With a Labour led government there will be changes on the employment law landscape. Labour’s pre-election manifesto makes for some very concerning reading if you are an employer. I can only hope Winston Peters right leaning tendencies will serve as a bit of a handbrake on some of the more extreme policies.

Some of the major changes Labour have set out for their first 100 days are:

·         Increase minimum wage. Announced on Tuesday to increase the minimum wage to $16.50 on 1 April 2018, (it is currently $15.75 per hour), and a further  commitment to increase it to $20 per hour by 2021.

·         Change the 90 day trial period.

·         Paid Parental Leave to extend to 26 weeks (currently 18 weeks).

·         Reinstatement to be the primary remedy for unjustifiable dismissals.

·         Reform collective bargaining to increase the power of unions.

·         All employees in core public sector services to be paid the living wage.

In the first 12 months in power Labour propose to:

·         Consult on providing minimum redundancy protections. This is also in the Green’s manifesto.

·         Give ‘dependant contractors’ statutory minimum rights. The Greens also want to provide them for ‘independent contractors’.

·         Increase resourcing and the number of Labour Inspectors.

·         Introduce ‘Fair Pay Agreements’ which set minimum standards across industries.

·         Consider measures to improve job security for casuals, seasonal, contracted, and sub-contracted workers. Both the Greens and NZ First have similar policies in this respect.

Additionally the Greens want to investigate the economic and social effects of a 35 hour working week, and increase entitlements to paid sick and bereavement leave, and having a separate domestic leave entitlement.

NZ First also want to ensure employing New Zealanders is a priority, and true to his voting base, Winston Peters wants to ensure enough workers are being trained in the area of aged care.

All employers need to be ready for a significant period of change and new challenges on the employment landscape. Things are likely to move quickly. We will keep you up to date as changes are proposed and made.