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US 1978 v9a

Learner’s Guide

WORK AND STUDY SKILLS

Unit Standard 1978


Version 9 | Level 1 | Credit 3

Describe basic
employment rights and
responsibilities, and
sources of information
and/or assistance

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About this
Learner’s Guide
Learning Purpose & Outcomes
The purpose of this guide is to learn about basic employment rights and responsibilities.
Once you have successfully completed this guide, you will be able to do the following.
• distinguish between different types of employment agreements
• describe the usual contents of employment agreements
• understand the rights and responsibilities that employers and employees have in the
employment relationship
• describe sources of assistance and information in relation to employment rights and
responsibilities.
A glossary containing difficult or technical terms has been provided at the end of this guide.
These words are highlighted the first time they appear in the main text.

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Contents

Types of employment agreements 2


Employment Relations Act 2000 3
An employee or a contractor? 5
Individual and collective agreements 8

Content of employment agreements 10


Content of collective agreements 11
Content of individual agreements 13

Rights and Responsibilities 15


Fair treatment 16
Good faith obligations 18
Health and safety obligations 20
Representation 22

Sources of information and assistance 24


Employers 25
Employment New Zealand 26
Unions 27
Citizens Advice Bureau 28
Lawyers 29

Glossary 31

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LESSON 1:

Types of employment
agreements

Learning Objectives
By the end of this lesson, you will be able to explain: A space has been left
on the right of every
the overall aim of the Employment Relations Act 2000
page for you to make
the difference between an employee and a self-employed notes about what
contractor you are learning.
the difference between individual agreements and collective
agreements.

Important definition: Unions


A union is an organisation of employees who work together to
discuss work-related issues as a group (rather than individually).
You will learn more about unions in this lesson.

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LESSON 1: Types of employment agreements

Employment Relations Act 2000

Employment Relations Act 2000

Main piece of legislation related to employment in


New Zealand.
Controls relationships between employers,
employees, unions, and other employment
representatives.
Main aim: to help people in the workplace have
productive employment relationships.

The following is a quick test to check how much you


Try it for already know about employment agreements.
Yourself Tick the boxes that have correct sentences.

I have an employment agreement if I.... 


… have looked for a job.

… have contacted a company and asked them to send me a job application.

… have accepted an offer of employment in writing to work for someone


but have not started yet.

… have been told by a friend about a job vacancy that is suitable for me.

… have just started working for someone but I do not have a written
agreement yet. A union has a collective agreement in place for the
work I do.

None of the above are applicable.

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LESSON 1: Types of employment agreements

Definition of an employee
The definition of an employee in the Employment
Relations Act 2000 is:
• someone who is already working for an employer or
• a person who has been offered a job and has
accepted that offer (but not started work yet).

It also includes:

People who Fixed-term


work from or seasonal
home employees

Employees

Casual or
Trial
part time
employees
employees

However, some people in the work force are not employees under
this Act.

They are:
• self-employed or independent
contractors
• volunteers who do not receive
a reward (money) for working
• sharemilkers or real estate
agents whose agreement
says they are independent
contractors.

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LESSON 1: Types of employment agreements

An employee or a contractor?

Contractors may also work in a workplace. However, they are


defined as different to employees.

Employee
1. Must work according to the organisation’s
requirements.
2. Receives employee benefits such as holiday pay.
3. Is paid wages or salary.
4. Bound by an employment agreement.

Contractor
1. More freedom in choosing work place and times.
2. Does not receive employee benefits.
3. Is paid per project. Finishes work when project is
complete.
4. Not bound by an employment contract.

I am an employee at CYV Industries (an


electronics manufacturer). My workplace can
specify the times I work, where I work, and how I
do it. CYV deducts tax from my salary. I am also
paid while I am on annual leave or sick leave.

I am a contractor for CYV Industries. I do


technical writing projects for them. I am free to
complete the work where and when I want (within
the timeframe specified). There are many different
organisations that I work for, not just CYV. CYV
does not give me holiday pay or sick leave. I don’t
have any rights under the Employment Relations
Act 2000.

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LESSON 1: Types of employment agreements

Try it for For each of the following, state whether the person is an
Yourself employee or a self-employed contractor.

Rangi works as an account clerk for Wilson Enterprises. His hours are
9am – 5pm, Monday to Friday.

Cherie cleans shop windows for a number of businesses in town. She


chooses her own hours and supplies all her own equipment.

Mere provides typing services for a local lawyer. They pay her PAYE
and ACC levies. She is also entitled to paid holidays and sick leave.

Ahmed sells home cleaning products on commission. He works 7.5


hours a day and has a company car. He has an individual employment
agreement.

Ashley is a marketing genius. She likes being her own boss. She
has quite a few clients in the North Island. At the end of the job, she
invoices her clients for the work she has done for them.

Entering an employment agreement


When you enter into an employment relationship, you are
automatically given all the rights and protections of an employee
under the Employment Relations Act.
It is a requirement under the Act for your employer to:

provide you with a written copy of the employment


agreement before you begin your employment
advise you that you may seek independent advice about
the agreement

give you reasonable time to seek that advice

Once you and your employer have signed an employment


agreement (or you have accepted in writing an offer of employment
from the employer), you enter into an employment relationship.
A copy of the signed employment agreement should be given to you.

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LESSON 1: Types of employment agreements

What do Think of some of the advantages of having your


You Think? employment agreement in writing.

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LESSON 1: Types of employment agreements

Individual and
Collective Agreements

Under New Zealand law, there are two main types of employment
agreement. These are individual agreements and collective
agreements. Both of these agreements are different in terms of the
relationship between the parties. Look at the following differences.

Individual Agreements
1. Individual agreements are between one employer
and one employee.
2. The purpose of individual agreements is to define
the rights and responsibilities that apply to the
employer and the employee.
3. With individual employment agreements, the
employee usually negotiates directly with the
employer.
4. Most individual employment agreements do not
have an end date, unless they are fixed term agreements.

Collective Agreements
1. Collective agreements are between an employer and a group of
employees.
2. The purpose of collective agreements is to define the rights
and responsibilities that apply to the employer and the group of
employees.
3. Collective agreements can only
be negotiated by a union and the
employer. The employee is not
involved directly with employment
negotiations.
4. Employees can only receive the benefits of a collective
agreement if they are members of the union.
5. Collective agreements must be for a maximum term of three
years and contain an expiry date.

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LESSON 1: Types of employment agreements

Think of the different benefits of individual agreements


What do and the benefits of collective agreements. List them in
You Think? the table below.

Individual Agreements Collective Agreements

Many people choose to be part of a union because they believe


that it is easier for a group of employees to get better conditions
from their employer. However, there are no right or wrong reasons
for choosing either agreement. You need to decide what type of
agreement suits you best (if both are available).

In summary:
• an individual agreement is an agreement between one employee
and their employer
• a collective agreement is an agreement between two or more
employees (who are union members) and their employer
• All employment agreements exist for the same reason – to set
out the rights and responsibilities of employers and employees.

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LESSON 2:

Content of employment
agreements

Learning Objectives
In this lesson, you will learn about:
what must be included in a collective agreement
what must be included in an individual agreement.

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LESSON 2: Content of employment agreements

Content of Collective Agreements

A collective employment agreement must be in writing and it must be


signed by each union and the employer that is party to the agreement.
Under section 54 of the Employment Relations Act, a collective
employment agreement must contain the following terms:

a plain language
explanation of the
services available a clause that outlines
for the resolution of what the agreement
employment relationship covers
problems

the date specifying


a clause that explains
when the agreement
how the agreement can
expires, or what will
be varied
happen when the
agreement expires

In addition to the requirements


above, the agreement must not
contain anything that is against the
Employment Relations Act or any
other relevant laws. For example,
the agreement must not contain any
clauses that require an employee to
act in a way that is against the Health
and Safety at Work Act 2015.

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LESSON 2: Content of employment agreements

Try it for Complete the following sentences by selecting and


Yourself inserting one of the words below.

English date agreement


covers extended collective
varied services clauses

1. Section 54 of the Employment Relations Act outlines the that must

be included in a employment agreement.

2. All collective employment agreements must contain a clause outlining what the

agreement .

3. A clause that outlines the available to deal with employment

relationship problems must also be included. This must be in plain .

4. The must include a clause about how the agreement can be .

5. All collective agreements must specify the that the agreement expires.

6. The agreement must also specify what should happen if the parties want the

agreement to be .

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LESSON 2: Content of employment agreements

Content of Individual Agreements

An individual employment agreement must also be in writing and it


must be between the employer and the employee.
Under section 65 of the Employment Relations Act, an individual
employment agreement must contain the following terms.

a plain language
explanation of the
services available the names of the
for the resolution of employer and employee
employment relationship
problems

a description of
the work that the
the wages or salary that employee will do in their
the employee is to be employment
paid

the location where the


agreed-on hours (or employee is required to
details of arrangements work
in relation to work hours)

In addition to the requirements


above, the agreement must not
contain anything that is against the
Employment Relations Act or any
other relevant laws. For example,
the agreement must not contain any
clauses that state that an employee is
not eligible for sick leave, as offering
sick leave (after 6 months of continuous
work) is a legal requirement.

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LESSON 2: Content of employment agreements

Try it for Complete the following sentences by selecting and


Yourself inserting one of the words below.

services follow wages


65 where Relations
names individual agreement

1. Section of the Employment Relations Act outlines the content that must be

included in employment agreements.

2. The of the employer and employee must be included in the

employment agreement.

3. All clauses in the agreement must the terms of the Employment

Act and any other relevant law.

4. The agreement must contain details of the employee is required to

work.

5. The specific or salary that the employee will receive must be

included in the employment .

6. Information about available to deal with employment relationship

problems must also be included.

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LESSON 3:

Rights and
Responsibilities

Learning Objectives
Once you have finished this lesson, you will know about the
following rights and responsibilities in employment agreements:
fair treatment by both employer and employee
the good faith obligations of both employers and employees
health and safety obligations
representation rights and responsibilities.

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LESSON 3: Rights and Responsibilities

Fair Treatment

A responsibility that arises from the employment relationship is that


of fair treatment. Both employers and employees must deal with
each other fairly.
Fair treatment is important in the following areas.

Confidentiality
An employer must keep your personal
information private. This includes information
that was obtained through the employment
process, such as birth date, home address,
and so on.
As an employee, you have the responsibility to keep work information
secret. You must not share work information with those outside the
organisation.

Dealing with problems


If you have broken a rule in your workplace or your
employer has problems with your performance, the
employer has to treat you in a fair and reasonable
way.
Some of these principles of fair treatment include:
• you must be told about your right to get union assistance or
legal assistance when there is an employment problem
• all procedures outlined in the agreement must be followed, such
as notice periods, requirement for mediation etc
• you must be told that there is a problem and given an
opportunity to change your actions
• you must also be given an opportunity to provide your own
reasons and explanations in relation to the situation
• your employer must investigate any issues thoroughly and with
an open mind
• your employer should clearly explain the disciplinary process,
including what will happen if the problem continues to occur
• disciplinary action should be recorded in writing, read and then
signed by you before it is placed in your personal file.

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LESSON 3: Rights and Responsibilities

Integrity at Work
Another aspect of fair treatment relates to honesty in the workplace.
You need to be honest about the hours you work and your activities
during work time. You must also use workplace resources, funds,
and property appropriately and honestly.
Your employer has the right to expect you to be at work on time,
to comply with all lawful instructions, and to complete tasks within
deadlines and to the highest possible standard.

What do you think it means for you to be treated fairly


What do in the workplace? What do you think it means for you to
You Think? be treated unfairly?
Think of some specific examples that have not been
mentioned in this section.

Fair treatment Unfair treatment

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LESSON 3: Rights and Responsibilities

Good Faith Obligations

Good faith refers to the duty of the employer and employee to keep a
productive and happy employment relationship. These apply to both
the employer and the employee.

willing to
willing to talk
communicate with
about each other’s
each other on a
requests
regular basis

Good faith
requirements

have trust and


not mislead or
confidence in each
deceive each other
other

A few years ago, I had to make two employees


redundant. I acted in good faith with all my
employees by being very open and up-front about
the whole process. I consulted the employees
concerned and asked for their feedback on the
proposed changes.

If the parties to an employment contract act in good faith with


each other, any inequality in power between them can be reduced.
This will result in a productive and happy employment relationship.
For example, it is not good faith for an employer to put difficult to
understand terms in a contract to mislead an employee. Also, it is
not good faith for an employee to accept an offer of employment if
they know that they will leave the job in a few months’ time.

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LESSON 3: Rights and Responsibilities

What do you think it means for you to act with good


Try it for faith towards your employer? What do you think it
Yourself means not to act with good faith? Give three examples
of each.

Good faith Not good faith

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LESSON 3: Rights and Responsibilities

Health and safety obligations

A high standard of health and safety in the workplace is very


important. There are a number of rights and responsibilities that
apply to both employers and employees in the workplace in relation
to health and safety. These rights and responsibilities come from the
Health and Safety at Work Act 2015.

Employers
Employers have the right to expect that:
• employees will not cause harm to other employees in the
workplace
• employees will report any health and safety incidents that
happen in the workplace
• employees will apply all the health and safety training that they
have received.

In general, an employer is required to take ‘all practicable steps’ to


ensure that employees in the workplace are safe.
This means that employers are responsible for:
• providing proper equipment, such as protective clothing
• developing procedures to follow in an emergency
• developing systems to identify hazards
• eliminating, isolating, or minimising significant hazards.

Employees
Employees have the right to expect that:
• they will be given everything they need to work safely in the
workplace, including protective clothing
• any accidents they are involved in will be investigated and dealt with
• they will be given adequate training to help them complete their
work safely.
Employees are responsible for:
• not causing harm to any other employee
• being involved in the development of health and safety
procedures
• reporting any accidents, including ‘near misses’.

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LESSON 3: Rights and Responsibilities

Try it for Complete the following sentences by selecting and


Yourself inserting one of the words below.

equipment endanger Health and Safety


training harm accidents

1. Rights and responsibilities in relation to health and safety come from the

Act 2015.

2. Employers can expect that employees will not cause to others in

the workplace.

3. Employers have the responsibility to make sure that correct safety

is provided.

4. Employees have the right to expect that they will be given adequate to

do their job.

5. Employees must not any other workers.

6. Employees must report any or near misses that occur in the

workplace.

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LESSON 3: Rights and Responsibilities

Representation

Representation refers to having a person act or speak for you in a


specific situation. Both employers and employees have the right
to have people represent them when dealing with employment
relationship matters.

Employers
Employers are able to get other people to represent them in relation
to any disputes that occur in the workplace. For example, your
employer may ask a lawyer or other professional to represent them
in an employment dispute or negotiation.

Employees
When you negotiate your employment contract individually, you are
entitled to a representative, such as a lawyer or person experienced
in negotiation.
Representatives can be useful in the following situations:
 when you need help to negotiate the terms of your employment
agreement
 when you are not sure of your rights and feel you need a capable
person to support you
 when you are confused about the terms or conditions of your
agreement
 in situations where there is a disagreement or a problem in the
employment relationship.
There are a number of different people who can represent you when
you negotiate your individual employment agreement. Examples
include a union representative or a lawyer. We will discuss this in the
next lesson.

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LESSON 3: Rights and Responsibilities

An employer and employee are involved in a dispute


Try it for over an employee’s performance.
Yourself A. List two people who could represent the employer in
this situation.

B. List two people who could represent the employee in this situation.

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LESSON 4:

Sources of information
and assistance

Learning Objectives
In this lesson, you will learn about the following places where
employees can get information:
the employer
the Employment Relations Services
unions
the Citizen’s Advice Bureau
lawyers.

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LESSON 4: Sources of information and assistance

Employers

Employers are a good source of information in relation to employment


rights and responsibilities because:
 they generally want to make sure that you are happy in your work
 they are easy to access and to talk to
 they know specifically about your employment details

However, talking to an employer may have the following issues:


 they may not be impartial
 the problem may be specifically about them and they may be
unwilling to change or solve the problem

Whenever I have any employment problem, I


always discuss the problem with my employer
first. Problems can usually be solved quickly and
easily by just talking about it.

If you do not feel satisfied with the way the employer deals with
the issue then you can look at other alternatives. It is important to
remember that an employer has their own interests as well. If there
is an issue or if you are negotiating an agreement, it is best to also
get independent advice.

Costs
There are none. Your employer will want to sort out any
difficulties as quickly as possible so that it does not
interfere with the smooth running of the organisation.

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LESSON 4: Sources of information and assistance

Employment New Zealand

One of the best sources of information is Employment New


Zealand which is a service provided under the Ministry of Business,
Innovation and Employment.

Information Information
about rights and about the dispute
obligations resolution process

Services
provided by
Employment
New Zealand

Assistance to
Mediation services,
resolve problems
if needed
(eg specific advice)

I had a problem with my employer a few years


ago. He refused to give me time off over the
school holidays, although this requirement
was in my employment contract. I went to the
Employment New Zealand website and got some
advice from them about the situation.

To contact Employment New Zealand:


• Go to their website at https://www.employment.govt.nz/
• Call them on 0800 209 020
• Email them through their website.

Costs
All of the services offered by Employment New Zealand,
including mediation, are free.

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LESSON 4: Sources of information and assistance

Unions

If you are a member of a union, you can approach your union for
information. Their staff can assist in the following ways if you have a
problem in your employment.

Representing
you in personal
grievance
Representing
procedures.
you while
negotiating an
employment
agreement.
Ways unions can
assist

Offering advice
on points of law.

I belong to a union. I had a disagreement with


my employer about my work performance. I talked
to my union about the issue and they gave me
some advice on different points of law. It was very
useful.

Costs
There is no cost involved other than the union fees that
you regularly pay to your union. Union fees vary from
union to union. Generally, fees are in the range of $80 a
year up to $400 a year.

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LESSON 4: Sources of information and assistance

Citizens Advice Bureau

There are a number of different Citizens


Advice Bureaux (CAB) situated around the
country. The CAB is able to give limited
information about employment law and
employment relationships.

I went to the CAB to find out about annual leave


law in New Zealand. The staff there told me that I
am entitled to four weeks annual leave after I have
worked full-time for one year. They even gave me
a useful brochure. It is a great service.

Costs
The general advice and pamphlets provided are all free.

Try it for Go online and find the nearest CAB to where you live.
Yourself Write the address of it in the space below.

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LESSON 4: Sources of information and assistance

Lawyers

Lawyers are people who specialise in the law. They can represent
you if you have problems with the law. This includes employment
problems. They can give you information about negotiation and
mediation.
In general, lawyers are able to:
• write employment agreements
• check through your employment agreement
• give you information about a personal grievance procedure
• give you advice on how to deal with problems you may have in
your employment relationship.

My employer did not pay me for three months.


He kept on telling me to wait until he had the
money. Finally, I decided to talk to a lawyer. The
lawyer gave me information about employment
law and offered to talk to my employer. After
the lawyer got involved, I received all the money
owing.

Costs
Lawyers’ fees vary. Before you ask a lawyer to help
you, you need to ask them how much it is likely to cost.
Many lawyers charge more than $250.00 per hour.

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25092018-US1978-138471 INSTANT Education Solutions Describe basic employment rights and responsibilities,
9a © ATC New Zealand www.instant.org.nz and sources of information and/or assistance
30

LESSON 4: Sources of information and assistance

Try it for
Read the following scenarios and answer the questions.
Yourself

Scenario 1: Anna has been offered a position as a sales


representative at Furniture Forever, a local furniture shop in
Auckland. She has been handed the employment agreement and
has been told to review it before she accepts it. She would like to
know where she could get some information about employment
agreements and how much it would cost.
Note: There is a sales representatives union that she could join.

Name the best source Anna could use for information and what is the cost for that
information.
Name of source:

Cost:

Where else could Anna go if she is not satisfied and what would be the cost?
Name of source:

Cost:

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Describe basic employment rights and responsibilities, 25092018-US1978-138471 INSTANT Education Solutions
and sources of information and/or assistance 9a © ATC New Zealand www.instant.org.nz
31

Glossary

eliminate completely remove or get rid of


expiry the end of a period
independent a person who does work for an organisation without being an employee
contractors
impartial treating all people equally
isolate to cause something to be separate or apart
mediation discussion of a dispute with a non-biased person
negotiate discuss a contract, problem, or opportunity with an employer or
organisation
share milker a person who works on another's dairy farm for a share of the profits,
often owning all or part of the herd of cows.
trial a test of performance
union a group of employees who negotiate and discuss issues with their
employer as a group

Licensed to Western Heights High School US1978v9a Learner's Guide


25092018-US1978-138471 INSTANT Education Solutions Describe basic employment rights and responsibilities,
9a © ATC New Zealand www.instant.org.nz and sources of information and/or assistance
21 Ruakura Rd, Hamilton East,
Hamilton 3216
Phone: 0800 864 863
E-mail: instant@atc.org.nz

www.instant.org.nz

© ATC New Zealand

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Describe basic employment rights and responsibilities, 25092018-US1978-138471 INSTANT Education Solutions
and sources of information and/or assistance 9a © ATC New Zealand www.instant.org.nz

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