New Zealand is forecasted to enter a recession in 2023, and this is likely to have an impact on employment trends. During a recession, people and businesses tend to reduce their spending, unemployment rates increase, wages are suppressed, and jobs can be cut.
Here are our tips for employers considering a restructure:
- Be proactive and plan ahead by reviewing your employment agreements and internal policies to check they are up to date and compliant with the law.
- Review your redundancy process and make sure you understand the law around redundancy – there must be a genuine business reason and a fair process must be followed.
- Communicate with your employees – this is part of your good faith obligations, but it is also important in retaining trust and confidence.
- Seek legal advice early. If you have any concerns with a process, be sure to get advice before things go wrong.
For more information, check out: Employment New Zealand’s Overview of workplace change » Employment New Zealand or get in touch with our team.