All about pay, hours at work, record keeping and what breaks employees are entitled to. Redundancy . Whether employees receive redundancy payments is dependent on the applicable employment agreements and is a matter for negotiation between the parties. Have they made any major purchases lately? It also requires an employer who is proposing to mak… Redundancy. At Work Fair, we provide legal services for employment matters within New Zealand. OWEN, N. and PECK, S. (2013) Redundancy law : a guide to using the law for union reps. LRD Booklets. This can allow for other redeployment opportunities to be explored. If there is no mention of the amount it could be up for negotiation. is mediation really a confidential process, how is mediation different to arbitration, Nicol v Canterbury Concrete Cutting NZ Limited. Redundancies are treated as dismissals. If you are an employer and you wish to make an employee redundant, you must ensure: that there are genuine commercial reasons for doing this (that is, that the redundancy is substantively justified) that the process by which this is done is fair (procedural fairness), and that you comply with any relevant terms in the employment agreement Amendments to the Act now state more clearly the minimum requirements for employers proposing to make a decision that will affect their employee… Still haven't found what you're looking for? Don't forget that our initial consultation with you is free. 0800 088 4022. A notice period is the amount of time between when your employer tells you that you will be made redundant and your last working day. A redundancy payment is taxable income. Employment law handbook. Auckland Flo Samuels . 297, Regulation on severance pay and rules governing pensions; Law of 23 August 2004, n. 243 Pension regulations and government mandates in the public pension sector, to support supplementary pensions and stable employment and for the reorganisation of social security and mandatory assistance; Law … Under New Zealand law it is not compulsory for an Employer to pay redundancy compensation. The process of redundancy is clear and the reasons for redundancy must be genuine and should be considered a final option if all else has failed. Guides in this category View all. Redundancy Read more. Fill out the form below and we’ll be in touch as soon as possible. We believe that everyone should have access to quality employment law … Starting a new job is an exciting and challenging time. When an employer advises an employee that they have not been successful in the redeployment process they should make sure that the employee is offered at least all of the support that is mentioned in the employment agreement or policies and/or has been mentioned in the change proposal. Go. the amount of compensation being paid (if any). It is important to remember that it is the position that is surplus, not the employee. You must enable JavaScript to submit this form. Subscribe. Redundancy is a situation where an employer terminates an employee due to the fact that the position filled by that employee is no longer required to the needs of the employer. We specialise in employment law and represent employees and employers with a pragmatic focus on resolving employment relationship issues. An employee’s job is redundant if the business or organisation that employs them closes down, or closes down at the location where they work, or if they become surplus to the requirements of the business or organisation. Redundancy Payments. Employers cannot make someone redundant without going through the workplace change process first. Redundancy While most employees will face restructuring and redundancy during their working life, they often feel that the decision is personal and has little to do with genuine commercial needs and the law. Because it’s the position that is no longer needed (not the employee), the redundancy is very likely to be unjustifiable if an employee loses their position and … Please note that this content will change over time and may be out of date. Clear workplace policies and procedures support employment agreements and mean everyone knows how things are meant to be done. It came into force on 28 June 2020. Brent.MacDonald001@msd.govt.nz. Keep an eye on job advertisements to see if you can find your job listed in the situations vacant. Employee bound by applicable collective agreement may agree to additional terms and conditions of employment: 62: Terms and conditions for first 30 days of employment of new employee who is not member of union : 62A: Employer must share new employee information with union unless employee objects: 63: Terms and conditions of employment of employee who is not member of union after … The reasons for the redundancy must be genuine. Our services are available in English and Chinese/Mandarin. Redundancy and Restructuring; Harassment and Workplace Bullying ; Negotiations ; Wrongful Dismissal; If you need to hire a lawyer in Dunedin to represent you in any employment matter such as an unfair dismissal, wrongful dismissal or employment disputes, Jenny Beck Law is the firm who can give solid employment law advice. But under New Zealand law, there is no basic right to redundancy pay. Unless the employee could show that the redundancy was a sham, motivated by a desire to exit an employee for reasons other than redundancy (for example, poor performance), the Courts tended not to interfere. Employment Law and Redundancy Compensation In some countries, redundancy pay is mandatory. Once we have had a look at your situation we can advise if you have a valid case or not. We are facing unprecedented times with the Covid-19 pandemic and it Redundancy is a form of dismissal from your job. Employment agreements that contain redundancy clauses usually include a caveat: that employees will not be entitled to compensation when electing to not continue on with the new owner. nzherald.co.nz. Will it be needed for longer? The best way to prevent and resolve relationship problems between employers and employees. I leave that up to your imagination. The employee does not have to agree to a later date. Tuahu.Watene003@msd.govt.nz. Redundancy, Restructuring, Strike and Lockout Advice Call for a free 15 minute phone consultation. According to redundancy law, you’re entitled to a minimum notice period of: 12 weeks’ notice if employed for 12 years or more. Check Your Employment Agreement: If your employment agreement mentions redundancy compensation, it will probably also show what the amount of compensation will be. If you need employment law advice, we can help. An employer may end their employee's employment via a 'dismissal' eg for misconduct or redundancy, but a proper process must always be followed. Receive news and updates each month from Employment New Zealand. Employment Advocates are experts in resolving conflicts and disputes at work. If you lose your job you may be eligible for redundancy. The employee must be given a genuine opportunity to comment on the possibility of redundancy. Many Kiwis will experience redundancy at some point in their working lives. There are a couple of aspects to being made redundant that you can look at. a combination of these things. COY, J. At Work Fair, we provide legal services for employment matters within New Zealand. Describes redundancy payments and how statutory redundancy is calculated. Under New Zealand employment law, employers and employees both have rights and responsibilities. In this common scenario, employees find themselves technically redundant. Speak to a solicitor for a free initial confidential chat . Redundancy and restructuring. In general, an employer is entitled to make you redundant if this is for genuine business reasons, and is not required to pay you compensation unless there is a specific agreement with you to do this. Annual Leave and Other Leave. Employers need to prove that they acted in a fair and legal way or face legal consequences. I asked employment lawyer Priya Magar at law firm EMW a few commonly asked questions around the redundancy process. Articles. 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