Thursday, 22 August 2013

Employment Court upholds ERA rejection of unpaid trial periods…

Back in March the Employment Relations Authority held that a six hour “trial period” to assess suitability for work was “employment”.  The employee could not be dismissed without a proper process (unless there was a valid “trial period” provision) and was entitled to lost wages until a new job was found and $5,000 compensation.
The Employment Court has upheld this decision.
People taken on even for a short trial are entitled to be paid the minimum wage for that trial period.  For there to be a legal “trial period” the employee has to agree in writing to the trial period before their trial period starts and the other written requirements (such as the inability to take a Personal Grievance for dismissal) need to be included.  Also any dismissal under the trial period provision needs to be carried out before the end of the trial period.
Alan Knowsley
 
 
 

 

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