Media release

New employment legislation renews confidence around employing staff

January 25, 2018

Federated Farmers says new employment legislation will give farmers renewed confidence in employing staff with small businesses retaining the right to use a 90-day trial.

The Government announced today that smaller businesses can continue to use the 90-day trial rule for new employees, with larger businesses (20 or more employees), bound by the provision for employees to lodge a personal grievance for unfair dismissals.

Chris Lewis, Federated Farmers Employment Spokesperson, says the while the new Government had been clear about making changes to the current 90-day trial law, the change of heart was a welcome surprise.

"It’s good to see Labour has listened to some of the concerns of the business community and consulted with their key coalition partner, New Zealand First. Winston [Peters] has made the pledge to look after farmers’ interests and we acknowledge his support.

"The decision is especially good for small businesses. The vast majority of farming businesses are in this category and they will appreciate the rationale.

"Many employ few staff but because of the small size of the business, they simply can’t afford the situation or inconvenience when new staff aren’t suited for the job or can’t fit in," says Chris.

The number one concern for farmers regarding employment, especially in the dairy industry, is the lack of available, motivated staff.

"Farmers need the confidence to take a chance on a potential employee who may have no demonstrated experience or who may have had previous social or addiction problems.

"Retaining the 90-day trial for small businesses gives the vast majority of farmers some assurance towards hiring future employees, " says Chris.