One provision of the Employment Relations Act 2010 will come into force on 1 July 2011. It requires employers to retain a signed copy of individual’s employment agreement or current signed copy of the terms and conditions. The employer must provide a copy to the employee if the employee so requests. Labour Inspectors will be responsible to monitor compliance. Once any non-compliance is identified the Labour Inspectors will give notice to the employer and allow 7 days for the employer to remedy the breach, failing which the employer may face a penalty of up to $20,000 (for corporate employers, $10,000 for individual employers).
Please note any employment agreement presented to the Labour Inspector will also need to comply with the law and contain the minimum provisions required by law. A non-compliant employment agreement may also result in penalties against the employers.
If you are an employer and you do not have a written employment agreement with your employees or if you are worried that your employment agreement may not be compliant with the legal requirements please come and talk to us as soon as possible to avoid sanctions by the Department of Labour.