Glossary

Final Payment

The last payment an employee receives before they leave a company. The final pay is typically made on the employee’s last day of work and covers all the money owed up until the final pay period of their employment.

Employers must ensure they accurately calculate the final pay or they risk facing a claim for unpaid wages. An employee’s final pay should include the following: outstanding wages for time the employee has worked; leftover annual, sick or holiday leave; payment in lieu of notice; and any extra benefits agreed upon in the employment contract.

Fixed-Term Agreements

An agreement between an employer and employee where the employment has a fixed start and end date. This type of agreement can only be used if there is a genuine reason for the fixed term. For example, if the employee is hired to complete a particular project or fulfil the role of an employee on leave.

The fixed-term agreement can be extended if circumstances change and the employer needs the fixed-term employee for longer. Employees on a fixed-term arrangement are entitled to the same minimum rights as permanent employees.

Fixed-Term Employment

When an employee is employed for a specific period of time or until a task is complete. Fixed-term employment contracts typically have a fixed start and end date of employment, although the agreement does not have to automatically end after the contract expires.

Employees on a fixed-term arrangement are entitled to the same minimum rights as permanent employees. If an employee does not meet the criteria for a fixed-term employment, the agreement may not be valid and the employee could be deemed a permanent employee.

Flexible Working Arrangements

When an employee requests changes to certain aspects of their job to achieve a healthier work/life balance. Employees can ask for a flexible working arrangement at any time.

Flexible working arrangements may involve changes to the number of hours worked, the work schedule pattern and where the employee works. The request can also extend to changes within the workplace itself to accommodate the employee’s specific needs.

It is the employer’s legal responsibility to consider each request. However, employers can refuse a flexible working arrangement on reasonable business grounds. For example, if the arrangement is too expensive or another employee cannot change their schedule to accommodate the arrangement.

Freedom of Association

The right to join or not join a union without interference from a third party. All employees, employers and contractors have a right to make this choice on their own. It is unlawful for an employer or union member to pressure someone to either join, not join or leave a union.

Freedom of Association is recognised as a human right in New Zealand and is covered by the Bill of Rights Act 1990.