An employer can not vary your agreement without your mutual consent. ® Ministry of Business Innovation and Employment, Calculating payments for holidays & leave, Psychometric testing and assessment centres, Things an employment agreement must contain, Offering and negotiating employment agreements, Code of good faith in collective bargaining, Local council Easter Sunday shop trading policies, Problems getting domestic violence rights, Leave and pay entitlements during COVID-19, COVID-19: Guidance for payroll professionals, Employment New Zealand's approach to COVID-19, COVID-19 Workers and Workplaces Assistance Fund, Public, sick, bereavement, alternative pay, Changes to tax legislation for employee share schemes, Holiday and leave entitlement and payment ‘must-knows’, Positive conversations and reaching agreement, What are ethical and sustainable work practices, Demand for ethical and sustainable work practices, End-to-end assurance systems and processes, Identify and minimise labour rights issues, Assessing the impact of structure change on jobs, Restructuring when a business is sold or transferred, The benefits of being a disability confident organisation, Plan to become a disability confident organisation, Disability information and resources for employers, Resources and government support for disabled employees and jobseekers, Employers who breached employment standards, Applying for employment relations education course approval, Wage subsidy and Leave Support: Complaints about employers, Calculating payments for holidays and leave, Employer's approach to assuring ethical and sustainable work practices, Franchisor's approach to assuring ethical and sustainable work practices, Recruiters and employment brokers approach to assuring ethical and sustainable work practices. This follows our 2018 review of the consumer credit law. It also toughened the penalties for employers who do not comply with their obligations. Call us to get Qualified advice or browse our online store and buy contracts and employment software! Some changes will be able to be made without changing the actual employment agreement. Read the employment agreement thoroughly, and ask someone you trust to check that it is reasonable. WHAT DOES THE EMPLOYMENT AGREEMENT SAY? Join us. Employers cannot change employees’ contracts unilaterally. Includes checking procedures and various types of template contracts... Download a copy now! The complex system of managing the relationship between employers and employees is underpinned by multiple laws across New Zealand. Identify the original employment agreement, normally by referencing to the date it was signed, Identify what clause or clauses will be modified in the original employment agreement, Set out the new wording that will replace the previous wording, Ask the employee to confirm their agreement. As an employee, you have many of the same protections as someone who has commenced work, and also some obligations. It’s important to document each change in writing to ensure you, and your employee, remain on the same page and understand the expectations of the employment relationship. Talk to your boss first. Under contract law, neither you nor your employer can unilaterally decide to change the contract and both must consent to any changes in its terms. Your employer can not force you to change your signed agreement. Changes to your contract of employment can occur due either to a change in the law or by agreement between your employer and yourself. 7am to 7pm in accordance with a roster. I would not recommend any significant change to an IEA (such as change of hours, position or employment type) be communicated to the employee by way of email, you’re better off detailing the proposed changes in a letter to the employee that has a space for them to sign at the bottom and return a copy to you. Should you decide not to commence work, you may … It’s good practice before any changes are made to review the individual employment agreement (IEA) in full and check to see if anything does actually requiring formal changes in writing. Normally, an IEA will contain a clause like this: As an employer, it is your responsibility to ensure the terms of the employment agreement are accurate as a matter of law, and it’s not hard to keep them up to date when you know how to. The employer cannot change the terms of the previous contract without an agreement from the employee. Employment agreements | Employment New Zealand . view full product detail and buy online. This could result in costly damages and unfair constructive dismissal claims. It replaces all previous written or oral agreements or understandings. You must get an employee’s agreement if you want to make changes to their contract. Modifying or terminating employee agreements during COVID-19 — Employment NZ. Remember, any significant changes such as pay rates, change in regular hours or terms of employment also need to communicated to your payroll professional – in some cases, that’s us here at Ontrack Bookkeepinhg! contractual maternity rights. Generally, changes to terms and conditions of employment cannot be made without prior consultation with the employee on the proposed changes, and the employee's agreement obtained. Employees become entitled to annual holidays, public holidays, sick leave, bereavement leave, parental leave and other types of leave as long as they meet certain conditions. Employees must also act in good faith. If a business or part of it is to be sold or transferred to another party the employer has to follow a set of rules that apply to the transfer of work. Check that any changes you make won't affect any other clauses, or any guarantees. From time to time, the terms under which you have employed a team member originally may change. Changes to employment agreements can be effected in writing as easily with a brief email or a short letter. Write to the employee and ask him or her to attend a meeting (time and date) to discuss the proposed change. Identify the original employment agreement, normally by referencing to the date it was signed; Explain why the change is needed; Identify what clause or clauses will be modified in the original employment agreement; Set out the new wording that will replace the previous wording; Ask the employee to … If you're unsure, speak to a lawyer. Can the employer change the employment contract without consulting the employees? All about pay, hours at work, record keeping and what breaks employees are entitled to. Employers who want to make changes that may affect people’s roles, must follow a careful process and act in good faith. For example … Part-time in accordance with Roster The Employee's hours of work shall be Insert number hours per week worked over Insert number days, Insert days of week e.g. Independent Contractor Agreements & Guide. Changes to consumer credit law 2020. Many larger companies offer collective employment agreements that have been negotiated by a union. In this case the Employment Court found that NZ Post's investigation was not up to standard but the employee's misconduct was serious enough to justify the employee's dismissal. Changes your employer may want to make to the terms and conditions of your contract include: pay cuts. As an employer, you have some employment rights which must be agreed between you and your employer in a contract. If shifts may be cancelled or cut short, this must now be specified in your employment agreements, along with details on how much notice will be given and what compensation will be offered. Normally you don’t have to issue an entirely new agreement (only under certain circumstances), just provide them with a letter detailing the proposed changes. Changes your employer might make. This could be as simple as giving them a payrise, or slightly more complicated such as changing from a permanent full time agreement to a casual basis. You will need to initial the changes, and so will the builder. Changes to employment law mean employers can no longer offer zero-hours contracts. The employment agreement forms the legal basis for employment, and if a Labour Inspector finds you don’t have one for every single employee, no matter when they started, you could be in hot wa… To understand the impact of a workplace change you need to work out the impact of the new structure on the current jobs. Employers who follow a careful change process will reduce their chances to claims of: breaches of the duty of good faith The starting point for making any changes is to check what the employment agreement itself says about how it may be modified. In 2016, the Government made sweeping changes to the Employment Relations Act 2000 (Act) designed to prohibit ‘zero hour contracts’. If you want to make changes to the agreement, talk with your employer before you sign it. VIEW CART (0 Items) > TOOLBOX LOGIN > HOME; ABOUT US; EMPLOYMENT LAW; OUR SERVICES; OUR PRODUCTS; NEWS; CONTACT US; Taking care of business . Therefore, if an employer coerces you to sign a new contract by threatening to terminate or demote you, or change your employment status, you can make a claim to the Fair Work Co… EMPLOYMENT CONTRACTS (What you need to know about changes to your existing contract) Everyone who works as an employee has an employment contract with their employer. 0800 15 8000. We recommend that you contact us to determine your rights on variations. No. The best way to prevent and resolve relationship problems between employers and employees. Talk to your manager first if you’ve got a problem at work such as: discrimination or harassment; unfair warnings; bad health and safety practices; a disagreement over your contract; holidays or pay. This clause in an employment agreement sets out that agreed changes can be made to the terms and conditions of this agreement. Talking to your employer. It’s important for employers to use good hiring processes, and for everyone to follow minimum rights and responsibilities. Normally, an agreement may contain a clause like this: This agreement may be varied by agreement in writing … Memberships. For existing employees (i.e. If the employees are under collective employment, then a negotiation with the union is … Monday to Sunday between the hours of Insert range of hours e.g. Employment law protection where you need it most. Clear workplace policies and procedures support employment agreements and mean everyone knows how things are meant to be done. Please note that this content will change over time and may be out of date. This is because of the very simple reason that a Contract of Employment constitutes an agreement between two people, and the one party to the agreement cannot change the terms of that agreement without the consent of the … To give consideration just means to agree to do or not do something. Sometimes there will also be changes in law that require changes to the employment agreement. Employment contracts come in various forms. If you’ve been given a warning. Unlimited phone support from employment law … Creating an employment agreement is an important step when hiring staff. Collective agreements. Also if you do not have a written agreement and your agreement is verbal then you have still have rights. You can get free advice about employment agreements from: Employment New Zealand - call 0800 209 020 changing your hours of work. Steps to follow when making a change in the workplace. Generally, you can’t suspend an employee unless there’s a suspension clause in the employment agreement. The letter can include any necessary changes to the employment contract, and the employee will be required to consent to these change before the secondment beginning. When does an employment contract become binding? In the meeting, tell the employee what the proposed changes are and provide a copy of the proposed new agreement. Can my employer change the terms of my employment agreement? You’ll need to cover off certain points, such as: Take the opportunity to sit down with your employee and go over the letter when you give it to them, even if you’ve been talking with them about the change for a while, so you can ensure they understand what you are proposing and how it will affect their agreement with you. The agreement may contemplate, for example, that the employer has the right to change the employee’s work location or job description from time to time. Steps to follow when making a change in the workplace. In the eyes of the law, the workplace isn’t the Wild West and while it may be tempting to think you can get someone to work at your company without drawing up an employment agreement (EA) that you both sign, don’t give in to temptation. Changes to the Roster after publication will be discussed with you as necessary. It introduced a suite of changes to employment law including some which mean existing employment agreements will need updating. Expand all. to protect your accounts from possible interference after an alleged theft, or to protect the victim in the case of an alleged sexual assault. those employed on or before 31 March 2016) businesses will have until 1 April 2017 to make any required changes to their employment contracts. There can be many reasons for proposing a workplace change that may affect people’s jobs. * Even unwilling acceptance of changes will vary a contract… fringe benefits or perks. The above clause enables the employer (you) to make changes in good faith providing you have discussed the proposed changes in full and issued the employee with a variation in writing detailing the changes, giving the employee time to seek independent advice if required. Tell the employee when you hope to introduce the new arrangement, provided they agree to it. Amongst the changes were new rules about hours of work, and availability provisions. There are several ways in which employment relationships may be ended, such as resignation, retirement, dismissal or redundancy. If an employer is considering making a change, their first step is to look at the employment agreements and workplace policies, since these set out the basis for the employment relationship and the process for changing its terms. Variations to this agreement must be in writing and signed by both parties.” In contracts, it is understood that some kind of exchange is being made. If in doubt, get in touch with our office and we can help you make those changes or update them in the payroll system. Read about Hours of work (external link) on the Employment New Zealand website. The Fair Work Act 2009 (Cth) entitles you to workplace rights as an employee. Hot tip Icon. In very serious cases, you may be able to suspend someone while you investigate the misconduct, e.g. To make changes to the contract, put a line through what you want to delete and write in the changes. When a business is insolvent, there is often uncertainty as to what happens next for the employer and their employees. They can be written or verbal or a combination of both. Employers must use a fair and clear process to place employees in jobs in the new structure. Every job must have a written employment agreement that includes information such as the position description, pay rate and hours. To make sure any changes to your employment contract comply with the law consider the following: The law of contracts requires that changes to a contract are supported by "consideration." “This employment agreement sets out the whole of the agreement between the parties. * An employee who does not protest at an employer's unilateral changes will be deemed to have accepted them. Home > Employer Products. your place of work. This tool guides you through the steps to create an agreement for a new employee. 0800 15 8000. Starting a new job is an exciting and challenging time. Section 343 of the Fair Work Act prohibits an employer from coercing an employee to entering a new employment contract. This section provides help in some key areas. With respect to the work permit issue, if you leave employment and do not obtain other employment you have an onus to inform Immigration New Zealand of the change in your circumstances. Grace period ends 1 April 2017 So, what should the letter say? VIEW CART (0 Items) > TOOLBOX LOGIN > HOME; ABOUT US; EMPLOYMENT LAW ; OUR SERVICES; OUR PRODUCTS; NEWS; CONTACT US; Product Details. entitlement to sick leave. Some of these changes are summarised below. Still haven't found what you're looking for? your job duties. Coercing someone means to use fear, intimidation, force or threats to make someone do something against their will. Employment Relations Act 2000 - Key employment related issues, the basics for drafting individual employment agreements, Flexible Working Arrangements (including changes relating to victims of Family Violence), Fixed-Term agreements and 90 day Trial Periods. An employer that makes changes to its employees’ contracts that will have a negative impact on them, without going through the proper process, risks being in breach of contract. However, there are also contracts and employment agreements which set out additional rights and entitlements of employees. An agreement can be drawn up between the original employer and the host. KiwiSaver Act 2006 and Taxation (KiwiSaver) Amendment Act 2007 - Key application and administration issues. It is vital that the business … The zero-hours, shift cancellation and secondary employment changes mentioned below apply to new recruits employed by a business on or after 1 April 2016. 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