Employment Relations Act 2000: Employer and Employee Responsibilities

The Employment Relations Act 2000 outlines key responsibilities for both employers and employees. Employers are required to provide a safe working environment.

Under the Act, employers must also ensure that employees are not subjected to unjustified disciplinary action. This includes not unfairly dismissing employees or imposing penalties without a valid reason.

Employees, on the other hand, are expected to act in good faith and not engage in any behavior that could compromise the employer's business. This means being honest and transparent in all interactions with colleagues and management.

Employers are also responsible for providing employees with clear guidelines and expectations regarding their roles and responsibilities.

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Employer and employee obligations are a crucial part of the Employment Relations Act 2000. Both parties must deal with each other in good faith, as stated in Section 4 of the Act.

This means that a contract of employment is not just a commercial agreement, but a relationship built on mutual trust, confidence, and fair dealing. It's a special relationship that requires specific recognition, which is why the ERA is based on this understanding.

Employers have obligations to inform new employees about the collective employment agreement that covers their work, and to give them a copy of the agreement. They must also tell the employee that they can join a union that is a party to the collective agreement, and provide information about how to contact the union.

The employer must also inform the union as soon as practicable if the employee agrees to enter into an individual employment agreement. This is a change from the previous requirement that employers had to give an 'active choice form' to the employee.

Here are the key points about employer obligations when a new employee begins work:

A serious breach of an employee's duties can lead to termination of employment, while a breach of an employer's duties that causes an employee to resign can result in the employee being able to sue for constructive dismissal.

Termination of employment is a serious matter, and employers must have a good reason and follow a fair procedure to terminate an employee's contract. Employers can only fire employees for good reasons, such as unsatisfactory performance, incompatibility with other employees, absenteeism, negligence, misrepresentation in a curriculum vitae, incompetence, misconduct, inability to perform the work due to injury or illness, theft, sleeping on the job, or violence.

A procedure that does not follow the principles of natural justice is unlikely to be held to be fair, as seen in the leading case on procedural fairness, NZ Food Processing, IUOW v Unilever.

The seriousness of the bad behavior is crucial, and the termination must also be procedurally fair. Employees who are unfairly dismissed may be awarded monetary compensation.

In 2006, a woman was sacked for forwarding an email containing pictures of naked people, but the ERA awarded her $9000 for unjustified dismissal.

Here are some good reasons for firing employees, as stated by the ERA:

The Employment Relations Act 2000 is designed to promote collective organisation of employees and collective bargaining, through unions, to address the inherent imbalance of power in the employment relationship.

The Act has been in force for two decades, and while it's had many amendments, its original parts are still intact. However, the Labour-led Governments in 2000-2008 and post-2017 have been active in supporting the objectives of collectivism and improved employee protection.

Employers must deal with employees, unions, and each other in good faith, which means honesty and openness. The Act promotes good employment relations and good faith behaviour, including mutual obligations of trust and confidence.

The Act has made it more difficult for employers to employ people for a limited period of time, requiring genuine reasons and advising the employee of when and how the employment shall end.

The law surrounding employment in New Zealand is complex, but understanding the key concepts can make a big difference.

The Employment Relations Act 2000 is the foundation of employment law in New Zealand, and it's designed to promote collective bargaining and union membership.

Employers and employees must deal with each other in good faith, which means being honest and open. The Act promotes good employment relations and good faith behavior, including mutual obligations of trust and confidence between employers, employees, and unions.

Whether a worker is an independent contractor or an employee can be difficult to determine. The Employment Court considers factors such as control, freedom to get another person to do part of the work, and which party provides the tools or equipment needed to do the job.

The Employment Court recognizes that relationships can change over time, and a worker can start as a contractor but become an employee. In Excel Corp Ltd v Carmichael (2003), the worker started as a contractor but over time became an employee.

The Holidays Act 2003 gives employees 11 public holidays, 4 weeks of annual leave, 5 sick days, and 3 days bereavement leave. The Parental Leave and Employment Protection Act 1987 gives employees 14 weeks (though increasing to 16 weeks as of 1 April 2015) of government-funded parental (maternity) leave (maximum $504 per week).

Employees may also take an additional 38 weeks extended leave for child care. There is a presumption that the job will be kept open for the employee taking leave.

The Employment Relations Act 2000 has undergone many amendments since its introduction in 2000. The three phases presented in this chapter show a distinct difference in the various governments' support of the ERA's objectives.

Here are some key factors to consider when determining whether a worker is an independent contractor or an employee:

Remedies for personal grievances can be quite complex, but let's break it down. If a personal grievance is established, the Employment Relations Authority or Employment Court may grant one or more of the following remedies to the employee: reinstatement of the employee in their former position or in a position no less advantageous to them.

Reinstatement is a possibility if the employee's behaviour didn't obstruct the employer's ability to meet their obligation to act as a fair and reasonable employer. However, if the employee's behaviour contributed to the issue that gave rise to the personal grievance, they won't be eligible for reinstatement or compensation for humiliation, loss of dignity, and injury to feelings.

The reimbursement of wages or other money lost as a result of the grievance is also possible. This can be up to a maximum of three months of ordinary pay, with discretion for higher reimbursement. However, if the employee's behaviour contributed to the situation, the remedy reduction can be up to 100 percent.

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Here's a summary of possible remedies:

Keep in mind that these remedies are subject to the employee's behaviour and the circumstances of the case.

The Employment Relations Act 2000 established a range of courts and institutions to settle industrial disputes.

Each Act created a unique court or institution, with the ICAA having the Court of Arbitration and the IRA having the Industrial Court and Industrial Commission.

The Labour Relations Act (LRA) and Employment Contracts Act (ECA) also had their own specialized courts, the Labour Court and Arbitration Commission, and the Employment Court and Employment Tribunal, respectively.

The Employment Court is a court of record with equal standing to the High Court of New Zealand, as stated in section 187 of the ERA.

The judges of the Employment Court are appointed by the Governor-General on the advice of the Attorney-General, as per section 200 of the ERA.

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Employee status can be a complex issue, especially when it comes to determining whether someone is an employee or an independent contractor. The Employment Relations Authority (ERA) has specific rules to determine this.

The ERA considers several factors when deciding whether a worker is an employee or an independent contractor. One of the key factors is the level of control the employer has over the worker's work. If the employer has significant control over how the work is done and to what degree, it's more likely the worker is an employee.

The intention of the parties, as stated in their contract, is also a crucial factor. If the contract explicitly states the worker is an independent contractor, it may be considered as such. However, this is not always the case.

Other factors the ERA considers include whether the worker is free to get another person to do part of the work, who provides the tools or equipment needed, and whether the worker hires their own workers. If the worker is not free to hire others, it may indicate they are an employee.

The way taxes are paid can also be an indicator of employee status. Employers must deduct PAYE and ACC levies from employees' wages. If taxes are not being deducted, it may suggest the worker is an independent contractor.

Here are the key factors the ERA considers when determining employee status:

It's worth noting that relationships can change over time, and the ERA recognizes this. In some cases, a worker may start as an independent contractor but become an employee over time.

Personal grievances can be a complex and sensitive issue for employees and employers alike. Changes to personal grievances have been announced, including the introduction of an income threshold above which a personal grievance cannot be pursued.

The income threshold will impact the types of remedies available to employees. For example, if an employee's behaviour is deemed to have contributed to the issue that gave rise to the personal grievance, they may not be eligible for reinstatement or certain forms of compensation.

Employers and employees should be aware of the changes to eligibility for remedies. According to the current law, if a personal grievance is established, the Employment Relations Authority or Employment Court may grant one or more of the following remedies to the employee:

The Employment Relations Act 2000 will be amended to introduce a high-income threshold for unjustified dismissal personal grievance claims. This means that employees earning over the threshold will not be able to raise an unjustified dismissal personal grievance claim or an unjustified disadvantage claim when it relates to the dismissal.

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The high-income threshold will initially be set at $180,000 per annum of base pay. Base pay includes regular salary and wages, and excludes other income such as incentive payments, or benefits such as vehicle use.

Employees earning over the threshold can still raise personal grievances on other grounds, for example discrimination, sexual or racial harassment, or union duress. This means that employees in high-income positions will still have recourse to address other types of grievances.

The threshold will not be adjusted for part-time employment. So, an employee working 20 hours per week and earning $90,000 will not be considered above the threshold.

The threshold will be updated annually according to increases in average weekly earnings, as measured in Stats NZ Quarterly Employment Survey.

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Personal grievances can be a complex and sensitive issue in the workplace. The government has announced changes to the personal grievances process, including the introduction of an income threshold for unjustified dismissal claims.

This means that employees earning over $180,000 per annum of base pay will not be able to raise an unjustified dismissal personal grievance claim or an unjustified disadvantage claim when it relates to the dismissal. The threshold will be updated annually according to increases in average weekly earnings.

Employees earning over the threshold can still raise personal grievances on other grounds, such as discrimination, sexual or racial harassment, or union duress. This includes being able to opt back into unjustified dismissal coverage, as well as negotiating their own employment dispute resolution processes into their employment agreement.

The law will also allow remedy reductions of up to 100 percent where an employee has contributed to the situation which gave rise to the personal grievance. This means that employers and employees will need to carefully consider the impact of an employee's behavior on the grievance process.

Here are some key facts about the changes to personal grievances:

These changes aim to strengthen consideration and accountability for the employee's behavior in the personal grievance process.

Unions play a crucial role in resolving personal grievances in the workplace.

The collective bargaining process is a key mechanism for resolving grievances, with unions negotiating with employers to establish fair procedures for handling complaints.

A union's ability to bargain effectively is often a major factor in determining the success of a grievance resolution.

The National Labor Relations Act (NLRA) protects employees' rights to engage in collective bargaining and to address grievances through the union.

In many cases, unions have successfully negotiated provisions into collective bargaining agreements that establish procedures for resolving grievances, such as mandatory mediation and arbitration.

The presence of a union can significantly increase the chances of a successful grievance resolution, with studies showing that unionized workplaces are more likely to resolve grievances through the collective bargaining process.

Unionized workplaces are also more likely to have a formal grievance procedure in place, which can help to resolve disputes quickly and efficiently.

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The Employment Act 2000 was a significant piece of legislation that built on the Employment Relations Act 2000.

It introduced the right to request flexible working for parents and carers, which was a major change for working families.

This new right allowed employees to request flexible working arrangements, such as part-time or job sharing, to care for a child or disabled person.

The Act also established the National Minimum Wage, which was set at £3.60 per hour for adults and £3.00 per hour for 16- and 17-year-olds.

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You must set out in writing the rate payable to employees, according to Section 65(2) of the ERA.

This requirement is crucial to ensure transparency and clarity in employment agreements. The Minimum Wage Act 1983 sets the minimum wage, which applies to all employees, including those in training.

Employers must pay wages in cash unless they have written consent to do otherwise, as per the Wages Protection Act 1983.

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The Employment Relations Act 2000 is undergoing an amendment to introduce a high-income threshold for unjustified dismissal personal grievances. This change aims to provide a clearer distinction between employees who can and cannot raise claims for unjust dismissal.

The threshold will be set at $180,000 per annum of base pay, which includes regular salary and wages, but excludes other income such as incentive payments or benefits like vehicle use. Employees earning above this threshold will not be able to raise an unjustified dismissal personal grievance claim.

However, employees can still raise personal grievances on other grounds, such as discrimination, sexual or racial harassment, or union duress. The threshold will not be adjusted for part-time employment, meaning an employee working 20 hours a week and earning $90,000 will still be considered above the threshold.

Employers and employees will be able to agree to opt back into unjustified dismissal protection before, or at any point during, the employment relationship. This provision allows for flexibility in employment agreements.

The threshold will be updated annually according to increases in average weekly earnings, as measured in Stats NZ Quarterly Employment Survey.

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The Employment Relations Act (ERA) 2000 was introduced in 2000, following significant changes in employment relations under the Employment Contracts Act (ECA) 1991.

The ERA aimed to move employment relations from a focus on contractual and market exchanges to one that focused on employment relationships. This shift was a response to critics of the ECA 1991, who believed it engendered a low-skill, low-wage, low-productivity economy.

The main goals of the ERA were to promote good faith, collective bargaining, and productivity by balancing the power of the parties, promoting trust-based employment relationships, and safeguarding individual employment rights. Margaret Wilson, the architect of the ERA, emphasized these objectives.

The ERA was a response to the decline in union density and collective employment contracts in the 1990s, which had negatively impacted employees in the secondary labour market.

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The income threshold for unjustified dismissal personal grievances is set at $180,000 per annum of base pay, which includes regular salary and wages, but excludes other income such as incentive payments or benefits.

During the transitional period, employees on existing employment agreements will retain the ability to raise an unjustified dismissal personal grievance. This transitional period will last for 12 months after the legislation comes into force.

Employees can opt back into unjustified dismissal protection before, or at any point during, the employment relationship. If the employer and employee agree to vary their employment agreement to state the threshold applies before the end of the transitional period, the transitional period will end.

Here's a breakdown of the transitional period:

Employees have 90 days from the end of their employment to raise an unjustified dismissal claim, unless the employer agrees to the personal grievance being raised, or the delay was due to exceptional circumstances.

If you're on an existing employment agreement, you're in for a 12-month transition period. This means you'll have time to adjust to the new rules.

During this time, you can still raise an unjustified dismissal personal grievance, even if the income threshold hasn't applied yet. This gives you and your employer a chance to negotiate new terms and conditions if needed.

The transition period will end if you and your employer agree to vary your employment agreement to include the income threshold, or 12 months after the legislation comes into force, whichever comes first.

If you move to a new employer or role, you're no longer considered to be on an existing employment agreement, unless you're part of a restructure. In that case, the transition period will still apply.

Here are the key dates to keep in mind:

This means you'll have a clear understanding of when the transition period will end, and what you need to do to stay covered.

In New Zealand, the Employment Relations Act 2000 is being amended to introduce an income threshold for unjustified dismissal personal grievances. This means that employees earning over a certain amount will not be able to raise an unjustified dismissal personal grievance claim or an unjustified disadvantage claim when it relates to the dismissal.

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The high-income threshold is initially set at $180,000 per annum of base pay, which includes regular salary and wages, but excludes other income such as incentive payments, or benefits like vehicle use. This threshold will not be adjusted for part-time employment.

Employers and employees can agree to opt back into unjustified dismissal protection before, or at any point during, the employment relationship. This allows them to continue to have protection against unjustified dismissal even if they earn above the threshold.

The threshold will be updated annually according to increases in average weekly earnings, as measured in Stats NZ's Quarterly Employment Survey.

The threshold of $180,000 per annum is based on base pay, which includes regular salary and wages.

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Employers have a range of obligations to their employees, including providing a written employment agreement that meets certain requirements.

An employment agreement must contain the names of the employer and employee, a description of the work to be performed, and the working hours. The agreement must also specify the wages or salary, and provide a plain-language explanation of the services available for sorting out employment relationship problems. A maximum fine of $5,000 for an individual or $10,000 for a company applies if an employer fails to provide a written employment agreement.

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Employers must also inform new employees about the collective employment agreement that covers their work, and provide them with a copy of the agreement. Employers must also inform employees about how to contact the union, and that the collective employment agreement will bind the employee if they join the union.

Employers' obligations to new employees have changed, with the removal of the 30-day rule. This means that employers and employees can now negotiate the terms and conditions of individual employee agreements at the start of employment, which can differ from the collective employment agreement.

A safe workplace is not just a nice-to-have, it's a must-have. Under the Health and Safety in Employment Act 1992, employers have a duty to ensure their workplace is safe for employees, contractors, and visitors.

Employers must take this responsibility seriously, as failing to do so can have serious consequences. In the case of Williams v Dunedin City Ford, the Employment Relations Authority held that the employer's failure to deal with a second pornographic image in the workplace created a hazardous environment for the employee.

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The definition of a safe workplace is not just about physical safety, but also emotional well-being. The employee in the Williams case was awarded $10,000 for lost salary and $7,500 as compensation for distress after being exposed to a pornographic image at work.

Employers must take proactive steps to prevent harm and ensure a safe and secure workplace. This includes addressing any complaints or concerns raised by employees, such as the employee in the Williams case who complained about the pornographic images.

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Employers have specific obligations when a new employee begins work. Employers no longer have to give a new employee an 'active choice form' or provide information about the role and functions of the union.

Employers must inform a new employee that a collective employment agreement exists and covers the work to be done by the employee, and that the employee may join a union that is a party to the collective employment agreement. The employer must also give the employee a copy of the collective employment agreement.

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A new employee's individual employment agreement must be in writing and contain specific information, including the names of the employer and employee, a description of the work to be performed, and the wages or salary. If an employer doesn't provide a written employment agreement, the maximum fine is $5,000 for an individual or $10,000 for a company.

Employers must continue to inform an employee about how to contact the union and that, if the employee joins the union, the collective employment agreement will bind the employee.

Employees must obey instructions as long as they're lawful, not dangerous, and within their job scope.

If you're a nurse, for instance, you can't refuse to treat a patient with an infectious disease, as it's an inherent part of your work.

Instructions that are outside these parameters can be refused, but be aware that there might be consequences for non-compliance.

If an employer gives you a task that's not within your job agreement, it's essential to speak up and clarify the situation.

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In the United States, employers are required to provide certain documents to employees, including the Fair Labor Standards Act (FLSA) poster, which outlines employee rights and protections.

This poster must be displayed in a conspicuous location where employees can easily see it, such as in the break room or near the time clock.

Employers must also provide employees with a written notice of their rights under the FLSA, which includes information about overtime pay, minimum wage, and record-keeping requirements.

This notice must be provided to employees at the time of hire and must include a statement that employees have the right to file a complaint with the Department of Labor if they believe their rights have been violated.

Employers are also required to provide employees with a copy of their personnel file, which must include information such as job descriptions, performance evaluations, and any disciplinary actions taken against the employee.

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