Engagement of employment
The information given is not intended to be conclusive but is supplied as overview only. It is basic information and we advise that while this may suffice in most cases by organisations where the nature of the relationship between employer and employee, the work undertaken and the commercial environment is reasonably straightforward and free from complexity, it is not intended to replace any assistance or advice from professionals.
Overview - Letter of Employment - Employment Contracts - Probation/Trial Periods
Given that you have gone through the interview process and are now ready to offer employment, the following documents are designed to help to complete the engagement.
Letter of Employment.
(offer and acceptance)
There must be an offer of employment whereby the employer offers a position with laid out terms and conditions and the prospective employee accepts the position on those terms and conditions. Contained in the offer are the notions that this is made in good faith with negotiation and agreement. The offer does not have to be in writing but it is strongly suggested that this step should be taken to help clarify any possible complications.
Sample Here
Employment Contracts
Every employee employed after 2nd of October 2000 has to have a written employment contract.
Failure by the employer to have an agreed Employment contract in place can fetch fines up to $5,000.
There are fundamentally two types of employment agreement:
.
Individual Employment Agreement
This is an agreement entered into between on Employer and one Employee. Section 65 of the Employment Relations Act 2000 states that it must contain, at a minimum, provisions recording the following;
1. Names of the Parties; and
2. A description of the work to be performed; and
3. The location of the workplace; and
4. An indication of the days and times of work; and
5. Remuneration details; and
6. A plain language explanation of the Services Available for the Resolution of Employment Relationship Problems.
The Employment Relations Act does not require an individual employment agreement to specify an expiry date, it would be normal not to unless there is ‘just cause’. If you enter one this then becomes a ‘Fixed term contract’ and is subject to different rules. An employer may not employ someone on a fixed-term agreement where the job is really a permanent one and the employer really wants to avoid having to go through a fair disciplinary or dismissal procedure if there are problems. There must be a genuine reason for doing so (such as seasonal work, project work, temping work, or where the fixed-term employee is filling in for a permanent employee on leave). Failure to record the fixed term arrangement in writing means that the employer will be unable to enforce the fixed term if the employee chooses to contest it.
Individual Employment Contract : Sample here
Fixed Term Contract: Sample here
Collective Employment Agreement:
This is an agreement entered into between one or more Employers and one or more Unions. It must be in writing and signed by each party. Section 54 of the Employment Relations Act states that a Collective Agreement must contain, at a minimum, provisions for the following:
1. A coverage clause; and
2. A clause specifying the rights of employees if the work of the employees were to be contracted out or the business transferred or sold; and
3. A clause providing for how a variation may occur; and
4. A plain language explanation of the Services Available for the Resolution of Employment Relations Problems; and
5. An expiry date or reference to an event upon which the agreement shall expire.
Probation or Trial Periods
The Act permits an employer and an employee to agree to have a 'probation or trial period' written into the employment contract, but there are some rules and 'fish hooks' for the employer, most employers misunderstand their rights and obligations, - all is not what it seems and many employers have and are going through claims for unjustifiable dismissal.
What you can or can not do here....
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