Review of continuity of employment provisions

Employment provisions under Part 6A of the Employment Relations Act are to be reviewed, Minister of Labour Kate Wilkinson announced today.


Part 6A was passed by Parliament in 2004 and subsequently amended in 2006, with a provision requiring that the Department of Labour review the law after three years.


It affects industries such as cleaning, food and laundry services, where work is often contracted and the change of a contract can create a restructuring or redundancy situation.


"This review offers a chance for both employers and employees in these affected industries to offer feedback on Part 6A and whether it is working," Ms Wilkinson says.


"If there is a need for improvement then I will be happy to look at suitable amendments."


The review will consider whether Part 6A has achieved its policy objectives and whether the special protections provided for some workers are relevant within the current business and policy environment, or if there are other ways of achieving the objectives.


The review will also look at employee protection provisions that are required to be added to an employment contract when a business is restructuring.


A discussion document for the review is currently being prepared and is expected to be available in early February, with submissions closing at the end of March.


More information on the review, including its terms of reference, will be available on the Department of Labour's website www.dol.govt.nz.