Changes to Employment Law during 2024 and beyond
Written by Christine Symes and Saige Lindsay
Over the past year, there have been several changes proposed and implemented by the National and Act coalition government within the realm of employment law; affecting both employers and employees. Below is a summary of these changes and how they may affect you.
The minimum wage increase
On 17 December 2024, Workplace Relations and Safety Minister Brooke Van Velden announced that the minimum wage will increase by 35 cents to $23.50 per hour, and the training wage will increase by 28 cents to $18.80 per hour.
Personal grievances
On 4 December 2024, Brooke Van Velden announced that the law regarding personal grievances within the workplace will be changed to place more emphasis on an employee’s behaviour when determining the remedies available to employees to bring a personal grievance claim against their employer. This change would mean that where an employee’s behaviour reflects serious misconduct or has contributed to the issue giving rise to a personal grievance claim, remedies may be reduced or removed entirely due to that conduct.
Pay deductions for partial strikes
On 9 December 2024, the Minister also announced that a Bill will be introduced to enable employers to deduct pay for partial strikes. Partial strikes are industrial actions that generally involve employees refusing to take part in key parts of their job. The Bill will involve changes to the Employment Relations Act 2000 directed at reducing disruption of trade and service within industries.
Dismissal processes
The fourth proposed change relates to dismissal processes. On 29 November 2024, Brooke Van Velden announced a proposed change to the Employment Relations Act which would prevent individuals earning over $180,000 per year from raising unjustified dismissal claims. This change is proposed on the understanding that employers can hire and promote employees into specialist, high-paying positions without the risk of disruptive dismissal process. The aim is to provide greater flexibility and choice to employers. Ultimately, the decision as to whether this would be affected would come down to the negotiation of the employment agreement between both employer and employee.
If you have any queries regarding the above changes and how they affect you, either as an employer or employee, please do not hesitate to get in touch with Christine Symes or Lois McLintock who will be happy to assist you.