Employment Law

National has a Small Business Policy and JobStart scheme aim to get rid of No Win No Fee Employment Law in addition to National's other proposed changes. We present our view on this.

The New Zealand employment law scene still suffers with its unlicenced employment investigators. Many untrained workplace investigators who front themselves primarily as Human Resources consultants are holding themselves out as being investigator to the employer in employment investigations where they receive valuable consideration for doing so. A recent Private Security Personnel Licensing Authority (PSPLA) decision has confirmed the restriction on this practice where the investigator does not hold a licence.

No win no fee can improve access to justice when used properly. The answer to risks in fee agreements is clear wording, informed consent, and existing consequences for misconduct, not new advocate regulation.

Todd Dormer claimed Rhino-Rack owed him commission because his employment agreement said only "10% paid quarterly". He argued that meant 10 percent of sales or gross margin. Rhino-Rack said the company-wide Sales Commission Scheme applied. The ERA found the wording was badly drafted and Rhino-Rack had unjustifiably disadvantaged Mr Dormer by failing to give him clear written details of the scheme, but rejected the claim that he was entitled to 10 percent of gross margin. Rhino-Rack was ordered to pay $14,000 compensation, with costs reserved.

Auto John Huntley-Byrne was dismissed from his café job at Hind Quarters after close-up tasks were left incomplete. The ERA found Dallison 2021 Limited had some basis to be concerned, but it dismissed him by text message without a proper disciplinary meeting, without a real opportunity to respond, and without the procedural protections required by the employment agreement and handbook. Dallison was ordered to pay $7,469.28 gross lost wages and $13,500 compensation after a 10 percent contribution reduction, plus a $500 penalty to the Crown for incomplete wage and time records.

Cameron Keen worked for Prestige Paving NZ Limited as a labourer. After a Christmas closedown, the employer failed to provide work, failed to pay him, placed him on leave without pay without his request, and then stopped communicating. The ERA found Mr Keen was unjustifiably disadvantaged and unjustifiably dismissed. Prestige was ordered to pay $12,000 compensation, $19,460.82 unpaid and lost wages, $1,556.86 holiday pay, and $3,000 costs...

Stephen Nunn was dismissed without notice by Port Nicholson Fisheries LP after two employment investigations in quick succession about seafood compliance, documentation, and handling of live crayfish. The ERA found the dismissal unjustified because PNF failed to genuinely consider his explanations, failed to give him key information including CCTV footage, relied on a flawed final written warning, and failed to consider alternatives to dismissal. PNF was ordered to pay $20,000 compensation, three months lost wages, four weeks notice, and public holiday arrears...

Fiona Scott was employed by Ritchies Transport Holdings Limited on a casual agreement, but the ERA found the real nature of the relationship had evolved into permanent employment. After a route deviation for a toilet break, two scheduled shifts were removed and no further shifts were offered. The ERA found this amounted to unjustified dismissal and ordered $10,000 compensation and $12,870 gross lost wages...