As New Zealand turns its focus to an economic recovery, the recent reports of widespread business restructurings are dim reading indeed.
It’s recently been reported that the number of Kiwis in employment fell by 37,500 employees for the month of April. Statistics New Zealand has stated that this is the largest decline since 1999.
For those businesses that wish to restructure, and consider redundancies, it will be important that they follow a good process and they’re able to justify the decisions they make. Employment courts have over recent years stated that they are much more willing to enquire into the justification for any redundancy decision.
If there are gaps in terms of employee consultation, provision of relevant documentation and information to employees, or errors in the employer’s decision-making itself then these are all fertile grounds for costly personal grievance claims by employees.
If you are considering restructuring your business, making employees redundant, or you’re an employee that’s affected by one of these decisions, then our litigation and employment team are here to help.