News Roundup

Across the ditch

With the opening of trans-Tasman travel, ‘bubble uncertainty’ still exists for many employees and employers.

Most employment lawyers agree it is reasonable for an employer to ask employees to tell them if they are travelling overseas and thus are at greater risk of catching COVID-19 due to their travel. However, this must be done reasonably and must not unreasonably intrude on their personal affairs. Any personal information collected for the purposes of COVID-19 must be kept confidential in accordance with the Privacy Act 2020.

An employer can withhold consent to an employee’s request for annual leave. However, this must not be unreasonable; as stated in the Holidays Act 2003, section 18. It is unlikely to be reasonable for an employer to decline annual leave simply because an employee wants to go overseas.

It’s prudent to identify and make contingency plans, so both employers and employees have some certainty if things go wrong during travel. Discussing remote working options, payment entitlements, expectations and obligations should all be factored into discussions.

When in doubt, it’s always worth seeking the guidance of an employment lawyer.

Climate action toolbox

A new climate action toolbox will enable business action on climate change and help to overcome the 80 per cent of smallto-medium enterprises that don’t know where to start.

For the first time, smaller businesses now have access to a free, comprehensive tool to help them act on climate change. Created by the Sustainable Business Network in partnership with the Ministry of Business, Innovation and Employment, the Energy Efficiency and Conservation Authority, New Zealand Transport Authority, New Zealand Trade and Enterprise, BNZ, Meridian Energy and DNA Design, the tool provides tailored advice and support in five major impact areas, such as moving people, moving goods, office operations and designing products. It has over 40 actions, including switching to electric vehicles, installing LED lighting and converting to clean energy equipment. Businesses will be provided with case studies on other companies in their community undertaking actions under relevant impact areas.

For more information, visit: business.govt.nz

This comes in the month that the Commerce and Consumer Affairs Minister, David Clark, says New Zealand has become the first country in the world to introduce a law that requires the financial sector to disclose the impacts of climate change on their businesses and explain how they will manage climate-related risks and opportunities.

The Financial Sector (Climate-related Disclosure and Other Matters) Amendment Bill received its first reading in April.

Minister Clark said, “It is important that every part of New Zealand’s economy is helping us cut emissions and transition to a lowcarbon future. Becoming the first country in the world to introduce a law like this means we have an opportunity to show real leadership and pave the way for other countries to make climate-related disclosures mandatory.”

The Bill will make climate-related disclosures mandatory for around 200 organisations, including most listed issuers, large registered banks, licensed insurers and managers of investment schemes. Once passed, disclosures will be required for financial years starting in 2022, meaning the first disclosures will be made in 2023.

More information is available at: www.mbie.govt.nz/ business-and-employment/ business/regulating-entities/ mandatory-climate-relatedfinancial-disclosures

Vaccination roll out

The COVID-19 vaccine roll out is Aotearoa’s largest-ever vaccination programme. What are the implications of the roll out on employees?

The COVID-19 vaccination is free, available to all New Zealanders and not mandatory. Employers can’t force someone to get vaccinated.

They can make it as easy as possible for them to get vaccinated, for example, by giving them paid time off to get vaccinated.

Business.govt.nz has issued guidelines on assessing whether a specific role needs to be performed by a vaccinated worker. Employment New Zealand also has detailed guidance on employment implications of the COVID-19 vaccination. Further information is also available from the Ministry of Health and the Unite against COVID websites or by calling Healthline on 0800 3585 453.

Up to date?

Following the recent minimum wage increase, now is the ideal time for you as an employer to ensure your business’s employment agreements (contracts) are up to date.

You can use this as an opportunity to ensure you are meeting your legal obligations and build stronger staff relationships. Also, consider potential impacts of the minimum wage increase on internal wage relativity, external benchmarking and staff current and future pay expectations.

By law, every employee must have a current written employment contract.

It must state the wage rate or salary payable, which must be equal to or more than the relevant minimum wage. With any changes of wages, the employer must send a contract variation letter advising of the new wage. If negotiated and used fairly, such contracts can be a great foundation for win–win, productive employment relationships with your staff.

The Employment Agreement Builder tool can help you easily create new contracts. It covers what you must do by law and sets out common mistakes and how to avoid them. The tool notes three types of clauses: ‘Mandatory’, ‘Recommended’ and ‘Optional’. The Employment Agreement Builder has been used for an estimated 950,000 contracts since it was launched five years ago.

On 1 April, the adult minimum wage increased from $18.90 to $20.00 gross per hour, and the startingout and training minimum wage increased from $15.12 to $16.00 gross per hour.