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Changes which will affect your Employment Agreements

March 16, 2017

New employment legislation came into effect on 1 April 2016 which specifically affect hours of work, restrictions on secondary employment and deductions from wages. Employers have until 1 April 2017 to ensure they are compliant.

Summary of the key impacts & what you need to consider: - 

Hours of work – hours of work must be stated in Employment agreements including the number of hours worked, the start and finish times or the days of the week hours will be worked.   Employers can no longer be vague around hours of work

Availability to work (relevant for on-call workers) – should be a genuine reason for employees being available, not a blanket clause

Shift cancellations – must provide notice to cancel a shift or reasonable compensation – both must be stipulated in the Employment Agreement

Restrictions on secondary employment – is no longer fair or reasonable to include a broad clause in employment agreements restricting secondary employment

Deductions from wages – employees must consent to deductions from wages and these must be reasonable (best practice to specify what deductions are made)

In addition, you are reminded to ensure you have robust record-keeping for your employees’ wages, holidays & leave.

Employers should review all current and new Employment Agreements to ensure compliance as the penalties for non-compliance are tough!    If you have any questions at all, please contact Kearin Pollard or Mel Whiting at Staples Rodway HR to discuss further.  

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