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We have been advised by our new Government that there are going to be some changes made to the Employment legislation over the next year or so.
 
The first of these changes are now before parliament in the form of a Bill to amend the Employment Relations Act 2000. From there it will go to select committee where the public will be able to have some input. 

Here are the highlights of the Employment Relations Amendment Bill and how it may affect you and your employees. 

Collective Agreements
•    All collective agreements would be required to include the rate of pay that applies to every employee covered by that collective.
•    If an employer is approached by an applicable union and asked to join the collective, there would now be no option for them to opt out of that collective agreement and it would therefore apply to all employees who are covered by that union.
•    A union representative would no longer have to gain your consent before entering your workplace. 
•    Union delegates would be given reasonable paid time to conduct their duties during working hours.
•    An employer would no longer be able to deduct pay as a response to partial strikes.

Rest and meal breaks 
There would still remain the ability for the employer and the employee to negotiate flexible work/break times if both parties are in agreement. If the employee does not want the flexibility offered, then the breaks must be taken as prescribed. 
•    Work period between 2 hours and 4 hours, one 10 minute break
•    Work period between 4 hours and 6 hours, one 10 minute break and one 30 minute break
•    Work period between 6 hours and 8 hours, two 10 minute breaks and one 30 minute break
•    Work period between 10 hours and 12 hours, three 10 minute breaks and one 30 minute break
•    Compensation options are available to the employee

90 day trials
•    These would still be available to employers but only if they have less than 20 employees
•    There is evidence however of an increased number of personal grievance claims under this clause. 
•    Introduce re-instatement as the primary remedy for a grievance

Vulnerable workers affected by business transfers, sales, and restructuring. 
The definition of a vulnerable worker includes someone who provides, cleaning services and food catering services in any place of work.
•    The exemption for businesses with less than 20 employees will now been removed. 
•    Purchasing a business with a vulnerable worker as an employee means that you would have to take on that employee at the same pay rate that they are currently on, and with all of their accumulated entitlements.
•    Also included would be subcontractors who may have been carrying out work that is now to be done in-house
•    If you have a vulnerable worker as an employee and then elect to contract out the work, the employee is entitled to be taken on by the contractor. 
•    This also applies if the contractor in turn sub-contracts out the work.
•    If you have a contractor performing work for you that is done by a vulnerable worker and you then appoint another contractor, the employee of the first contractor is entitled to be employed by the second contractor. 

There is to be a strengthening of record keeping requirements for all employees. This includes employment agreements, time sheets, pay slips, leave taken, etc and must be produced when asked for by either the employee or their representative.      

The minimum pay rate is to be increased to $16.50 per hour. As there has been a similar pay increase each year for the last couple of years as well, it may be time to address any pay relativity with all of your employees.    
  
As well as the Bill before parliament at the moment, the Government has states that within their first 12 months in power, they intend to
•    Work towards bringing back redundancy payments to workers affected by restructuring
•    Introduce employment rights and entitlements to Dependent Contractors. This means that these Contractors will now have to be paid holiday pay, stats, sick and bereavement leave, etc
•    Work towards bringing back overtime to workers who work more than 40 hours per week. 
•    Increase the number of and resourcing for, Labour Inspectors.

Although all of this would represent a significant change in the employment landscape as we know it at the moment, it will apply to all employers and not just a select group.  

If you have any concerns or would like some further information, feel free to contact Graham at the Success Group on 0212857776, or click here 

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