With a change of government, employment law is in for a shake-up. Here are some of the big changes you need to be familiar with.

Happy 2024. I trust you have all had a chance to rest, reflect and reset for a positive 2024.

With a change of vision and focus signalled by the new coalition government, a sense of purpose and confidence in the future is to be embraced.

Although the year ahead will undoubtedly be challenging, optimism is forecasted.

Employment law is also set to change, with this government about to rapidly change or modify those laws considered restrictive in allowing businesses to be more productive, to compete and to flourish.

The initial main changes being signalled by the government are:

Repeal the Fair Pay Agreements legislation (with effect from 20 December 2023).

This does not restrict the rights of unions representing their members to bargain with the employer for various terms and conditions of employment, which may include:

• a collective agreement being negotiated and signed off between the parties, which sets the terms and conditions for those workers covered by the collective and agreed to by the employer
• there is an obligation on both parties to negotiate in good faith.

As from 23 December 2023, all employers will be eligible to use 90-day trial periods, which will not be limited by how many employees they have.

Remember, for a 90-day trial period to be valid, it must be agreed to by the employee in writing and in good faith, and signed off in the employment agreement before the employee starts work.

A review and reform of all health and safety laws and regulations.

The government will consider simplifying personal grievances and specifically:

• removing the right to remedies if the employee is at fault, and
• setting an income threshold over which a grievance cannot be pursued.

Independent contractors who have signed a contractor agreement will not be able to challenge their employment status in the Employment Court.

The government will also look at immigration settings to improve the Accredited Employer Work Visa to focus the immigration system on attracting workers targeted to the needs of the workforce.

It also intends to ensure that the obligations on jobseekers ‘work ready’ beneficiaries are accountable and implement appropriate sectors for non-compliance.

The coalition has agreed to commit to moderate increases to the minimum wage annually.

It will look at establishing an ‘essential worker’ workforce strategy to better plan out the likely skills and labour needs in the long term.

It will also look at a system to commit accountability and enforcement of the laws relating to abuse of migrant workers and the consequences.

This should ensure a better-coordinated transition of migrant workers and the skills they bring into a positive New Zealand citizenship experience.

In conclusion, these are all positive ideas to restore New Zealand to a desired place to live and work, where people are valued and can achieve their hopes and dreams in a highly productive working environment.

The specific details of some of these reforms still need to be worked through, and policy developed to allow implementation. This will allow a better understanding of the issue and the practical steps needed to achieve viable remedies.

I will keep you updated as the information becomes available.

Remember – the focus on productivity negates complacency.

Note: This opinion piece is written as an advisory of ideas when dealing with people. It is not intended as specific advice for any circumstances. Mike can be contacted at kyne@kyne.co.nz or on (03) 365 3414.