Xiaomeng Feng v Yoga Limited [2025] NZERA 709

Yoga Limited ultimately accepted that Xiaomeng Feng had been unjustifiably dismissed. The ERA therefore focused on remedies, contribution and the claimed good-faith penalty. Ms Feng received $8,000 compensation and $4,400 lost wages, with no reduction for contribution.

Background

Ms Feng was employed under a studio-management, yoga and Pilates teaching apprenticeship supported by the Mana in Mahi programme. A studio move in March 2024 became the immediate catalyst for the end of the employment relationship. The employer later accepted in its amended reply that the dismissal was unjustified.

Compensation and lost wages

The Authority accepted that the sudden dismissal had a real emotional impact, particularly in the first few weeks, but assessed the harm at the lower end of comparable cases. Compensation of $8,000 was awarded. Ms Feng obtained new employment within about four weeks, and the employer accepted $4,400 as the appropriate lost-wages figure for that period.

No contribution reduction

There was evidence of a mismatch between the employer's expectations of Ms Feng as a studio manager and Ms Feng's understanding of her role. The Authority regarded this as miscommunication rather than blameworthy conduct that contributed to the personal grievance, so no s 124 reduction was made.

Good-faith penalty declined

The Authority noted problems in the management of the employment relationship but was not satisfied that the statutory threshold for a penalty was met. The dismissal appeared to have been driven by frustration rather than conduct of the type required for a penalty under s 4A.

Read the determination

Open [2025] NZERA 709 (PDF)

Source: Employment Relations Authority determination hosted on determinations.era.govt.nz. This summary is general information, not legal advice.