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Termination.

Termination.

The ending of a person’s employment can be a tough process, and is certainly one thing employers need to get right the first time. The penalties if you get termination wrong can be severe and, without even examining the legal process, the termination of employment is difficult on a personal level and should be done with respect.

There are some obligations for employers in the process of terminating an employee such as:

• acting in good faith
• having a substantive reason
• follow fair and reasonable process
• ensuring outcomes are not predetermined, meaning being open-minded

Notice period.

Amount of notice required for each employee will be outlined in the employment agreement and can only be ignored in the instance of an employee being terminated for serious misconduct. As a side note, the notice period also applies where an employee has resigned.

One important consideration for employers is that as justified as the dismissal may be there is still a formal process which must be followed. For more information on dismissal and the correct procedure, view our dismissal guide.

What if there is no notice period in the employment agreement?

Best practice is to include a notice period in every employment agreement, or at least have something in writing regarding how much notice you, or an employee if they resign, are required to give. However, if nothing is written anywhere regarding notice, the requirement is for fair and reasonable notice.

To determine exactly what fair and reasonable notice is you should consider how long the employee has been in the role, the job itself, and how long it may take to find a replacement. And without considering the points above, two to four weeks is often agreed as fair notice.

For advice on terminating your employees contact Employsure on 0800 675 700 day or night.

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Employsure

Employsure is New Zealand's leading workplace relations specialist, working directly alongside employers to set the solid foundations for...
Auckland 201- 500 employees

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