BusinessNZ has welcomed changes announced today to the Employment Relations Act.

Most changes were announced prior to the 2011 election. Additional amendments to speed up processes Employment Relations Authority were also released today.

 BusinessNZ Chief Executive Phil O’Reilly says the overall effect will be to make the Employment Relations Act simpler and more efficient and enable more flexibility in the workplace.

 “Improving employees’ ability to seek flexible working arrangements and simpler arrangements around meal and rest breaks will be of general benefit.

“Removing compulsion from parties involved in multi-employer bargaining, removing the compulsion to settle a collective agreement, and removing compulsion for new employees to join a collective agreement will allow for improved employment relationships.”

 Mr O’ Reilly said that the proposed change to the rules around transfer of employees when contracts change hands, to include exemptions for all businesses with fewer than 20 employees, would need to be studied carefully to ensure unintended consequences did not arise.

 “Overall, these changes will allow more flexibility and certainty for businesses, allowing for more growth and job creation,” Mr O’Reilly said.