwood [2014] ICQ 009
Graham Douglas Stewart v Q-COMP (C/2010/52)
Hatzimanolis v ANI Corporation Ltd (1992) 173
CLR 473
Luxton v Q-Comp (2009) 190 QGIG 4
Makita v Sprowles (2001) 52 NSWLR 705
Newberry v Suncorp Metway Insurance Limited
[2006] 1 Qd R 519
O'Brien v Q-Comp (2007) 185 QGIG 383
Q-COMP v Green (2008) 189 QGIG 747
Q-Comp v Unqerer (C/2012/13)
Read v Workers' Compensation Regulator [2017]
QIRC 072
Theiss Pty Ltd v Q-COMP (C/2010/11)
Rutledge and Comcare [2011] AATA 865 (7
December 2011)
Steven Lane AND Q-COMP (C/2009/34)
WorkCover Corp (SA) v Summers (1995) 65 SASR
243
APPEARANCES: Ms S D Anderson of Counsel, instructed by Shine
Lawyers for the appellant
Mr P Rashleigh of Counsel, instructed directly by
the respondent
Reasons for Decision
[1] Jason Allwood commenced employment with BES IT Systems on 1 August 2005
first as a technician and thereafter as a service manager. The appellant's role mainly
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3
comprised the maintenance and repair of computers. The appellant claims to have
suffered a psychiatric injury in the course of his employment between an
unidentified date in 2008 and 18 July 2014. He now seeks to set aside the decision
of the Workers' Compensation Regulator dated 15 April 2016 confirming the
decision of Workcover Queensland to reject the claim for compensation in
accordance with s32 of the Workers' Compensation and Rehabilitation Act 2003.
The issues
[2] In this matter there are four questions which must be answered in deciding the
ultimate issue:
1. Did the appellant suffer a personal injury, that being a psychiatric or
psychological disorder?
2. Did the appellant's personal injury arise out of, or in the course of, his
employment?
3. Was his employment the major significant contributing factor to his injury?
4. Is the injury excluded from being compensable because the injury was the
consequence of "reasonable management action taken in a reasonable way" by
his employer in connection with his employment?
[3] For the reasons below, questions 1 through 3 must be answered in the affirmative,
and question 4 must be answered in the negative.
Legislative framework
[4] The issues in this matter arise from section 32 of the Act. Section 32, so far as it is
relevant, is in the following terms:
"32 Meaning of injury
(1) An injury is personal injury arising out of, or in the course of,
employment if—
…
(b) for a psychiatric or psychological disorder—the employment is
the major significant contributing factor to the injury.
…
(5) Despite subsection (1)…, injury does not include a psychiatric or
psychological disorder arising out of, or in the course of, any of the
following circumstances—
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4
(a) reasonable management action taken in a reasonable way by the
employer in connection with the worker's employment;
…."
Did the appellant suffer a personal injury, that being a psychiatric or
psychological disorder?
[5] Two consultant psychiatrists gave evidence before the Commission: Dr Michael
Dwyer, was called by the appellant; and, Dr Prabal Kar, who was called by the
respondent.
[6] Dr Michael Dwyer's evidence was that the appellant suffered a major depressive
disorder, adjustment disorder with anxiety and an eating disorder in relation to
events that occurred in his employment between 2008 and 2015. In his view, the
symptoms were clinically significant as evidenced by the degree of impairment in
the appellant's social and occupational functioning. It was his view that the appellant
had developed emotional and behavioural symptoms in response to the stresses he
had experienced at work.
[7] Dr Prabal Kar expressed the view that the appellant's symptoms were the
consequence of a personality disorder with border line traits. In Dr Kar's view, the
appellant did not suffer from a work related injury. In his report of 10 September
2015, Dr Kar stated as follows:
"In summary, in my opinion, Mr Allwood does not have a work-related
psychiatric condition. He has pre-existing personality abnormalities. He
currently has stress from the WorkCover process, stress from his unresolved
litigation/compensation issues, and stress from not working and not having an
income. He has experienced stress. He feels anger over how he believes he has
been poorly treated by his employer after many years of hard work and loyal
service. Because of his underlying personality abnormalities, he remains fragile
and unstable.
I am not in agreement with the psychiatric diagnosis made by other treating
clinicians psychologists, doctors and GP's as given in his file. His eating
disorder is not as a result of work stress. There is documented evidence of non-
work related factors which has caused him to feel suicidal before even work
matters of June/July 2014. Feeing suicidal is a characteristic of his personality
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vulnerabilities. This behaviour has continued to be expressed during his
occupational stressors and the stress from the above processes."1
Dr Kar does not diagnose the appellant with Borderline Personality Disorder but is
of the opinion that he had many of the "traits" of Borderline Personality Disorder.
[8] Dr Dwyer disagreed with Dr Kar's diagnosis in relation to the issue of personality
disorder noting in his report:
"In order to make a diagnosis of personality disorder impairments have to be
relatively stable across time and consistent across situations. Essentially, this
means that Mr Allwood would have had to display evidence of personality
disturbance for most of his adult life. However, there was no evidence that this
was the case. Prior to his experiences at BES, Mr Allwood described himself as
bubbly and outgoing. He had been in several jobs for long lengths of time, had
maintained a very stable relationship and continued solid relationships with his
family and friends. Furthermore there was no evidence of Mr Allwood had
struggle with issues relating to his identity. The changes in Mr Allwood's
behaviour had occurred in the context of the stresses he was experiencing. I
believe he was suffering from distinct mood, anxiety and eating disorders, and
there was no evidence of personality disorder, especially no evidence of
borderline personality traits."2
[9] In oral evidence before the Commission Dr Dwyer said:
"… if you are going to make that diagnosis you would want to see a pattern of
suicidal ideation and behaviour dating back throughout one’s adult life, or to at
least adolescence, and quite often earlier into early adulthood, and that – I – I –
I didn’t see any evidence, and Mr Allwood gave me no evidence, nor did his
wife Dianne, that that had been happening prior to the events that occurred at
work."3
[10] Dr Dwyer said the appellant coped well with the death of his father-in-law and his
grandmother. Whilst Dr Dwyer accepted that the deaths may have been minor
stressors "…that contributed to his condition, but – but by far and away it was the
work stressors that were the main – main factors."4
[11] Under the heading "Relationship to Events", Dr Dwyer expresses the view:
1 Exhibit 25.
2 Exhibit 21.
3 T1-119, Ll 9-14.
4 T1-128, Ll 30-33.
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6
"In my opinion, there appears to be a direct correlation between the events at
work described by Mr Allwood and the major depressive disorder, adjustment
disorder and eating disorder. Mr Allwood's disturbed eating developed as a
maladaptive coping mechanism to deal with the stress he was experiencing in
regards the child pornography. His depressive disorder and adjustment
disorder occurred in the context of prolonged stress regarding fraudulent
activity at his workplace, and the attitude of his managers to that activity.
Furthermore, unreasonable behaviour by his managers, especially Alexa, for
example her response to him taking leave for the death of his grandmother, the
derogatory emails that she sent, and the January 2015 letter, all clearly had
very significant effects of Mr Allwood's mood and anxiety. It was not
unreasonable that Mr Allwood developed those symptoms in response to such
stressors."5
[12] In my view, the expert evidence of Dr Dwyer established that had it not been for the
employment the injury would not have been sustained.
[13] The Commission was not assisted by the nature of the expert evidence relied upon
by the respondent. Dr Kar's report could not be regarded as falling into a category of
an impartial experts' report, especially where he expressed opinions of the following
type: "As his GP had not documented it, it strongly indicates Mr Allwood is
manipulating the information to support his compensation claim."6 Dr Kar went on
to observe in his report:
"Mr Allwood said the company does not accept mental illness as an injury so
he was scared to tell the company about. It is inconsistent as Mr Allwood did
make a work-related stress claim. It is not relevant as a GPs medical
certificate, a legal document, is required to, and the company would be obliged
to accept it. In claiming this I believe Mr Allwood is trying to explain away
inconsistencies that he is aware of. Inconsistency strongly raise the suspicion
of Malingering according to the objective DSM-IV criteria."7
(Emphasis in original)
[14] In Davidson v Blackwood, Martin J wrote that:
"It is inevitable in cases such as this that expert witnesses will play important,
if not determinative, roles for both parties to a dispute. The outer limits of
these roles must, however, be marked out by the law of evidence, and, in
5 Exhibit 21.
6 Exhibit 25.
7 Exhibit 25.
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particular, the ultimate issue rule, according to which an expert witness must
not seek to substitute himself or herself for the tribunal of fact, or for the
Court."8
[15] The overriding duty of an expert witness is to assist the Commission impartially on
matters relevant to his or her area of expertise. The paramount duty of an expert
witness is to the Commission, not to the party by whom he or she is retained. An
expert witness is not an advocate for a party. These principles find expression in the
Uniform Civil Procedure Rules 1999.9
[16] In Makita v Sprowles, Heydon JA undertook an extensive examination of the
authorities concerning the duties of expert witnesses in civil cases. His Honour said
that:
"…the prime duty of experts in giving opinion evidence: to furnish the trier of
facts with criteria enabling the evaluation of the validity of the expert’s
conclusions."10
[17] His Honour went on to observe that:
"… these matters are not made explicit, it is not possible to be sure whether the
opinion is based wholly or substantially on the expert’s specialized knowledge.
If the court cannot be sure of that, the evidence is strictly speaking not
admissible, and, so far as it is admissible, of diminished weight."11
[18] In my view, the key deficiency in the evidence of Dr Kar is the uncertainty that the
opinion proffered by him was based "wholly or substantially" on his expert
knowledge or that it was influenced by considerations which were outside the realm
of his expertise.
[19] In resolving the conflict in the medical evidence,12 I find the evidence of Dr Dwyer
to be more persuasive.
Did the appellant's personal injury arise out of, or in the course of, his
employment?
8 Davidson v Blackwood [2014] QIC 008, [17].
9 See generally: Uniform Civil Procedure Rules 1999 (Qld) ch 11 pt 5.
10 Makita v Sprowles (2001) 52 NSWLR 705, 729.
11 Ibid 744.
12 Q-Comp v Unqerer (C/2012/13).
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[20] During the hearing, the stressors alleged to have given rise to the appellant's injury
were reduced to, and somewhat informally described as:
a. The child pornography file;
b. Fake or dodgy jobs;
c. Fat photos; and
d. The appellant's grandmother passing away – 18 July 2014 Conversation.
[21] Each of the above stressors is considered in turn below. The evidence, as it was
presented, has led to me to state the facts as follows.
The Pornographic File
[22] The appellant was undertaking a backup of a laptop computer for a client within the
Catholic Education Office in late 2008 or early 200913 when he came across a file
entitled "12 year old girl gets fucked".14 He did not see the content within the file,15
but he was distressed by its title and believed that the file contained an image, or
images, of a "12 year old that’s getting fucked".16
[23] The appellant stopped the backup and asked Steven Donnelly, a co-worker in the
service division, to come over and witness what he had just seen.17 The backup was
stopped and run again. The file appeared once more, although Mr Donnelly recalled
that the name of the file was something in the terms of "12 year old", "sex",
"pornography", or a combination of some of those words.18 Mr Donnelly did not see
the contents of the file.19 The appellant then picked up the computer and took it
through to show David Claydon, BES's operations manager.20 Dylan Mapp, the sales
manager, had arrived when David Claydon was shown the location of the file.21
Both Mapp and Claydon confirmed to the appellant, who had deliberately turned
away from the computer, that the file's name represented its contents.22
13 T1-15, L 17.
14 T1-14, Ll 36-38.
15 T2-8, Ll 6-20.
16 T1-14-16.
17 T1-15, Ll 11-15.
18 T2-8, Ll 15-17.
19 T2-8, Ll 15-32.
20 T1-15, Ll 19-32.
21 T1-15, Ll 34-41.
22 T1-15, Ll 42-47.
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[24] Mr Claydon does not recall those events.23 Mr Mapp does not recall having seen the
file.24 Neither man contradicts the events above, but both men recall being contacted
by the police about the events.25
[25] Shortly after showing the file's location to Claydon and Mapp, the appellant spoke to
Mr Claydon and they said that they would "take it to Alexa Bowen, the CEO of the
company, and explain to her what had – what [they] had seen."26 They saw Ms
Bowen approximately thirty minutes later and Mr Claydon explained to her what
had happened and which teacher the computer belonged to,27 at which point Ms
Bowen said that she would "deal with it."28 It is not clear what Ms Bowen did, or did
not do, to "deal with" the matter. Ms Bowen told this Commission that she has no
recollection of a "pornographic" file in 2008 or 2009,29 however, she was also
contacted by the police concerning the file.30
[26] A few days after finding the file, the appellant, having not heard anything about it,
asked Ms Bowen what had happened. He states that the exchange went as follows:
"I said, "How did you go with that teacher?" And [Ms Bowen] said, "I have
dealt with it," or, "I have sorted it." Leave it alone, end of story, kind of, finish
– she turned aggressively as she said it and – yes. I was shocked because she
never stopped. She just kept walking and walking."31
[27] The appellant also told Ms Melissa Bates about having come across "child
pornography." Ms Bates could not recall when that occurred, but she could recall
that the appellant was shaky, upset, angry, and disgusted.32
[28] The appellant also talked to his wife regularly about the file and whether he should
inform the police about it.33 Mrs Allwood informed the Commission that her
husband had impacted by the event in that he had become less happy; he was upset
about going to work; he was not eating well; and, he started to exercise a lot more.34
23 T2-42, Ll 44-45.
24 T3-3, Ll 1-3; T3-5, Ll 3-10.
25 T2-43, Ll 1-14; T3-4, L 40.
26 T1-16, Ll 1-3.
27 T1-16, Ll 11-13.
28 T1-16, Ll 6-13.
29 T3-7, Ll 10-12.
30 T3-7, L 14.
31 T1-16, Ll 34-40.
32 T2-30, Ll 14-30.
33 T1-103, L1 4 – T1-104, Ll
34 T1-104, Ll 29-24.
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[29] Eventually the appellant contacted the police and informed them about the file.35 The
exact date of contact is not known, but the appellant believed it to be sometime in
2015.36
[30] The discovery of the pornographic file on a Catholic Education Office computer
played on the appellant's mind and he was concerned that BES had done nothing
about it. He said that the thought of the file made him feel sick, anxious and
distressed; at the time of discovering the file the appellant had 12 year old nieces
and it was upsetting.37
[31] I accept the appellant's evidence concerning the existence of the file, whom he
informed, and the circumstances of the file's discovery. The evidence of the
appellant's colleagues who have no recollection of the file does nothing to counteract
the evidence of the other witnesses who corroborate the events.
Fake or doggy jobs
[32] The evidence suggests that ACER and HP appear to have been the only
manufacturers who supplied the schools serviced by BES. There is a certain fluidity
of the terms used throughout the evidence, a repair appears to relate to both the
physical repairing of a broken device in its totality, and the replacement of a broken
or faulty part within a device. Moreover, the evidence does not make it possible to
accurately ascertain the true nature of the arrangements BES had in place during the
relevant periods.
[33] The business of BES, insofar as it concerned the appellant, was primarily the repair
of computers within the specified confines of contracts for service. The repairs were
known as "jobs". In order to track which jobs were to be completed, they would be
logged in the "BESman" system.38 The system was relatively simple in its operation
in that a client would lodge a job online, the repair would then be created within
BESman and from that point it could be tracked by technicians as it worked through
the various stages.39 Those persons lodging jobs online were based at schools with
which BES held contracts. Additional one-off jobs not from the schools would come
to BES over the counter and they would be manually logged into BESman by an
employee of BES.40
35 T1-17, Ll 1-4.
36 T1-17, L 6.
37 T1-68, 5-8. T1-68,
38 T1-20, Ll 23-28.
39 T1-20, Ll 30-37.
40 T1-20, Ll 39-47.
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[34] Jobs recorded in BESman would have a particular string of information depending
its method of lodgement. If it was lodged online the job would show the name of the
technician at the school who had lodged the job as well as the name of the school;
when it was lodged; the model, make, and serial number of a computer; and, a precis
of the job.41
[35] On occasion employees of BES would log jobs internally against the serial number
of a different computer. This occurred when the job computer was not covered by an
accidental damage policy. Instead, the subject computer would be repaired under the
accidental damage policy of another computer and using its serial number. This
arrangement effectively prevented the client from paying for the repair of the
uninsured computer. A similar system was in place for ordering replacement parts
for current repair jobs or parts needed for other purposes. Additional parts would be
acquired by logging a fault against parts which were otherwise functional and
installed in different computers.
[36] The serial number used in lieu of the actual serial number of the computer under
repair would be selected by looking for the model number of the computer to be
repaired, locating a serial number and then checking the repair history which had
been recorded against that particular serial number. If there had been more than
three repairs logged against the computer then the manufacturer would not pay for
the repair.42 There were also other restrictions on the number of jobs logged per day
and the amounts which would be paid from the manufacturer up to, and beyond, a
particular limit, but it is not necessary to detail that scheme here.
[37] It is agreed that there was, at least, one instance of a repair being undertaken on a
computer which was privately owned by a member of Ms Bowen's family. That
repair used the serial number system described above.43 The appellant completed
that repair.44
[38] Generally, however, the repair jobs coming from the schools created an opportunity
for BES to over-order stock as replacement parts would be ordered from the
manufacturer as well parts surplus to requirements. This allowed BES to complete
large numbers of repairs jobs within a short timeframe, for example, at the end of a
school term.45 It was not unusual for the appellant to lodge fake jobs.46
41 Exhibit 1; T1-22, Ll 36-37.
42 T1-31, Ll 18-28.
43 T3-14, Ll 14-40.
44 T1-23, Ll 41-43.
45 T1-36, Ll 16-21.
46 T1-39, Ll 17-18.
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[39] Whilst it was asserted that BES had an arrangement with ACER,47 there was no
evidence from ACER to support the claim that such an arrangement existed. It
seems curious to me that a company such as ACER would permit or acquiesce to
such an arrangement. Moreover, it is clear from the evidence that no such
arrangement was in place with respect to HP. I am comfortable in drawing a
conclusion that the systems in place at BES, as they have been variously described
by Mr Donnelly, Ms Barnes, and Mr Retchless, accord somewhat with the
appellant's understanding of the system.
[40] The appellant's anxiety about the creation of the types of jobs described above arose
from a belief that if the suppliers detected the anomalies then it would be traced
back to him. I accept that the appellant told Ms Barnes and Mr Claydon that he was
unhappy with logging those jobs.
Fat Photos
[41] For the 25th anniversary of the founding of BES a screen was placed in the foyer of
the office with a rolling photo collage of people who had worked with the company
over that period. It remained in the foyer for some 12 to 18 months. The Appellant
appeared in two of the photographs comprising the collage.
[42] At different points, but during the period in which the collage was on public display,
the appellant asked Ms Bowen48 and Ms Barnes to remove the "fat photo" of him
from the slideshow. Ms Barnes was asked by the appellant to have the photograph
removed in an email exchange which appears to have centred on the appellant's
annual leave. The request was in the following terms:
"…for the last time, can you make sure the fat photo of me is removed from
reception screen before I return. I've asked Alexa numerous times and it's
fallen on deaf ears. It's offensive and makes me uncomfortable." 49
Ms Barnes responded by sending the appellant a message that said: "Let's just hope
you don't get to sit beside this guy!" That message was accompanied by an image of
an overweight man standing in the aisle an airplane attempting to take his seat.50 The
request was, otherwise, not acted on.
47 T2-43, Ll 39.
48 T1-69, Ll 14-15.
49 Exhibit 16.
50 Exhibit 16; T1-70, Ll 25-27.
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[43] There was also, at least, one incident in which the appellant was referred to as a "fat
kid on skittles".51 I accept that that comment was not intentionally derogatory, and
was perhaps meant as an indicator of his competence or attention to task,52
nevertheless it offended the appellant.53
[44] There were other instances in which light was made of the appellant's size in the
photographs contained in the slide show. There was also at least one additional
photograph being sent between colleagues that was the subject of some ridicule. I
accept, that the appellant requested that his image be removed from the slideshow
and that his colleagues were making remarks about his weight. Given that the
appellant was exhibiting disturbed eating behaviours and other characteristics of
binge eating disorders,54 it is not surprising that any comments made by his
colleagues about his weight, or general humour about people of a larger size, had an
impact on him.
The appellant's grandmother passing away – 18 July 2014 Conversation
[45] In June 2014, the appellant took two weeks leave to travel to the United Kingdom as
his father-in-law had died.55 Shortly after he returned to work, the appellant's
grandmother died and he asked for and received two days bereavement leave. When
he had returned from leave, the appellant said that Alexa Bowen ignored him. It
came to the attention of the appellant that Ms Bowen was angry with him for taking
a further period of leave following the death of his grandmother, notwithstanding the
fact that she lived in the United Kingdom.56
[46] The appellant said that being ignored was particularly noticeable in a small office
with a small number of people working together.57 The appellant went to
Alexa Bowen's office with the intention of raising his concerns with her. He said
that he raised the issue of the payment of his two days of leave with Ms Bowen to
see if she had a problem with the payment. Ms Bowen said she had no issue with the
payment but did not understand why it was necessary for the appellant to take a
further two days off because his grandmother had died in the United Kingdom.58
51 Exhibit 17.
52 T2-92, Ll 22-27.
53 T1-97, Ll 44-45.
54 Exhibit 21.
55 T1-82, Ll 1-2.
56 T1-89, Ll 5-6.
57 T1-80, Ll 27-30.
58 T3-18, Ll 23-29.
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[47] The appellant was "gobsmacked" by the comment, and could not believe what Ms
Bowen had just said to him.59 The appellant said he was disgusted with her and
walked out of her office. Ms Bowen accepts that the conversation took place, that
the appellant got very upset with her and that he said he was disgusted with her.60
Consideration of stressors
[48] An injury "arising out of, or in the course of, employment" means an injury
sustained while the worker is engaged in the work that he or she is employed to do
or in something which is concomitant of, or reasonably incidental to, the person's
employment to do that work.61 All of the appellant's stressors arose either from tasks
he completed while at work or through interactions with his work colleagues.
Consequently, I can only find that the appellant's injury arose out of, or in the course
of, his employment.
Was his employment the major significant contributing factor to his injury?
[49] On the respondent's case, it was contended that the appellant had some underlying
personality traits that exposed him to reacting the way he did, and that the major
significant factor for the appellant's injury are his underlying personality traits rather
than any work-related issues. That view was, of course, informed by the evidence of
Dr Kar. As I do not accept Dr Kar's evidence I am unable to accept the respondent's
submission on that issue.
[50] The evidence of Dr Dwyer indicated that the appellant's employment was the major
significant contributing factor to the appellant's injury. The episode involving the
file of child pornography clearly set the appellant down the path which would
ultimately lead him to being in the vulnerable position that he was in at the time that
his injury arose.
[51] Moreover, the manner in which BES conducted its business fed into the appellant's
general anxieties; the jokes concerning his weight also troubled him. However, it
would appear as though the treatment that the appellant received from Alexa Bowen,
so far as it related to his taking of bereavement leave, is what, ultimately, pushed
him over the edge.
[52] In Lane v Q-Comp, Hall P wrote that:
59 T1-81, Ll 29-30.
60 T3-11, Ll 15-19; T3-18, Ll 18-19.
61 Commonwealth of Australia v Lyon (1979) 24 ALR 300, 303-304; Hatzimanolis v ANI Corporation Ltd
(1992) 173 CLR 473, 478; Theiss Pty Ltd v Q-COMP (C/2010/11), [3].
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"Doubtless there will be cases in which one work-related incident will trigger a
psychological disorder, e.g. a bank teller is the victim of an armed hold-up.
However in other cases (and often in cases about s. 32(5) of the Act), the
evidence will be that over time a worker has coped with workplace stress until
(eventually) the worker's capacity to cope is exhausted, the worker visits a
medical practitioner and a psychological injury is diagnosed." 62
[53] This case falls into the latter category, as can be seen from the outlines of the
stressors above but that does not impact on whether the appellant's employment was
the major significant contributing factor to his injury. For employment to be the
major significant contributing factor to the injury, the employment must be
important or of consequence,63 and there should be some linkage between the
employment and the injury.64
[54] In Newberry v Suncorp Metway Insurance Limited, in discussing the s32 of the Act
as it then was, Keane JA wrote as follows:
"… The requirement of s. 32 of the WCRA that the employment significantly
contribute to the injury is apt to require that the exigencies of the employment
must contribute in some significant way to the occurrence of the injury which
the claimant asserts was caused by the breach of duty of the person (not the
employer) against whom the claim is made."65
His Honour later continued:
"That having been said, however, I should also observe in passing that the fact
that an injury has been suffered arising out of employment, or in the course of
employment, is not sufficient to establish that the employment has been "a
significant contributing factor to the injury". To read s. 32 of the WCRA in that
way would be to read the latter words out of the section, and in my respectful
opinion to accord scant respect to the evident intention of the legislature to
require a more substantial connection between employment and injury than is
required by the phrases "arising out of employment" or "in the course of
employment"."66
62 Steven Lane AND Q-COMP (C/2009/34), [8].
63 Q-COMP v Green (2008) 189 QGIG 747, 751; Luxton v Q-Comp (2009) 190 QGIG 4, 6.
64 Graham Douglas Stewart v Q-COMP (C/2010/52), [15].
65 Newberry v Suncorp Metway Insurance Limited [2006] 1 Qd R 519, 529-30 [27].
66 Newberry v Suncorp Metway Insurance Limited [2006] 1 Qd R 519, 533-34 [41].
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[55] Section 32 of the Act has since been amended to require that the employment is "the
major significant contributing factor to the injury." While the test is now, relatively,
a higher one, his Honour's remarks are still relevant.
[56] Notwithstanding the death of both his father-in-law and his grandmother, at the
relevant time the appellant's employment was the major significant contributing
factor to his injury. All of the stressors experienced by the appellant are related to
his employment and his employment environment. There is a very substantial
connection between Mr Allwood's employment and his injury. Accordingly, I find
that the appellant's employment was the major significant contributing factor to his
injury.
Is the injury excluded from being compensable because the injury was the
consequence of "reasonable management action taken in a reasonable way" by
his employer in connection with his employment?
[57] The respondent contends that even if the appellant suffered a work related
psychological or psychiatric injury, the injury would be excluded by s32(5) of the
Act because it arose out of or in the course of reasonable management action taken
in a reasonable way. In answering that question it is first necessary for me to
consider the meaning of "management action".
What is management action?
[58] In Read v Workers' Compensation Regulator, I wrote the following:
"Management action is not defined in the Workers' Compensation Act 2003.
Indeed, very little has been written in this jurisdiction to assist in the
interpretation of the expression "management action".
In O'Brien v Q-Comp,67 Linnane VP referred to the Canadian authority of
Canadian General Electric Company Limited v The Ontario Labour Relations
Board to assist in determining the scope of what is and is not management. In
that case, it was stated that:
"... managerial means something pertaining to or characteristic of a
manager and it is equally obvious that the word 'manager' means one
who manages ... The word 'manage' is said to be equivalent to
conducting or carrying on a business or under-taking or an operation, to
conduct affairs. It is also said to be equivalent to controlling or directing
67 O'Brien v Q-Comp (2007) 185 QGIG 383, 401.
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the affairs of a household, institution or state, or as the taking of or
attending to a matter. It apparently includes the action or manner of
conducting affairs or administering and directing or controlling any
matter. It is obvious ... that the essential meaning of the word is to
control and direct and that must obviously include not only
administration but direction of planning for any particular enterprise
..."68
Management action does not embrace every instruction of and action by an
employer. Rather, the expression contemplates a particular type of action by an
employer, and something other than a mere instruction or requirement that the
worker perform his or her duties.69 Management action must be something
different to the normal duties and incidents of her employment as a Town
Planner. In other words, it must be something more than what was part and
parcel of her employment.70"71
(Citations renumbered accordingly)
[59] This appeal provides a further opportunity to consider the meaning of "management
action".
[60] The concept of management action in the context of a worker's employment, and for
the purposes of the Act, is not so broad that it encompasses anything and everything
that a manager does or says in the particular workplace, rather the expression
"management action" relates to those actions undertaken when managing the
worker's employment. This statement is informed by the reasoning of Doyle CJ,
with whom Prior and Williams JJ agreed in WorkCover Corp (SA) v Summers.72
[61] In Summers, their Honours were called upon to construe the words "reasonable
administrative action taken in a reasonable manner by the employer in connection
with the worker’s employment" in s 30(2a) of the Workers Rehabilitation and
Compensation Act 1986 (SA). I note the similarities of that provision to the one
under consideration in this matter. In Summers, Doyle CJ wrote:
"The appellant argued that "administrative action" referred to "every
instruction given by the employer or action taken by the employer which
relates to the performance of the worker’s duties, whether directly or
indirectly". That is how it was put in the appellant's outline. In his submissions
68 Canadian General Electric Company Limited v The Ontario Labour Relations Board (1956) OR 437, 443.
69 WorkCover Corp (SA) v Summers (1995) 65 SASR 243, 247.
70 Commonwealth Bank v Reeve (2012) 199 FCR 463, 474 [33], 483 [60].
71 Read v Workers' Compensation Regulator [2017] QIRC 072, [8]-[10].
72 WorkCover Corp (SA) v Summers (1995) 65 SASR 243.
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counsel for the appellant said that administrative action embraced every
instruction or action by the employer, indirectly or directly ….
I am unable to accept this submission.
If it is correct, it means that it becomes necessary to identify all instructions
and directions given by the employer which did contribute or might have
contributed to the stress, and then to examine the reasonableness of each one of
them. That would be a daunting task, and I would hesitate to conclude that
Parliament intended that it be performed. …if the stress resulted from
instructions or actions of the employer (and presumably an implied instruction
would be as good as an express instruction), then the claim would fail unless
the instruction or action was unreasonable. Commonsense suggests that many,
and probably most aspects of a worker’s work could be related back to
instructions given by an employer or action taken by an employer. It is clear
that Parliament intended to restrict stress claims, but it is another matter
whether it intended to go as far as this….
Moreover, the words chosen by Parliament — "administrative action" do not
seem apt to embrace every instruction of and action by an employer. The
expression chosen suggests that Parliament had in mind a particular type of
action by an employer, and something other than a mere instruction or
requirement that the worker perform her duties. In my opinion the appellant’s
submission fails to give any effect to the adjective "administrative"."73
[62] Summers was considered by the Full Court of the Federal Court in Commonwealth
Bank of Australia v Reeve.74 In that matter their Honours examined, amongst other
things, s5A(1) of the Safety, Rehabilitation and Compensation Act 1988 (Cth).
Gray J, in dismissing the appeal, wrote the following:
"The use of the word "administrative" in the exclusion is significant. In
accordance with normal principles, it is not to be assumed that a word in a
legislative provision has no function to perform. The word "administrative"
must have been inserted to distinguish the kind of action to which the exclusion
is directed from other kinds of action that might also be taken with respect to
the employment of a particular employee. Such action that is not
"administrative" could be operational, in the sense that it relates to the
activities or business of the institution or enterprise in which the employee is
employed. Thus, an instruction to perform work at a particular location, to
73 Ibid 247.
74 Commonwealth Bank v Reeve (2012) 199 FCR 463.
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drive on a particular route, or to perform particular duties would not be
regarded as "administrative" action, but as operational action with respect to
the employee’s employment."75
[63] Rares and Tracey JJ, also dismissing the appeal, stated that:
"It is one thing to contemplate disciplining an employee or taking steps under
his or her contract of employment, and quite another to define or delimit or
supervise the employment, job or task entrusted to the employee for him or her
to perform or to give directions to him or her as to how and when he or she is
to perform it. The former is comprehended by the expression "administrative
action" in s 5A(1); the latter deals with the way in which the employee carries
out the employment for which he or she was engaged. The latter is not
"administrative action"."76
[64] In discussing the definition of "administrative" their honours wrote:
"The ordinary and natural meaning of “administrative” concerns the
management of a body or enterprise as opposed to the task or job entrusted to a
person who is subject to that management. "Administrative" has the following
relevant dictionary meanings:
• relating to administration (“administration” being defined as “the
management or direction of any office or employment”) (The
Macquarie Dictionary online);
• pertaining to, or dealing with, the conduct or management of affairs
(The Oxford English Dictionary online);77
[65] The Workers' Compensation and Rehabilitation Act 2003 (Qld) sets out examples of
actions that may be reasonable management actions taken in a reasonable way. That
includes action taken to transfer, demote, discipline, redeploy, retrench or dismiss
the worker or a decision not to award or provide promotion, reclassification or
transfer of, or leave of absence or benefit in connection with, the worker’s
employment.
[66] Section 14D of the Acts Interpretation Act 1954 (Qld) provides that:
75 Ibid 473-4 [31].
76 Ibid 486 [74].
77 Ibid 548 [52].
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"14D Examples
If an Act includes an example of the operation of a provision—
(a) the example is not exhaustive; and
(b) the example does not limit, but may extend, the meaning of the
provision; and
(c) the example and the provision are to be read in the context of each other
and the other provisions of the Act, but, if the example and the provision
so read are inconsistent, the provision prevails."
[67] Accordingly, the examples set out in s32(5) are not exhaustive. They act as an aid to
interpretation as they elucidate which "actions" are appropriately deemed
"management action".
[68] I respectfully adopt the approach of Rares and Tracey JJ in Reeves. The exclusory
action in s32(5) of the Act was, in my view, intended by Parliament to relate to
specific management action directed to the appellant's employment itself, as
opposed to action forming part of the everyday duties or tasks that the worker
performed in their employment. Therefore the management action said to enliven
s 32(5) of the Act must be something different to the everyday duties and incidental
tasks of the appellant's employment.
Management action in this matter
[69] In Davis v Blackwood, Martin J observed as follows:
"The task of the Commission when applying s 32(5) does not involve setting
out what it regards as the type of actions that would have been reasonable in
the circumstances. There may be any number of actions or combinations of
actions which would satisfy s 32(5). The proper task is to assess the
management action which was taken and determine whether it was reasonable
and whether it was taken in a reasonable way. Sometimes, that may involve
considerations of what else might have been done but that will only be relevant
to whether what was done was, in fact, reasonable."78
[70] The management action said by the respondent to enliven s32(5) of the Act
included: The failure of BES to act in response to the discovery of the pornographic
78 Davis v Blackwood [2014] ICQ 009, [47].
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file on a computer undergoing repairs and said to belong to an individual in the
employ of Catholic Education; the undertaking of "fake jobs" with respect to
warranties and repairs on ACER and HP computers; the failure by BES to remove a
"fat photo" of Mr Allwood from a PowerPoint presentation notwithstanding his
request that the photo be removed; and, the conversation with Alexa Bowen in her
office on 18 July 2014. In short, these "actions" are an analogue of the four informal
stressors covered above in paragraphs [20]-[48].
[71] Given the meaning of "management action" discussed above, I am unable to see
how most of the actions submitted by the respondent constitute management action.
The argument advanced by the respondent was that the only work related matter
relevant to the injury was the conversation between Mr Allwood and Ms Bowen on
18 July 2014. The other stressors were, according to the respondent's submission,
too remote in time. I do not accept that submission.
[72] For the purposes of s31(1) of the Act, a worker may sustain one or multiple injuries
as a result of an event whether the injury happens or injuries happen immediately or
over a period. The matter before the Commission was conducted on the basis that it
was an "over time" claim.
[73] It is accepted by the respondent that BES undertook repairs of computers using
accidental damage policies from other school computers and that BES did not have
an accidental insurance policy on its computers.79 It is clear that a system was put in
place to manage the repair and maintenance of computers from schools or school
based organisations. The system of work adopted by BES applied to all technicians
including the appellant.
[74] It was not seriously contended by the respondent that the system in place for the
repair of computers at BES constituted management action. In my view, the
arrangements for the repairs of the computers can be characterised as action forming
part of the appellant's everyday duties or tasks that he was required to perform as
part of his employment and was therefore not management action. Even if the
arrangement was considered to be management action for the purposes of s32(5) of
the Act, the requirement could not be regarded as reasonable.
[75] Equally, the photo collage display on the PowerPoint in the BES foyer is not
something which would come within the exclusionary provisions of the s32(5) of the
Act as they did not touch on the management of the appellant's employment.
79 Submissions on behalf of the respondent [18].
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[76] The conversation stemming from the appellant's bereavement leave with Alexa
Bowen on 18 July 2014 was an ad hoc, informal, or spontaneous, conversation
between a manager and a worker that would not, in my view, ordinarily be
considered management action, even if issues as expressed in s32(5) of the Act were
raised.80 In coming to that view, it is necessary to consider the context in which the
conversation occurred, the particular circumstances of the conversation, as well as
its content and purpose.
[77] The background to the conversation was the belief of Mr Allwood that over a couple
of days he was ignored by Ms Bowen, something which he said was particularly
noticeable in a small office environment. Mr Allwood sought a short meeting with
Ms Bowen to discuss his concerns. It was during this conversation that a comment
was made by Ms Bowen that she could not understand why Mr Allwood had found
it necessary to take a couple of days off work for the death of his grandmother.
[78] It was not the case that Mr Allwood sought a meeting to seek permission for leave to
be considered as leave had been approved and taken. The meeting was unplanned,
involving an informal conversation lasting only a few minutes and it did not traverse
matters which might properly be considered in a management context. The location
of the meeting and the fact that it was with his manager does not draw it into the
definition of management action.
[79] The reaction, however, of BES to the alleged child pornography file is the exception.
[80] The discovery of the pornography file on a computer under repair at BES comprises
two elements: First, is the discovery by Mr Allwood of the file which caused his
anxiety and stress; the second element was the failure of BES to respond in an
adequate or indeed in any way to the complaint. Dr Dwyer observed in his report
that Mr Allwood's disturbed eating developed as a maladaptive coping mechanism
to deal with the stress he was experiencing in regards to the child pornography.
[81] Whilst Mr Allwood did not see the contents of the file, the mere name of it was
sufficient to raise serious concerns for him. His concerns were based on the genuine
belief that the file was contained on a computer owned by an organisation which had
some involvement for the care of children. BES undertook repairs and maintenance
on computers predominately for schools or school based organisations. Having seen
the file and reported it to BES management he was entitled to expect, at the very
least, that some form of investigation would have taken place. I found the evidence
of Mr Claydon, Mr Mapp and Ms Bowen to be unsatisfactory and less than
convincing in relation to BES's knowledge, or reporting, of the file. As outlined
80 Rutledge and Comcare [2011] AATA 865 (7 December 2011), (2011) 130 ALD [94].
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elsewhere, I accept that the file, as described by Mr Allwood, was discovered by
him and reported to his superiors at BES.
[82] I cannot address the response of the appellant's employer as there was none. On the
evidence before the Commission, there was no investigation by the employer nor
was the file's discovery reported to police by the appellant's employer. It was the
appellant who decided to report the matter to the authorities.
[83] The definition of management action would ordinarily include the investigation of
complaints or reports, and where serious criminality is found or suspected,
management action would extend to a referral to the relevant authorities. Such a
scenario goes beyond the everyday, operational matters connected with a workers'
employment. Rather, investigations sit under the management rubric as it is the role
of management to ensure compliance with the law. Accordingly, it was, in all of the
circumstances, unreasonable for BES not to act on the report of the discovery of the
child pornography file.
[84] Consequently, the appellant's injury is not excluded from being compensable by
operation of s32(5) as there is no relevant reasonable management action which
gave rise to the appellant's injury.
Conclusion
[85] The stressors identified by the appellant, with the exception of the investigation of
the report of the discovery of the porn file, could not properly be described as
management action and consequently would not trigger the operation of s 32(5) of
the Act. The combination of those work related incidents led to a situation in which
the appellant could no longer cope. The medical evidence of Dr Dwyer was
sufficient to draw the causal relationship between the incidents and the development
of the appellant's psychiatric and psychological symptoms. Furthermore, the conduct
of a manager not to investigate the report by the appellant of the porn file was a
failure to perform appropriate management functions and, as a consequence, could
not be categorised as reasonable management action taken in a reasonable way.
[86] For the reasons given above I have concluded that Mr Allwood:
a) suffered a personal injury, that being a psychiatric or psychological disorder;
b) that the appellant's personal injury arose out of, or in the course of, his
employment;
c) that his employment the major significant contributing factor to his injury; and
d) that the injury is not excluded from being compensable because the injury was
not the consequence of "reasonable management action taken in a reasonable
way" by his employer in connection with his employment.
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Orders
[87] I make the following orders:
1. The appeal is allowed.
2. The decision of the Regulator dated 15 April 2016 is set
aside.
3. The respondent is to pay the appellant's costs of and
incidental to this appeal to be agreed or failing agreement to
be the subject of an application to the Commission.
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Official source: https://www.sclqld.org.au/caselaw/QIRC/2017/088