Disclosed board communications calling ex-CEO a 'nothing' undermined case for his sacking, ERA finds
The Employment Relations Authority has ordered Tasman Rugby Union Incorporated (TRU) to reinstate former chief executive Steven Mitchell to its payroll on an interim basis, finding he has a strongly arguable case that his dismissal was predetermined by the union's board.
Mitchell was employed as TRU's CEO from June 2024 until his summary dismissal on March 20, 2026, following allegations of serious misconduct. He has challenged the dismissal as unjustified and is seeking compensation, lost earnings, and reinstatement.
The dispute traces back to a late-2025 organisational review of TRU, which included brief but critical commentary describing the CEO as lacking in "vision, strategy, and effective communication" and referencing "low visibility and engagement from CEO and senior management."
Following the review, TRU sent Mitchell a letter on December 17, 2025 raising performance concerns, including his attendance and leave patterns.
Two days later, a further letter alleged serious misconduct, including an intimidating conversation with a staff member, breaches of confidentiality regarding a potential restructuring lead, unauthorised extension of fixed-term staff contracts, and unpaid travel costs for his wife.
Mitchell was suspended pending investigation and was summarily dismissed in March 2026 after TRU found the allegations against him substantiated.
Internal board communications disclosed
A strong factor to the ERA's decision was a tranche of internal board communications, obtained by Mitchell through a Privacy Act 2020 request, which were disclosed to him only after his dismissal.
ERA member Antoinette Baker referenced several of these messages in her determination.
In an email dated December 8, 2025, board member Tony Healey described Mitchell as being referred to by TRU staff as a "skant," calling it an "old fashioned term but spot on," to which another board member replied they had "just googled meaning ouch."
Other messages included one describing Mitchell as "the gift that keeps on giving," and one from TRU chair Wayne Young stating he was "still hoping for the nice exit in which [Mitchell] will have input."
In a further exchange, Healey referred to Mitchell as "aka 67. Which means he is a nothing."
Baker found these communications, made before and during the disciplinary process, lent weight to Mitchell's claim of predetermination.
"At the very least I find Mr Mitchell has a strongly arguable case that those involved in the process had formed adverse and personalised views about him, and about his integrity, without these things being fully investigated or put to him," Baker wrote in her decision.
The ERA also found that TRU's disciplinary correspondence had misquoted the review report, attributing to it a recommendation that "leadership must be replaced" when the report had in fact stated that "leadership must be addressed."
Interim reinstatement ordered
On the question of serious misconduct, Baker said she was not in a position, at this interim stage, to conclude that any of the four allegations against Mitchell, including the unpaid travel expenses and disclosures to rugby delegates, met that threshold, given the evidence remained untested.
Baker accepted that an actual return to CEO duties was unworkable given the breakdown in trust between Mitchell and the board.
However, she found the financial hardship facing Mitchell, who she said would likely struggle to secure alternative senior sport administration roles given the public nature of the dispute, outweighed any detriment to TRU.
"I find the overall justice favours returning Mr Mitchell to the payroll immediately on an interim basis," Baker concluded.
The Authority ordered Mitchell reinstated to TRU's payroll only, at his CEO salary rate as at March 20, 2026, backdated to March 21, 2026, and continuing until the substantive matter is determined. Costs were reserved.
A substantive hearing is scheduled for the week of October 12, 2026, in Nelson.
