Workplace reform – Minister’s announcement of priorities

The Minister for Workplace Relations and Safety, ACT’s Brooke van Velden , delivered a speech to the Auckland Business Chamber yesterday on her priorities for health and safety and employment relations reform. We have already seen the end of Fair Pay Agreements and the expansion of the availability of 90-day trial periods as part of the Government’s 100 day plan.

Holidays Act

Finalising the necessary changes to the current Holidays Act to make it workable was highlighted as a top priority, along with a suggestion that the previous Government’s proposal to fix the problems was itself too complex.

The Minister signaled a focus on simplifying the rules, particularly for employees that do not work a standard five-day, 40-hour week. ?While her intention is to move swiftly, she also indicated there is likely to be further consultation.

Health and Safety

Another high priority reform was the Health and Safety framework. Again, the main aim is to simplify the framework, and also to reduce perceived high compliance costs which do not result in better safety.

The intended new framework will involve a narrower focus on fatalities and serious injury risks. This is also an area where the Minister indicates there will be further consultation.?

Employment law

The Minister suggested the Employment Relations Act 2000 needs to strike a better balance between employee protection, regulatory flexibility and certainty of obligations and outcomes - in order to promote productivity and growth.

In this context she promises the following changes:

• Legislative change to ensure certainty of contracting with independent contractors, so that individuals do not argue they are employees in the face of their agreement otherwise. ?She is seeking official advice on the policy options in this respect; ?
• A salary cap on personal grievances which prevents employees earning over a certain income threshold from accessing the personal grievance regime;
• Removing remedies for employees that had contributed to their own personal grievance; and
• Simplifying the personal grievance process for both employers and employees.

Improving frontline services

Performance targets will be implemented for the Employment Relations Authority, the Labour Inspectorate, WorkSafe and other agencies involved in upholding employment and safety standards

Outlook

The Minister’s agenda is confirmed to be the points identified in the Government coalition agreements. ?Other than indicating the Holiday Act reform will proceed, it appears there is little appetite for reform in other areas.? There is unlikely to be action on modern slavery or pay transparency legislation, or otherwise anything which might introduce further obligations on businesses.? ?

For further information on employment related matters, please visit our Global Employment hub, where you can find updates from many jurisdictions, including New Zealand, or reach out to one of our partners – Charlotte Parkhill , Greg Cain or James Warren .