Suspension from work in New Zealand
Being told to leave work while allegations are investigated can have an immediate effect on reputation, income, duties and workplace relationships. Suspension is not supposed to be disciplinary punishment in advance. It should be used only where there is a proper reason for removing the employee from the workplace while the underlying issue is dealt with.
When might suspension be justified?
Common examples include a genuine concern that the employee's continued presence could compromise an investigation, interfere with evidence or witnesses, create further workplace problems, or pose a material health and safety risk. The employer should consider the actual circumstances rather than treating suspension as automatic whenever a serious allegation is made.
Fair process before suspension
Ordinarily, the employer should identify the reason suspension is being considered and give the employee an opportunity to comment before deciding. There can be exceptional situations requiring immediate action, particularly where an immediate safety or evidence risk exists, but that does not turn suspension into an unrestricted management power.
- Check the employment agreement and any suspension or disciplinary policy.
- Ask what specific risk the employer says requires suspension.
- Consider whether a less restrictive option could address that risk.
- Clarify whether the suspension is on full pay and what contact restrictions apply.
- Ask how long the employer expects the investigation to take and how the suspension will be reviewed.
Should a suspended employee be paid?
Suspension should ordinarily be on full pay. An unpaid suspension requires a proper contractual basis and should be examined carefully. Even paid suspension can still be prejudicial if there was no sufficient reason, the process was unfair, the employee was effectively sidelined indefinitely, or the employer allowed the suspension to become punitive.
How long can suspension last?
There is no universal number of days. The length should relate to what genuinely needs to be investigated or what risk is being controlled. Unexplained delay, repeated extensions or leaving an employee suspended while little happens can become important when assessing whether the employer acted fairly and reasonably.
Suspension and a Personal Grievance
An unjustified suspension can amount to an unjustified disadvantage. If the suspension contributes to a later dismissal or resignation, the entire sequence may also become relevant to an unfair dismissal or constructive dismissal claim.
![Briar Leckie v Alliance Group Limited [2020] NZERA 221 - unjustified suspension and induced resignation treated as dismissal; $15,000 compensation; reimbursement reserved](/Images/site/EmploymentAdvocatesAucklandCard.jpg)