The starting point for making any changes is to check what the employment agreement itself says about how it may be modified. An agreement can be drawn up between the original employer and the host. 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… 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. The Government has made law changes to the Credit Contracts and Consumer Finance Act, and is developing new regulations. 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 … those employed on or before 31 March 2016) businesses will have until 1 April 2017 to make any required changes to their employment contracts. WHAT DOES THE EMPLOYMENT AGREEMENT SAY? 0800 15 8000. 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. Employment law protection where you need it most. your job duties. The best way to prevent and resolve relationship problems between employers and employees. We recommend that you contact us to determine your rights on variations. In the meeting, tell the employee what the proposed changes are and provide a copy of the proposed new agreement. 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. 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. 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. 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. contractual maternity rights. Clear workplace policies and procedures support employment agreements and mean everyone knows how things are meant to be done. 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. Employers cannot change employees’ contracts unilaterally. Creating an employment agreement is an important step when hiring staff. In 2016, the Government made sweeping changes to the Employment Relations Act 2000 (Act) designed to prohibit ‘zero hour contracts’. Variations to this agreement must be in writing and signed by both parties.” 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. You can get free advice about employment agreements from: Employment New Zealand - call 0800 209 020 Employers who want to make changes that may affect people’s roles, must follow a careful process and act in good faith. Your employer can not force you to change your signed agreement. Section 343 of the Fair Work Act prohibits an employer from coercing an employee to entering a new employment contract. 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. Grace period ends 1 April 2017 “This employment agreement sets out the whole of the agreement between the parties. Changes your employer may want to make to the terms and conditions of your contract include: pay cuts. 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. An employer can not vary your agreement without your mutual consent. All about pay, hours at work, record keeping and what breaks employees are entitled to. Check that any changes you make won't affect any other clauses, or any guarantees. Read the employment agreement thoroughly, and ask someone you trust to check that it is reasonable. Some of these changes are summarised below. 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! Still haven't found what you're looking for? Normally, an IEA will contain a clause like this: 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." Independent Contractor Agreements & Guide. Can the employer change the employment contract without consulting the employees? Unlimited phone support from employment law … 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 … 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; Product Details. Sometimes there will also be changes in law that require changes to the employment agreement. 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. Many larger companies offer collective employment agreements that have been negotiated by a union. However, there are also contracts and employment agreements which set out additional rights and entitlements of employees. Write to the employee and ask him or her to attend a meeting (time and date) to discuss the proposed change. If you’ve been given a warning. For example … There are several ways in which employment relationships may be ended, such as resignation, retirement, dismissal or redundancy. The Fair Work Act 2009 (Cth) entitles you to workplace rights as an employee. There can be many reasons for proposing a workplace change that may affect people’s jobs. To understand the impact of a workplace change you need to work out the impact of the new structure on the current jobs. It’s important for employers to use good hiring processes, and for everyone to follow minimum rights and responsibilities. Generally, you can’t suspend an employee unless there’s a suspension clause in the employment agreement. 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. Assessing the impact of structure change on jobs To understand the impact of a workplace change you need to work out the impact of the new structure on the current jobs. ® 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. Changes to employment agreements can be effected in writing as easily with a brief email or a short letter. As an employee, you have many of the same protections as someone who has commenced work, and also some obligations. Memberships. As an employer, you have some employment rights which must be agreed between you and your employer in a contract. your place of work. Starting a new job is an exciting and challenging time. So, what should the letter say? It also toughened the penalties for employers who do not comply with their obligations. To give consideration just means to agree to do or not do something. Collective agreements. You will need to initial the changes, and so will the builder. Should you decide not to commence work, you may … 7am to 7pm in accordance with a roster. 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. 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. 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. 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. Monday to Sunday between the hours of Insert range of hours e.g. The complex system of managing the relationship between employers and employees is underpinned by multiple laws across New Zealand. Employers must use a fair and clear process to place employees in jobs in the new structure. fringe benefits or perks. 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… 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. Expand all. 0800 15 8000. Changes to your contract of employment can occur due either to a change in the law or by agreement between your employer and yourself. This clause in an employment agreement sets out that agreed changes can be made to the terms and conditions of this agreement. Includes checking procedures and various types of template contracts... Download a copy now! Hot tip Icon. When a business is insolvent, there is often uncertainty as to what happens next for the employer and their employees. Join us. If the employees are under collective employment, then a negotiation with the union is … KiwiSaver Act 2006 and Taxation (KiwiSaver) Amendment Act 2007 - Key application and administration issues. Some changes will be able to be made without changing the actual employment agreement. view full product detail and buy online. In very serious cases, you may be able to suspend someone while you investigate the misconduct, e.g. Modifying or terminating employee agreements during COVID-19 — Employment NZ. In contracts, it is understood that some kind of exchange is being made. * An employee who does not protest at an employer's unilateral changes will be deemed to have accepted them. Amongst the changes were new rules about hours of work, and availability provisions. 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. Normally, an agreement may contain a clause like this: This agreement may be varied by agreement in writing … No. From time to time, the terms under which you have employed a team member originally may change. It replaces all previous written or oral agreements or understandings. They can be written or verbal or a combination of both. To make changes to the contract, put a line through what you want to delete and write in the changes. Employment contracts come in various forms. It introduced a suite of changes to employment law including some which mean existing employment agreements will need updating. Provided that an offer of employment has been made, and accepted, you are "a person intending to work" whether or not they have signed an employment agreement. Read about Hours of work (external link) on the Employment New Zealand website. 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. 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. to protect your accounts from possible interference after an alleged theft, or to protect the victim in the case of an alleged sexual assault. Employment agreements | Employment New Zealand . 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. This section provides help in some key areas. 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. Talking to your employer. 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. Also if you do not have a written agreement and your agreement is verbal then you have still have rights. entitlement to sick leave. Tell the employee when you hope to introduce the new arrangement, provided they agree to it. Employers who follow a careful change process will reduce their chances to claims of: breaches of the duty of good faith For existing employees (i.e. changing your hours of work. This tool guides you through the steps to create an agreement for a new employee. Call us to get Qualified advice or browse our online store and buy contracts and employment software! Changes to consumer credit law 2020. Changes to employment law mean employers can no longer offer zero-hours contracts. Every job must have a written employment agreement that includes information such as the position description, pay rate and hours. You must get an employee’s agreement if you want to make changes to their contract. Changes your employer might make. * Even unwilling acceptance of changes will vary a contract… This follows our 2018 review of the consumer credit law. Can my employer change the terms of my employment agreement? This could result in costly damages and unfair constructive dismissal claims. When does an employment contract become binding? Steps to follow when making a change in the workplace. Please note that this content will change over time and may be out of date. Changes to the Roster after publication will be discussed with you as necessary. If in doubt, get in touch with our office and we can help you make those changes or update them in the payroll system. 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. Steps to follow when making a change in the workplace. VIEW CART (0 Items) > TOOLBOX LOGIN > HOME; ABOUT US; EMPLOYMENT LAW; OUR SERVICES; OUR PRODUCTS; NEWS; CONTACT US; Taking care of business . 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. Talk to your boss first. It is vital that the business … Home > Employer Products. Employees must also act in good faith. Employers who want to make a change in their workplace need to follow specific steps. If you're unsure, speak to a lawyer. 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