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#yourquestionsanswered Constructive dismissal is something we get asked about frequently. so lets break it down. What is constructive dismissal In simple terms, constructive dismissal occurs when an employer's actions or behavior towards an employee are so bad that the employee feels they have no other choice but to quit. Basically, it could be anything unreasonable that causes the situation to become untenable for them. What does this look like? This can happen when the employer breaks the rules of the employment contract, behaves in a really bad way, or makes the workplace unbearable for the employee. Some examples of behavior that could lead to constructive dismissal are not paying employees their wages, asking them to work in dangerous conditions, or harassing or discriminating against them. Or, failing to act reasonably when they raise a concern, for instance, if they say that they are being bullied by another co-worker. But I didn't tell them to quit! If an employee can show that their employer's behavior was a major factor in their decision to quit, and that quitting was the only option they had, then they may be able to make a case. What if I didn't know? In general, the onus is on the employee to raise their concerns where possible before resigning, but if they don't do this is won't necessarily prevent them from successfully claiming that they have been constructively dismissed. So what should I do to prevent this? If an employee tells you that the situation is becoming untenable or indicates that it will be untenable if you don't address their concerns, we'd recommend looking into this to see if you can rescue the employment relationship. Sometimes this may not be possible of course, but ignoring their issues will not make things go away and risks making some grievances worse.

#employerguide What does it mean if you receive a personal grievance and what should you do? What does it mean when a grievance is raised? When an employee raises a personal grievance, it means there's an issue related to the employment. This could be because of unjustified dismissal, discrimination, harassment, or failure to follow proper employment procedures. As an employer, it's important to resolve the issue in a fair and timely manner so that it doesn't escalate. What should an employer do if they receive one? Firstly, take a deep breath before you do anything. The prospect of dealing with a grievance can be stressful and sometimes feel personal but responding in the heat of the moment is unlikely to help the situation. Then take investigate the issue (if applicable) and take advice. Do you have to respond? It's a good idea to do so to have the best chance of resolving the issue in the most cost- and time-efficient way.. Taking advice might help you decide how or if to respond and whether you want to seek a resolution. What if you can't resolve it between you? You or the employee may choose to file for mediation. Mediation is a free and voluntary process where an impartial mediator will attempt to help you come to an agreement. Mediation is confidential and 'off the record', so nothing discussed in it can be brought up again. What if mediation doesn't work? If mediation doesn't work or the parties don't attend voluntarily, the dispute may proceed to the Employment Relations Authority (ERA). At the ERA the Member, an independent third party, will make a decision on the matter. Most employers want to avoid this outcome if possible however, as it can be costly, time-consuming and is no longer confidential. To resolve a personal grievance, it's crucial for employers to follow fair and reasonable procedures and act in good faith. If they don't, it could lead to further legal action and harm their reputation. That's why it's recommended for employers to seek legal advice and support throughout the process. Want to know why grievances might be raised? Check out part 2 here.

#employerhowto The minimum wage is currently $21.20 but will increase by CPI of 7.2% at the end of the financial year. Make sure your business is prepared! What will the adult minimum wage be? The minimum wage will rise by $1.50 per hour to $22.70. Other types of minimum wages These are paid at 80% of the adult minimum wage but have requirements. The starting out minimum wage. This can be used for those 16-19 years old the first six months of their employment only. After six months or if they are training or supervising others, they must be paid the adult minimum wage. The training minimum wage. This can be used for those 20 and over who are doing at least 60 credits of external training in their field per year. This does not apply if they are being trained at work rather than in an approved training programme or if they are no longer completing 60 credits. When does this increase happen? The minimum wage goes up at the start of the new financial year on April 1st 2023. What must employers do? Before the new financial year, work out how many, if any, of your employees are being paid under $22.70 per hour. They will all need to increase to at least the new minimum wage on April 1st. Good record keeping is important, and we recommend a variation to their employment agreement to reflect this. What if you don't pay minimum wage? This would be a breach of employment law and could result in backpay, compensation and penalties which could amount to tens of thousands in the worst case scenario. That's a big risk for for a $1.50 per hour! What about other employees? In addition, we recommend reviewing all your employees' pay rates to check that you are accurately reflecting their current role and duties paying in line with others in the industry rewarding those who are contributing the most to your business Why is this important? While its not a legal requirement, it is important for morale, low attrition rates and a culture of motivated and engaged employees. Remember, any changes don't just have to be monetary. Bonuses and work perks can be just as well received as a higher pay rate if they are meaningful to your employees.

#mythbusting Some employers think that casual employment is an easy way to have flexible staff and avoid paying out sick leave and other entitlements. Unfortunately, it's not that simple! What is genuine casual employment? Genuine casual employees do not have a pattern of work or an ongoing expectation of work. Each time they accept work, whether that is for a shift or a week of shifts, it is considered a new engagement. Employers don't have to offer any work, and employees don't have to accept it if they do. What entitlements do they get? Always: Minimum wage 8% annual leave paid as they go Kiwisaver Time and a half for public holidays (and a day in lieu for public holidays if it's an otherwise working day) If they have worked for the you for six months for an average of 10 hours per week, and at least one hour in every week or 40 hours in every month: Sick pay Bereavement leave Domestic violence leave When is it not genuine casual employment? If an employee has a pattern of work, ie, works every Friday or 5-10 hours every week, they may not be genuine casuals. What happens if you get it wrong? If an employee isn't a genuine casual, they may be able to raise a grievance and you may need to repay them an entitlements that you have not given them. This can include paying their annual leave in a lump sum, even if you paid 8% as they go. This is even the case if they have a casual contract. If you stop giving them work or dismiss them without following a good process and they were not genuinely casual, then they may be able to seek compensation or reinstatement. In a nutshell... Its better to err on the side of caution and keep an eye on the work patterns of any casual employees as you go. If in doubt, seek advice.

#5ways Empowering employees is a crucial aspect of building a successful and productive workforce! When employees feel empowered, they are more engaged, motivated, and committed to their work. This, in turn, leads to increased productivity, better customer service, and improved overall performance! 1. Autonomy No one likes being micromanaged, and no employer has time to watch over every step of every process. One of the key ways to empower employees is to give them autonomy and trust. This means allowing them to make decisions and take ownership of their work and in return, you'll probably find that they feel empowered to go above and beyond. 2. Give them the tools they need Another important aspect of empowering employees is providing them with the necessary resources, training, and support to do their job effectively. It can be hard to feel empowered if you don't have what you need to do your best. This includes access to the relevant technology, ongoing professional development, but most importantly the time and staffing levels that allow them to achieve. 3. Communicate with them Communication is also a key element in empowering employees. Regular, open, and honest communication helps to build trust and create a positive work environment that empowers your team. Knowing what your business goals are and how they can contribute can make for an engaged and motivated workforce. 4. Listen to their initiatives They're on the ground day to day, so they know your business in a way that you might not. Employees that know that they will be listened to are more likely to think creatively, come up with new ideas, and take initiative which might mean a better way of doing things, new products or even just less time giving direction. 5. Recognise and reward them Finally, recognizing and rewarding employees for their contributions is an important way to empower them. Acknowledging their hard work, celebrating their achievements, and providing opportunities for growth are all key to an empowered, focused team. Even something as simple as a quick, sincere congratulations could make all the difference

The Great Resignation or The Big Quit is a growing phenomenon which is affecting businesses in USA, Europe and even China. A recent AUT study found that about half as many people are committed to sticking with their job this year compared with 2020 which means that this trend is likely to happen right here in NZ. How can you navigate the great resignation as an employer? 1. Understanding the Cause To solve a problem, first you need to understand it. According to a Harvard Business study, resignation rates are the highest among so called mid-level employees, typically those aged between 30-45. Previously the most common age group was 20-25 year olds. The study states three possible reasons: Mid-career (30-45 year olds) employees are in more demand as companies with remote work policies may not be keen to take on inexperienced new employees without supervision, thus giving them greater leverage in securing new positions They might have resigned earlier but felt things were too uncertain, so the boost we’ve seen over the last several months could be the result of more than a year’s worth of pent-up resignations Many of these workers may have simply reached a breaking point after months and months of high workloads, hiring freezes, and other pressures, causing them to rethink their work and life goals Let's look at some ways to counteract these forces so that you can navigate this complex time... 2. Improve the Remuneration Package While the amount of pay your employee earns is not always the only factor in whether they will continue working for you, it does play a huge role. For instance, if they are not making ends meet because of rising interest rates, cost of living and general inflation, they may start to look elsewhere. Because of the labour shortage we are experiencing in NZ currently, there may be plenty of roles advertised that offer more pay. Solution: Aside from the obvious pay rise, there may be other options which can help your employee to feel valued and able to make ends meet. For instance: If they are trying to get into the housing market, you could discuss making higher contributions to their kiwi-saver so that they could afford a deposit sooner. Another idea is reducing their costs of coming to work. Are they able to permanently do their job remotely only requiring them to come into the office when needed? The cost of public transport or parking in cities can be upward of $200 a month - making this adjustment doesn't cost your business a cent and some studies have shown that employees work more efficiently from home. Top tip: To check if you are competitive with what you are paying your employees - check out https://www.glassdoor.co.nz/Salaries or advertised roles on Seek.co.nz and Trademe. 3. Increase Flexibility Having flexibility in your work is extremely valuable to employee. So while other advertised jobs may pay more than you do, having the flexibility to pick up kids from school, or work from home from time to time to be there when the kids get sick or to do other things, can be huge incentives to remaining with your business. Top tip: if your employee has been under a lot of stress, could you as a gesture of good will give them a paid week off? It may sound crazy, but helping to prevent your staff from burning out may be worth far more than a weeks wages in the long run. 4. Improve Your Environment Obviously if a workplace environment is toxic, an employee will be looking to move on ASAP. They might even take a pay cut to get out of it. Especially if they have been working from, or just staying home over lockdowns, they may notice how much a toxic work environment was impacting them and may want to remove it from their lives. Solution: It's never too late to start improving your work environment. See this article on how to increase team morale. Reasonable employees will see that you are putting in effort to improve things. Better still, if you enlist their help, they will feel part of something greater than themselves and this sense of purpose may motivate them to stay with the team to gain the satisfaction of seeing the results. 5. Build Relationships While the employer-employee relationship can seem one-dimensional, getting to know your employees as real people and fostering healthy working relationships can be invaluable in building loyalty and unity - two powerful traits that will help them to feel an attachment to you and your business. Checking in regularly with your employees to see how they are coping with these changing times, keeping the lines of communication open and commending and expressing your appreciation for them will help your employees to feel valued. In conclusion... There is no silver bullet when it comes to solving this issue. After trying all of these steps, an employee may have simply decided it is time for a change and may still leave. But creating a positive working environment, building relationships with your staff, creating flexibility and offering competitive remuneration packages will all help to make your business a place where people want to be. And don't forget, if people are looking to change jobs, they may be looking at your business as viable option, so having these things in place will increase your chances of attracting new talented people to your team.

You have an opening in your company. How can you find the right person for your team? What is the best way to approach this challenge? Let's find out... Your Ideal Candidate Before you start thinking about HOW you are going to recruit or advertise for this position, first you need to think about WHO you are looking for. Who is your ideal candidate? Will they need to have specific skills and qualifications or are their personality and life experience more important? A person who is looking to learn and further their career may be great for a diverse role, but they may quickly become bored of a repetitive role. Knowing who your ideal candidate is will help to guide every step you take from the channel you advertise through, to the wording of the advertisement, the remuneration package and the questions you will ask in the interview. It will also help you to streamline the process of narrowing down candidates. Top tip: Make a list of all of the attributes your ideal candidate would have, for instance the following: The stage they are at in their career and their career goals Their outlook on life, personal values and qualities Skillset, experience and proven past results Anything else you can think of that would contribute to their ability to do the job and fit into your team Organise these attributes into minimum requirements v nice to haves. We call this your ideal candidate sheet. During the applications phase you will refer back to this sheet. Approach Now that you have identified who your ideal candidate would be, you have to use an approach where you are likely to attract that candidate. If it is a senior or highly specialised and skilled role, a recruitment agency that specialises in that field may provide a competitive advantage. After all, recruitment is a multi-million dollar industry in New Zealand. If the role is an entry-level to mid-level role using websites like Seek.co.nz or TradeMe.co.nz may be more cost effective and still help you find that perfect candidate. Advertisement. If you are choosing to write the ad yourself here are a few tips to keep in mind: Outline the key aspects of the role and the key skills required to fulfil it Clearly state what the hours of work would be for this role Outline the qualifications and experience required for applicants Be careful not to disqualify good candidates by communicating 'nice-to-haves' as necessities. Stating your company name and the remuneration package increases the likelihood of skilled candidates applying by over 40% according to one study. Use language that will attract your ideal candidate - if you want an enthusiastic lateral thinker, use words that carry excitement and emotion. If you want a structured professional use words that carry function and logic. In conclusion It can be difficult to find the right candidate, but it can be done. Take your time, be thorough with your processes, put yourself in your ideal candidates shoes and you just might find that your next team member is out there looking for you! Click below to download "The Great Employer Checklist" for free We help New Zealand businesses by providing Employment Law & Hr Advice and support.

"The most common thing that will get a business into trouble is the lack of clear policies" Having clear policies in place is the foundation of a healthy and structured workplace. They protect your business against misconduct and help employees to know what is expected of them. What are the differences between policies and procedures? What policies should you have in place? What should be included in a policy? Policies vs procedures The terms 'policy' and 'procedure' are usually used interchangeably. However, they are t wo entirely different things. A policy clearly states what you expect from your employees, while a procedure is a detailed description of how the instructions in your policy should be carried out. So, while your policy states what should be done, the procedure describes how it should be done. What policies should you have in place? Ironically, there is no government policy on exactly what policies you must have in place. There are recommendations, but no hard and fast rules. If a situation arises where you didn't have an adequate policy in place however, you can easily find yourself in hot water. Here are some of the policies we recommend that you should have in place: Code of conduct Disciplinary Health & Safety Holidays & Leave Internet, Email & Social Media use Conflict Resolution Training and Development Vehicle Use There are many more policies that may be needed, depending on your individual business requirements. What should be included A policy should include the following things: Rules Regulations Guidelines Clear instructions of what to do in a given situation Clear lines of responsibility & accountability A policy should NOT include: Unlawful behaviour (E.g: Ignoring NZ law to adhere to company policy) Confidential information (E.g: Health issues of a staff member) Unsafe behaviour (E.g: long shifts, unsafe working environments) Policy Audit Getting an expert to audit your policies to find out if there are any areas of concern is a great way to ensure that you policies are watertight. Employer Direct has policies that have been designed to prevent issues from arising in the first place that offer protection to your business if they ever do. In conclusion Making sure that your workplace policies are up-to-date, fit-for-purpose and practicable are key ways that you can make sure that your business runs smoothly and is protected.

Note: This is the third part of our Covid 19 Employer Support series about recruitment. For part 1 click here. In part 2, we looked at how to narrow down your candidates to a shortlist. Now that you have a shortlist of applicants that you want to interview, what next? What kind of questions will you include in the interview? What kind of answers are you looking for? And how can you make sure you are choosing the best candidate? Interview preparation Before arranging times to interview your candidates, there are a couple of things that will really help you during the interview process. Of course, preparing the questions you will ask is an obvious one but there are a few other things to think about... Are you sure these are the best candidates? There may be quite some time between the first and last applications being received. Was someone put through to the interview process because they were a top candidate at the time? Now that your pool of applications has grown, are they still one of the best? Do they still measure up? Why not re-examine any possible candidates from the may-not-qualify pile upwards? You might find a few hidden gems that almost slipped through the cracks. What is the best time to set the interviews? Setting interviews at times when you will be stressed, rushed or exhausted is not conducive to objectively finding the best candidate. Select a time where you will be able to feel relatively relaxed and engaged. What questions will you ask? Now that you have selected the best candidates and have found a time that will work well for you, it's time to work out what questions you will want to ask. There are a multitude of lists of questions available on the internet, but beware - there are questions that you legally cannot ask. (For help with this we have an interview guide available) What answers are you looking for? It's great to have a number of questions that you will ask each candidate, but we often forget to note down the actual answers we are looking for. How would your ideal employee answer each question? If a candidate answers your questions in the same manner your ideal employee would, maybe you're on to a winner. You could even test out your questions with existing staff members to see what good responses would look like. COVID considerations. Even under COVID restrictions you can still do interviews using the telephone or preferentially using video conference tools such as zoom. Zoom is free to use for one-on-one video calls and you can set your own meeting times, create breakout rooms for other applicants and even share your screen. Most importantly, you can see the persons facial expressions and body language during the interview. The Interview Now it's the big day. You have your applicants booked in and are well prepared. What can you do during the interview to get the best results? Here are a few suggestions... Try to create a relaxed atmosphere. This will allow you to gauge what the person is really like. Perhaps disarm them by asking if they would like some water or other beverage. Ask them if they had difficulty finding your location (or logging on if you're interviewing over video conference). The goal here is to get them to relax - if they are too conscious or formal, it will be difficult to get a read on their personality and how they see the world. Pay attention to details. A big part of the interview is you asking questions and the candidate answering them, but there is a lot to learn from what is not said. For instance, were they on time? Are they well presented? What does their tone of voice and body language reveal about them? How they answer your questions. The way a candidate answers your questions can say a lot more than the actual words they use. For example - Do they talk all around the subject without giving you a distinct answer? This could show that they love talking with people but may have a lack of focus. Do they give one word answers? They could be really focussed but not so good at conversations. Either of these scenarios could show a strength or weakness depending on the role that they are applying for. Don't be too harsh. Everything needs to viewed in context. This is a job interview. It is an awkward and pressure filled situation. The candidate may feel very nervous because they really want this job or they may come across as really confident because they actually don't care if they get it or not. Try to get a sense of what the person is really like and that will help you to decide if they are the right fit for your team. Post Interview. While you should have been taking notes during the interview, it's very helpful to take a couple of minutes after the interview to note down any further information that will be helpful in making a hiring decision. The Selection Process Now that you have interviewed your candidates, hopefully one or more of them stood out to you. If it was just one, the choice may be obvious, but what if there are more than one ideal candidate? First of, this is a great problem to have. Here are some ways to narrow it down to just one: Reference Checks. Most organisations have strict rules about what they will say in references, but by asking the right questions, you can often read between the lines. Ask performance based questions, team based questions and a great one is: "How would you describe their personality?" Conduct secondary interviews. There's no law against having another interview with a candidate. Just make sure there is actually something you can gain from it. Perhaps you have a relevant skill based test you will ask them to complete. Perhaps you want to clarify some details from one of their referees. You can easily arrange this to be done just over the phone or by video call. Diversity. I know that this word has been politicised, but diversity simply means having a variety of people in your team. If you are trying to decide between two candidates, who is more different from the people who already have in your team? Not just in terms of gender, race or background, but in terms of the way they view the world and their outlook on life. The more diversity in your team, the better chances of it being more balanced. In conclusion Getting the interview process right is the key to finding the ideal person to join your team. Take your time. Be thorough. And be fair. And in the end you might just find that special someone to help take your team to the next level! Click below to download "The Great Employer Checklist" for free We help New Zealand businesses by providing Employment Law & Hr Advice and support

Note: This is the second part of our Covid 19 Employer Support series about recruitment. For part 1 click here. In our last blog , we covered some strategy around recruitment and how to advertise for your ideal candidate. By now you should be getting a raft of applications through. If not - it might be best to revisit your strategy rather than continuing the process with only a few candidates. Assuming you have had a lot of interest and applications, what now? How do you organise the applications? How do you create a shortlist of applicants? Let's explore... Organising Applicants If you have a lot of applicants it can seem overwhelming to try to narrow down a list of people you want to progress through to the interview phase. This is where your ideal candidate sheet will help you. Next, read through the CVs and sort into the following piles: Definitely do not qualify - They do not meet many or any of the minimum requirements. Sometimes people will apply for roles without reading the ad thoroughly or they may simply apply for any and all roles. If they really don't qualify, don't waste any more time on them. May not qualify - If they meet most of the minimum requirements of the role but are lacking in just one or two areas, it may be worth giving them a second look. If they are a fast learner they may be able to upskill in the areas they are lacking and be able to add something else of even more value to your team. May qualify - If they meet all of the minimum requirements of the role but don't necessarily meet all of the nice-to-have's. A lot of your applicants may fall into this category. It may simply be that they do have some desirable traits you are after but haven't communicated these in their application. The shortlist and interview process will allow you to uncover this. Definitely qualify - They meet all of the minimum requirements of the role and seem to posses many if not all of the desirable traits you are looking for in an ideal candidate. Only a few of your applicants will likely fall into this category. Creating a Shortlist A shortlist is a list of the applicants who will be going through to the interview stage. Instead of predetermining how many candidates you want on your shortlist, the goal should be to interview ALL of the candidates who qualify. Depending on the piles you have created your approach may look like this: May not qualify - A phone interview to see if they will be able to quickly meet the minimum requirements for the role and whether they add value in other ways (see your nice-to-have's list) that will enrich your team. If so you can add them to your shortlist. May qualify - A phone interview to confirm that they meet the minimum requirements and whether there are some traits that they have which are on your nice-to-have's list. If so you can add them to your shortlist. Definitely qualify - These candidates can put be put straight on to your shortlist to be put through to the interview stage The Interview Stage What questions should I ask in an interview? How can I conduct interviews under Covid 19 restrictions? These and other questions will be answered in our next instalment in our Covid 19 Employer Support Series. In conclusion... It can be time consuming to sift through piles of applicants but it is worth the time and effort as it is vital to get this part of the process right. Your perfect candidate could be right under your nose! Click below to download "The Great Employer Checklist" for free We help New Zealand businesses by providing Employment Law & Hr Advice and support