Insight / Employment A miscarriage of justice This story has been described as one of the greatest miscarriages of justice in British history. It involves the British Post Office pursuing innocent workers (postmasters) for apparent financial irregularities and shortfalls which were caused by faults in its IT accounting software system that made it look like money was missing from branch accounts. Postmasters are self-employed and run branch post offices under contract to the Post Office and are liable for any loss or damage to any Post Office cash and stock and any shortfalls in the money payable to the Post Office must be made good (in full) by the postmaster. Read more
Insight / Employment Trial period pitfalls In December 2023, the (then) new government had passed legislation that reintroduced the use of trial periods for new employees being available for employers of all sizes. With the increase in employers’ ability to use trial periods, it is another timely reminder that the rules regarding trial periods are enforced very strictly. Read more
Insight / Employment Verbal warnings: valid or void? A common misconception that employers often hold is that they can rely on verbal warnings to justify formal disciplinary or performance management outcomes, instead of going through a formal process. The reality is that it’s not that simple. While there is a place for verbal warnings, employers should be cautious when seeking to rely on them to justify formal employment outcomes. Read more
Insight / Employment Restructuring dos and don’ts This year is proving to be an especially difficult period for employers and employees throughout New Zealand. Many businesses are reporting a disappointing year with declines in revenue and operating profits. Some of this performance is due to the macro environment, such as inflation, employment, spending, and monetary and fiscal policy. This is shaping the job market and has created stresses and strains for both employees and employers as they navigate the issues of higher costs, cost-cutting, scaling-back and job cuts. Added to that mix is the upheaval of the “tech wave” with the rise of AI and the prediction that it will be a contributing factor to more layoffs. Read more
Insight / Employment Court of Appeal finds that consultation trumps confidentiality during proposed business transfer The Court of Appeal recently declined an application to appeal the Employment Court’s decision in Birthing Centre Limited v Matsas. This case emphasises the importance of employers consulting with employees during restructures, especially during business transfers. The court found that failing to consult and not offering redundancy compensation led to unjustified dismissals. Employers must ensure transparency and proper consultation to avoid significant penalties. Read more
Insight / Employment Holidays Act 2003 reform – change is on the horizon In a recent press release from the Minister for Workplace Relations and Safety, the Government provided an update regarding the ongoing Holidays Act 2003 (Act) reform. A draft of the Bill, which will set out the new Government’s proposed changes to the Act, will be released for targeted consultation in September 2024. The proposed changes aim to improve the workability of the current legislation and make entitlements clearer for employers and employees. Read more