Update: Workplace Law Changes Ahead Under New Coalition Government
General, Agreements, Government, Employment Law / 30 November 2023
The recently formed coalition government, led by National and New Zealand First along with the ACT party, will implement pivotal change to workplace laws, summarised below.
Repeal the Fair Pay Agreement Act 2022 by Christmas 2023
We expect the Fair Pay Agreement regime to be repealed by Christmas, halting negotiations for the six fair pay agreements already underway in six industries.
Changes to the 90-day trial period
The new government has promised to extend the 90-day trial period to encompass all businesses, and National has indicated this will happen within its first 100 days in government. Presently, this trial period is applicable only to employers with 19 or fewer employees.
Read more about trial periods here
Moderate Increases to Minimum Wage
National and New Zealand First Parties commit to “moderate” increases to the minimum wage every year.
Changes to Personal Grievance Regime
The new Coalition Agreement proposes simplification of personal grievances, including:
- Removal of eligibility for remedies if the employee is at fault; and
- Setting an income threshold above which a personal grievance could not be pursued.
Message for Employers
If you would like advice or more information regarding the above, please contact our team.
Disclaimer: We remind you that while this article provides commentary on employment law, health and safety and immigration topics, it should not be used as a substitute for legal or professional advice for specific situations. Please seek legal advice from your lawyer for any questions specific to your workplace.