The Employment Relations Act 2000 is a key piece of legislation in New Zealand that regulates the relationship between employers and employees. It covers a wide range of issues, including minimum employment standards, collective bargaining, and dispute resolution. In this article, we’ll provide a comprehensive guide to the Employment Relations Act 2000, breaking down its key provisions and exploring how they impact both employers and employees.
Minimum Employment Standards
The first part of the Employment Relations Act 2000 deals with minimum employment standards. These are the basic legal rights that all employees are entitled to, regardless of their industry or job. Some of the key provisions include:
- Hours of Work
Employers are required to provide employees with a written employment agreement that includes their hours of work. This agreement must also specify any arrangements for working overtime or on public holidays.
- Holidays and Leave
Employees are entitled to a minimum of four weeks’ paid annual leave, as well as public holidays and bereavement leave. They may also be entitled to sick leave, depending on their length of service.
- Minimum Wage
All employees are entitled to be paid at least the minimum wage, which is currently set at $20.00 per hour. This rate is reviewed annually by the government.
Collective Bargaining
The second part of the Employment Relations Act 2000 deals with collective bargaining. This refers to the process by which employees and employers negotiate their employment conditions as a group. Some of the key provisions include:
- Good Faith Bargaining
Both employers and employees are required to engage in collective bargaining in good faith. This means they must be open and honest with each other, and genuinely try to reach an agreement.
- Bargaining Fee
Employers may charge a fee to employees who are not members of the union, but are covered by a collective agreement. This fee cannot be more than the equivalent of the union membership fee.
- Strikes and Lockouts
Employees are allowed to take strike action if they are unable to reach an agreement with their employer. Similarly, employers may lock out employees if they are unable to reach an agreement. However, these actions must be taken in accordance with the law and must not be intended to undermine the bargaining process.
Dispute Resolution
The third part of the Employment Relations Act 2000 deals with dispute resolution. This refers to the process by which conflicts between employers and employees are resolved. Some of the key provisions include:
- Mediation
If a dispute cannot be resolved through direct negotiation, either party may request mediation. This is a process where an independent third party helps the parties to reach an agreement.
- Authority Hearings
If mediation is unsuccessful, either party may apply to the Employment Relations Authority for a formal hearing. The Authority has the power to make a legally binding decision on the dispute.
- Strikes and Lockouts
As mentioned earlier, employees are allowed to take strike action if they are unable to reach an agreement with their employer. However, there are certain restrictions on this right. For example, employees cannot take strike action during the term of a collective agreement, and they must provide their employer with advance notice.
Other Provisions
The fourth part of the Employment Relations Act 2000 covers a range of other provisions. Some of the key provisions include:
- Union Access
Union officials are allowed to access the workplace for certain purposes, such as discussing union membership with employees or investigating a health and safety issue.
- Unjustified Dismissal
Employees who have been unfairly dismissed may be able to take a personal grievance claim against their employer. This is a legal process that is used to resolve employment disputes. If the Employment Relations Authority finds that the dismissal was unjustified, the employee may be awarded compensation or reinstatement.
- Confidentiality
Both employers and employees are required to maintain confidentiality regarding certain information, such as trade secrets or personal information.
- Continuity of Employment
The Act provides for the continuity of employment in certain situations, such as when a business is sold or transferred to a new owner. This means that employees are entitled to keep their jobs and their employment conditions when the business changes hands.
Conclusion
The Employment Relations Act 2000 is a comprehensive piece of legislation that covers a wide range of employment-related issues. Its provisions are designed to ensure that employees are treated fairly and that their rights are protected, while also providing employers with a framework for negotiating employment conditions and resolving disputes. As an employer or employee in New Zealand, it is important to be familiar with the key provisions of this Act and to seek legal advice if you have any questions or concerns about your rights and obligations under the law.