Business Interruption – Interrupting Employment?

February 12, 2021

in Employment

Of the various tough lessons learnt in 2020, one was the impact that having to shutdown your business operations can have when you have staff working for you.

Nobody worth working for wants to get rid of their staff but if circumstances beyond your control mean the business can’t operate, or you can’t have your staff working for you, you want to know what your options are.

Those employers who weren’t already alive to the need to address business interruption in terms of their employment relationships will be now.

It’s not just a pandemic that brings this up for us at the macro level. The Christchurch earthquakes are another example. At the micro level of individual businesses, a fire or flood could do it. What we’re learning is that the unforeseen all of a sudden becomes reality.

From an employer perspective for your existing employees the issue is awareness of how business interruption needs to be treated without falling foul of New Zealand’s employment law and their employment agreement.

In terms of new and future employees where you have the opportunity to do so, you can address the risk of business interruption in the text of their employment agreement.

We can advise and assist with contracts on this important area of employment law. Please contact the lawyer at Farry and Co. who normally advises you, or alternatively contact:

Wallace Revell
09 379 0055

The information contained in this publication is intended as a guide only.  It does not constitute legal advice and should not be relied upon as such.  Professional advice should be sought before applying any of the information to particular circumstances.  While every reasonable care has been taken in the preparation of this publication, Farry and Co. does not accept liability for any errors it may contain. 

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