Gaffey v Comcare
[2015] FCA 1024
At a glance
Source factsCourt
Federal Court of Australia
Decision date
2015-09-15
Before
Wigney J
Source
Original judgment source is linked above.
Judgment (9 paragraphs)
REASONS FOR JUDGMENT 1 This matter concerns the labyrinthine world of the Safety, Rehabilitation and Compensation Act 1988 (Cth) (the Act), the sad case of a senior public servant whose psychiatric condition was adversely affected by a number of performance development meetings in her workplace, and a somewhat confused and confusing decision of the Administrative Appeals Tribunal (the Tribunal). 2 In February 2013, the applicant, Ms Prudence Gaffey, lodged a claim for compensation with the respondent, Comcare, on the basis that she had been diagnosed with severe depression and anxiety. Ms Gaffey claimed that her illness or injury arose as a result of remarks made to her during meetings she had with her workplace mentor and her workplace supervisor at the Department of Sustainability, Environment, Water, Population and Communities (Department). Her compensation claim was disallowed by Comcare. Ms Gaffey applied to the Tribunal for a review of the decision to disallow her compensation claim. In a decision dated 10 September 2014, the Tribunal affirmed Comcare's decision to disallow Ms Gaffey's claim. 3 Ms Gaffey appeals to the Court under s 44 of the Administrative Appeals Tribunal Act 1975 (Cth) (the AAT Act).
Relevant Statutory provisions 4 As its name suggests, the Act establishes a scheme for the rehabilitation and compensation of employees of the Commonwealth who suffer injury arising from their employment. The central provision of the Act dealing with compensation is s 14, which provides as follows: (1) Subject to this Part, Comcare is liable to pay compensation in accordance with this Act in respect of an injury suffered by an employee if the injury results in death, incapacity for work, or impairment. (2) Compensation is not payable in respect of an injury that is intentionally self‑inflicted. (3) Compensation is not payable in respect of an injury that is caused by the serious and wilful misconduct of the employee but is not intentionally self‑inflicted, unless the injury results in death, or serious and permanent impairment. 5 As is frequently the case with Commonwealth legislation, the apparent simplicity of this central provision belies the complexity created by a series of definitional provisions that apply to many of the terms used in s 14. 6 Comcare is the body established by the Act to, amongst other things, determine and meet claims for compensation in respect of injuries suffered by employees for which it is liable under the Act. An employee (as defined in s 5 of the Act) relevantly includes a person who is employed by the Commonwealth or by a Commonwealth authority (as defined in s 4 of the Act). There is no dispute that Ms Gaffey was an employee of the Commonwealth at the relevant time. 7 Compensation is only payable under s 14 in respect of an "injury". The term "injury" is defined in s 5A(1) of the Act in the following terms: injury means: (a) a disease suffered by an employee; or (b) an injury (other than a disease) suffered by an employee, that is a physical or mental injury arising out of, or in the course of, the employee's employment; or (c) an aggravation of a physical or mental injury (other than a disease) suffered by an employee (whether or not that injury arose out of, or in the course of, the employee's employment), that is an aggravation that arose out of, or in the course of, that employment; but does not include a disease, injury or aggravation suffered as a result of reasonable administrative action taken in a reasonable manner in respect of the employee's employment. 8 It can be seen that the definition of injury has three alternatives and one overriding exclusion. 9 The first alternative is a "disease". The term "disease" is defined in s 5B(1) of the Act in the following terms: disease means: (a) an ailment suffered by an employee; or (b) an aggravation of such an ailment; that was contributed to, to a significant degree, by the employee's employment by the Commonwealth or a licensee. 10 Thus, two elements need to be satisfied for an employee to be found to have suffered a disease for the purposes of the Act: first, the employee must suffer an "ailment" or an "aggravation of such an ailment"; and second, that ailment or aggravation must have been contributed to, to a significant degree, by the employee's employment by the Commonwealth. 11 The expressions "ailment" and "aggravation" are, of course, defined in s 4 of the Act. The definitions are in the following terms: ailment means any physical or mental ailment, disorder, defect or morbid condition (whether of sudden onset or gradual development). aggravation includes acceleration or recurrence. 12 The legislature has also seen fit to help with the determination of the second element of the meaning of disease. Subsection 5B(2) provides as follows: In determining whether an ailment or aggravation was contributed to, to a significant degree, by an employee's employment by the Commonwealth or a licensee, the following matters may be taken into account: (a) the duration of the employment; (b) the nature of, and particular tasks involved in, the employment; (c) any predisposition of the employee to the ailment or aggravation; (d) any activities of the employee not related to the employment; (e) any other matters affecting the employee's health. This subsection does not limit the matters that may be taken into account. 13 Section 7 of the Act contains some other provisions that deal with diseases. Subsections 7(1), (2) and (3) refer to some circumstances which, if they exist, satisfy the requirement that the disease or aggravation was contributed to, to a significant degree, by the employee's employment by the Commonwealth. Subsection 7(4) deals with the date upon which an employee is taken to have "sustained" a disease or an aggravation of a disease. It will be necessary to later consider s 7(4) in the context of some of Ms Gaffey's submissions on this appeal. 14 Returning to the definition of "injury", the second alternative (in s 5A(1)(b) of the Act) also has two elements. First, the employee must suffer a "physical or mental injury" that is not a disease; and second, that injury must have arisen out of, or in the course of, the employee's employment. Likewise, the third alternative, (in s 5A(1)(c) of the Act), being an aggravation of a physical or mental injury, is mutually exclusive of a disease and requires that the aggravation arose out of, or in the course of the employee's employment. 15 Sections 6 and 6A contain a number of provisions relating to the requirement that the relevant injury arose out of or in the course of employment. For reasons that will become apparent, it is unnecessary to consider these provisions in the context of Ms Gaffey's appeal. 16 The exclusionary aspect of the definition of "injury" in s 5A, which applies whether the relevant injury is a disease (including an aggravation of an ailment), a physical or mental injury or an aggravation of a physical or mental injury, is critical to the circumstances of Ms Gaffey's case. An injury suffered by an employee which otherwise falls within one of the three alternatives in the definition is not an injury for the purposes of the Act if it was "suffered as a result of reasonable administrative action taken in a reasonable manner in respect of the employee's employment." 17 Subsection 5A(2) expands on the concept of "reasonable administrative action" in the following terms: For the purposes of subsection (1) and without limiting that subsection, reasonable administrative action is taken to include the following: (a) a reasonable appraisal of the employee's performance; (b) a reasonable counselling action (whether formal or informal) taken in respect of the employee's employment; (c) a reasonable suspension action in respect of the employee's employment; (d) a reasonable disciplinary action (whether formal or informal) taken in respect of the employee's employment; (e) anything reasonable done in connection with an action mentioned in paragraph (a), (b), (c) or (d); (f) anything reasonable done in connection with the employee's failure to obtain a promotion, reclassification, transfer or benefit, or to retain a benefit, in connection with his or her employment. 18 Returning to the circumstances in which Comcare may be liable to pay compensation under s 14 of the Act, Comcare is only liable in respect of an injury if it "results in death, incapacity for work, or impairment." Thus, there are three alternative bases for compensation. Different provisions of the Act apply in the case of injuries resulting in death (ss 17 and 18), incapacity (ss 19-23A) and impairment (ss 24-28). Perhaps not surprisingly (even though this is a piece of Commonwealth legislation), there is no definition of "death". Nor is there any definition of "incapacity for work". There is, however, a definition of "impairment" in s 4: impairment means the loss, the loss of the use, or the damage or malfunction, of any part of the body or of any bodily system or function or part of such system or function.