Workplace to change due to government changes

New Zealand workplaces are set for dramatic change due to proposed changes the government announced yesterday to employment laws

Workplace to change due to government changes
Workplaces are set to be dramatically impacted following government’s employment law announcement yesterday, Auckland HR consultancy Employsure says.

Employsure managing director Jen Tweed says: “The changes announced are in line with expectations set during the (election) campaign; but demonstrate some shifting of election policy. The proposed amendments are the first step in the government’s fulfilment of its commitment to employment relations reform.”

The government announced proposed changes to the Employment Relations Act (2000) yesterday, which it claims will create a high-performing economy that “delivers good jobs, decent working conditions and fair wages,” Tweed said.

The key changes under proposed reform include: lift wages through collective bargaining, reinstate key minimum standards and protections to employees such as the right to a prescribed meal and rest breaks, Limit the use of the 90-trial periods to businesses with fewer than 20 employees, Lifting the minimum wage to $20 by April 1, 2020 and the creation of a framework for Fair Pay Agreements.

Tweed added: “We hear from SMEs and large business clients that the 90-day trial periods allow them to fill roles quicker and minimise the risk of unjustified dismissals as they assess cultural fit and if the employee has the right skills for their business growth.”

“It’s a win for small business” she added.

“90-day trial periods allow small business employers to employ people without risk, because they don’t have the infrastructure to get into complex employment situations that could make them reluctant to take risks when employing new staff.”

The Bill is expected to have completed its first reading by 1 February but Tweed anticipates, “it will take many months to see how this all unfolds for New Zealand’s SME businesses and economy.”


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