Employer Bulletin | 14 April

Workplace Relations and Safety Minister Brooke van Velden says changes are coming to support freedom of choice and reduce the burden on employers when new employees start in a role.

The Government has agreed to repeal the changes made by the previous government by removing the 30-day rule and reducing related employer obligations.

“Currently, if a collective agreement is in place the employee’s individual agreement must reflect the terms of the collective agreement and that applies for 30 days regardless of whether an employee chooses to join a union or not,” says Ms Van Velden.

“Not only is the status quo convoluted and confusing, the process adds another administrative cost on top of many others, and those costs are dragging down workplace productivity.“ If a new employee chooses to negotiate the terms and conditions that suit their personal preferences or situation, they should have that choice realised from day one of employment.”

Removing the 30-day rule means employees and employers are free to agree on a wider range of employment terms including those that differ from the collective employment agreement for the first 30 days.

A further benefit of these changes is that 90-day trials can be made available from the start of employment if the employee chooses an individual employment agreement.

“Expanding the availability of 90-day trials was an ACT-National coalition commitment and supports workers that may struggle to gain employment and also give employers greater confidence around hiring,” says Ms van Velden.

In today’s Bulletin:

• Termination justified following employee’s arrest
• Employer successfully runs incapacity process triggered by role change
• Employee brought to New Zealand and dismissed without process in days
• Authority finds claims raised outside of statutory time limit
• Authority orders employer to pay wage arrears and repay premium
• Six news updates of interest for employers including: Government delivers breakthrough week for building; Q2 plan continues relentless focus on growth; Cutting red tape at the start of employment; OCR reduction affirms spending discipline; Household labour force survey estimated working-age population: March 2025 quarter, and Christchurch restaurant director sentenced after Immigration New Zealand investigation.
• Eight bills open for submission

If you have any questions, about this case or other employment relation matters, call the Advice Line team on 0800 800 362.