2024 was a year of interesting changes and proposals – and we’re expecting 2025 to be the same. The changes and proposals included a flurry of last-minute employment law activity. For more information on these or any other employment-related matters, please contact our expert Employment Law team.
Here are 12 key developments to be across and keep an eye on:
1. Minimum Wage Increase
From 1 April 2025 the minimum wage will increase from $23.15 an hour to $23.50 an hour.
2. Proposed change to the Employment Relations Act 2000
In November 2024, Workplace Relations and Safety Minister, Brooke van Velden, announced the government is looking to introduce a Bill that may see employees who earn a base salary of more than $180,000 lose their ability to raise a personal grievance claim for an unjustified dismissal. Instead, employees would need to negotiate dismissal terms or opt for unjustified dismissal protections in their Employment Agreement.
3. Landmark Health & Safety Case
The former Ports of Auckland CEO was found guilty of breaching duties under the Health and Safety Act 2015. This landmark decision is the first instance of a CEO of a large company being individually charged under the Act. The case highlights the importance of exercising due diligence to comply with one’s primary duty of care and to ensure safety in a workplace.
4. Wiles and the University of Auckland Vice Chancellor
The Employment Court ruled that the University of Auckland breached its contractual obligations to act in good faith, requiring damages to be paid to employee Associate Professor Siouxsie Wiles. The University failed to address her safety concerns of harassment or take proactive steps to mitigate risks she faced. An employer must constructively engage with an employee to prioritise their wellbeing and safety.
5. Uber Drivers classified as employees
The Court of Appeal confirmed the Employment Court’s decision that the four named Uber drivers in this decision should be considered employees as opposed to independent contractors. This decision is being appealed to the Supreme Court.
6. WorkSafe’s new obligations on the adventure sector
New regulations were introduced broadening WorkSafe’s powers and imposing new obligations on the operators of adventure activities. These include mandatory registration with WorkSafe and engaging with technical advisors to ensure safety.
7. Charging Employers as Thieves
A Bill was presented to Parliament that may deem employers thieves. If employers intentionally fail to pay employees money owed, they may be charged under the Crimes Act 1961.
8. Proposed change to the Holiday Act 2003
Despite the previous Government’s work on changes to the Holidays Act, the current Government has made the decision to start from scratch and look at changes they would like to be made to the Holidays Act.
9. Strikes and lockouts
The Government is in the process of introducing a Bill that will give employers the ability to deduct employees’ pay in response to partial strikes. This proposed change will allow employers to choose whether to deduct an employee’s pay proportionally for work not performed, using a specified method or at a 10% fixed rate.
10. Personal Grievances
Brooke van Velden announced a new Amendment Bill, to be introduced to Parliament in 2025, that will reduce or prevent employees from claiming a reward in a personal grievance if they contributed to the situation. The contributory behaviour may range from minor unproductive behaviour – for example lateness – to serious behaviour, such as violence.
11. Disclosure of Pay
On 20 March 2024, the Employer Remuneration Disclosure Amendment Bill was introduced to Parliament. This Bill would protect employees who disclose their remuneration. This Bill seeks to increase pay transparency and cease pay discrimination, allowing it to be quickly identified and remedied.
12. Termination of Employment by Agreement
Act lodged a new Member’s Bill in May 2024 that seeks to enable employers and employees to negotiate the end of an employment relationship by mutual consent. These negotiations would be protected and prevent employees from raising a personal grievance claim, in return for compensation.
Author: Kaitlin Windmeyer
