Changes to the Holidays Act 2003 and the Employment Relations Act 2000 have now been passed by Parliament. A wide range of legislative amendments have been introduced , with most of the changes coming into effect on 1 April 2011.
The main changes to the Employment Relations Act 2000 include:
Extending 90 day trial periods to all employers
- Changes to personal grievance provisions, by changing the test for justification
- New rules around Union access to the workplace
- Clarification around employer communication with employee’s during bargaining
- Changes to mediation and Authority processes
- Strict requirements regarding retaining copies of employment agreements
The main changes to the Holidays Act 2003 include:
- The ability for employees to cash in a maximum of one week of annual holidays
- Introducing the formula of “average daily pay”
- Medical certificate requirements
Special offer for your business
Rather than run a seminar on the changes to the Employment Relations Act 2000 and Holidays Act 2003, I will come to you and explain the changes.
For the first 10 people to contact me, I will come to your organisation, free of charge, and undertake a one hour individual discussion, or presentation to managers on the changes and what they mean in practical terms for your business.
Contact me now to arrange a visit.
New public holiday – National Memorial Service on Friday 18 March
On this Friday, the 18th March there is a National Memorial Service for the victims of the Christchurch Earthquake at 12:45pm in North Hagley Park. The Government has passed legislation (Canterbury Earthquake Commemorative Day Act 2011) which means the day is to be treated as a one-off provincial holiday for the Canterbury region. This means that employers need to treat it in the same way that they treat the Canterbury Show Day public holiday.
If you have any queries regarding the treatment of this public holiday, then please feel free to contact me for guidance.
New Premises at 68 Mandeville Street
Following the earthquake, Brannigans has relocated to new premises.
Our new address is: 68 Mandeville Street, Riccarton. Please feel free to pop by and visit.
Post Earthquake – Employers’ Obligations
Our thoughts are with those affected by the Christchurch earthquake. The legal and practical issues for employers arising out of this event are not straightforward. Below we have addressed some of the key questions employers may have during this challenging time. This is a general summary only and if you have questions about your own situation, please give me a call to discuss.
Health and safety obligations
Employers need to ensure that employees are returning to a safe workplace. Where the employer reasonably considers that the workplace is not safe, they are entitled (and probably have a legal obligation under the Health and Safety in Employment Act) to require employees to stay away from work. A full hazard identification should be made and plans to eliminate isolate and minimise where practicable. Check for; live electrical cables, or gas leaks, the integrity of the water and sewage lines, unstable equipment, chemical spills and any security issues. In some cases a full engineering report should be obtained from the landlord of the building to ensure the building is structurally safe.
Do employers have to pay their employee where employees are not working?
The legal position will depend on what the employee’s employment agreement provides, the reasons why the employee is not working and the state of the employer’s business and workplace. On a more practical note, employers may first want to check their insurance policies to check the extent to which they are covered for lost remuneration for employees. In addition the Government has announced they will support some employers in this situation with the payment of subsidies.
Check your employment agreements
Some employment agreements will contain a clause which provides for what is to happen
where there is an “act of God” or a “Force majeure” situation (such as an earthquake). If
your employment agreements contain such a clause, follow the terms of that clause.
Where the workplace is not operational
Generally, the rule is that if an employee is ready, willing and able to work and it is the
employer who is deciding that the employee needs to stay away, the employee is entitled to
be paid. Employers who are faced with this situation may want to consider making
arrangements for employees to work from home or from another location. The employer
and employee can also agree that the employee use other entitlements during this period
(such as annual leave).
Where the work place is operational but staff are away from work because of their own personal situation.
In this situation, if the employees’ usual work is available, then strictly speaking they would not
be entitled to be paid unless you have agreed otherwise. The exception to this would be if
an employee was sick or injured (or was responsible for the care of a dependant who was
sick or injured). In this situation the employee would be entitled to pay sick leave. Employers
should also bear in mind that in some circumstances, employees who are suffering anxiety as
a result of the earthquake may be entitled to claim that they are “sick” and entitled to sick
leave.
If you have employees who are reluctant to come into work or are occupied with their
personal situation (repairing properties etc), we suggest that you communicate closely with
your employees and try to reach agreement as to what is to happen. This might include
agreeing to pay an employee for a limited period of absence, providing paid sick leave,
having employees use their annual leave entitlement, accruing negative time in lieu to be
made up at a later date or requiring employees to do some work from home. Employers are
not able to require employees to take annual leave until the employer has given the
employee 14 days written notice of such requirement.
What if my business has to close permanently?
If your business has to close on a permanent basis, then your staff will be surplus to requirements and a redundancy situation will arise. Generally the normal rules around consultation with staff and meeting contractual obligations of notice and the payment of redundancy compensation will apply.