Varying An Employment Agreement

Employment contracts are binding agreements and cannot be amended without the agreement of both parties. Employers and workers often ask me if an employer can vary the conditions of employment in the job… In short, in the situation described above, employers should inform workers in a timely manner prior to the proposed amendment, the reasons for this change and the possible consequences if the amendment does not progress. Depending on the circumstances, this may result in a potential threat to the worker`s employment. However, this should only be addressed if it is a real possibility and not a threat. Invitation to provide individual advice to discuss different contracts The employer must keep copies of an individual agreement and the proposed agreements that will be provided for an amendment during negotiations. Many employers write flexibility in their employment contracts from the outset to give themselves the power to make changes at a later date without having to reach an agreement. In order to change the contractual terms, employers therefore need the agreement of the employees. Sometimes changes agreed with a union are included in the contract, without the need for an individual agreement. An employer has the same right to change the conditions of employment of a worker as the worker… Provided that the proposed contract amendment is not covered by a flexibility clause, the employer must obtain an agreement. Employers are entitled to additional conditions in their employment contracts with new workers, provided they have an individual employment contract.

It does not matter that new employees have different business terms than existing employees. The Employment Relations Act 2000, section 65 (2), defines the necessary content of an employment contract, but also provides for section 65, paragraph 1, point b), which the agreement may contain the conditions that employers and workers deem appropriate. If a worker`s employment may be at risk, if the change does not take place, workers should also have the opportunity to have a support person or a representative with them when they give their opinion. If an agreement can be reached, the new agreement should be written down and staff should be invited to sign the agreement. If it is a reduction in wages or benefits or a trade restriction, the employer should give the worker some “reflection” when the worker gives up something to ensure that the new agreement is binding. The worker should receive a letter with the new employment contract and indicate when it will come into effect. At the meeting, take stock of the proposed agreement with the worker and explain the reasons for the need for an amendment, as long as it is reasonable. Give the staff member enough time to discuss the issue and inform the employee that they have the right to legal advice. Arrange to see you a few days later. The ability to give workers a good reason can help the employer reach an agreement. Employers who, without their consent, make changes to workers` contracts violate the contract. If an agreement is reached, the terms of the existing agreement should be respected when the amendment is registered.

It should be written down. B, signed by both parties and attached to the agreement. The problem is that you cannot simply issue new employment contracts with different business terms for existing employees. It is illegal to unilaterally make changes to the terms of employment of an existing employee, so the trick is to get your employee`s consent. Employers must begin a consultation process to reach an agreement. One way or another, as is the case with the amendments made by agreement, where the amendment is made in the exclusive interest of the employer, the employer should offer some benefit in exchange for the proposed amendment. It also increases the chances of reaching an agreement. If the employer is unable to reach agreement on a contract change, its last resort is dari