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Employment Relations Amendment Bill Passes First Reading

Hon Brooke van Velden
Minister for Workplace Relations and Safety

Workplace Relations and Safety Minister Brooke van Velden welcomes the successful first reading of the Employment Relations Amendment Bill, calling it a major milestone in helping businesses employ and contract with confidence.

The Employment Relations Amendment Bill will now be considered by the Education and Workforce Select Committee where people can have their say on the proposed changes.

“This Bill reflects the Government’s commitment to supporting New Zealand businesses and creating more and better opportunities for workers.”

The legislation delivers on key commitments from the ACT–National Coalition Agreement, including:

  • Clarifying the distinction between employment and contracting arrangements, giving greater certainty to both businesses and workers.
  • Simplifying the personal grievance process, including the introduction of an income threshold of $180,000, above which unjustified dismissal claims cannot be pursued.

This Bill also proposes removing the 30-day rule, allowing employers and employees to negotiate mutually beneficial terms from the start of employment, reducing compliance burden and increasing flexibility.

“I encourage all interested New Zealanders to have their say on the Bill, and I see the Select Committee process as an important way of strengthening the final Bill and making sure it works for a wide variety of working relationships and situations.

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“I am particularly interested in hearing feedback on whether the gateway test criteria are workable and whether the test covers a variety of genuine contracting relationships. I am also interested in hearing feedback on the high-income threshold for personal grievances, both from those who may use it as an employer and those who would be affected as a worker.

“I am looking forward to hearing what New Zealanders have to say about the Bill during the Select Committee process,” says Ms van Velden.

Notes:

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