Contractors Agreements : Do your agreements pass the new “gateway test”?
Independent contractor arrangements have had a legal shake-up under the Employment Relations Amendment Act 2026. From 21 February 2026, New Zealand has a new “gateway test” to help determine whether someone is a genuine contractor rather than an employee.
When is a 'trial' really employment?
If an employer wants to test a prospective employee’s suitability for the role, they can, and should, use an employment agreement which includes a 90-day trial period.
Employers should never have a work trial (i.e. a one-off shift) before the employment agreement has been signed by their employee. This can be a costly mistake!
A Quick Guide to Restructuring
The current economic climate in NZ means employers are facing the challenges of rising costs. As a result we are seeing organisational restructures becoming more common as businesses look at ways to reduce costs and/or increase efficiency.
The starting point is that an employer is entitled to reduce its workforce if it does not have the work available. Likewise employers can also make changes to their organisation to make it more efficient or more profitable.
However employers do need to ensure that the restructure is substantively justified and the process followed is fair otherwise they risk personal grievances being raised.
Business Restructures - Get it Right
Employers often look to restructures when economic uncertainty is looming. With that in mind it is vital employers fully understand their legal requirements if looking to restructure and make staff changes.
The Accredited Employer Work Visa (AEWV)
On 4 July 2022, Immigration New Zealand introduced the new Accredited Employer Work Visa. In short, where genuine skill or labour shortages exist, accredited employers can hire skilled migrant workers using the AEWV.
This Visa requires employers who are wanting to employ migrants to become accredited. Once accredited, the employer can invite migrants to apply for the job which will allow the migrant to apply for a visa within NZ, including through the new Accredited Employer Work Visa.
