The law change proposed by MP Paul Goldsmith to allow high earners to contract out of the personal grievance provisions of the Employment Relations Act would save taxpayers money and help free up court time, says Employers and Manufacturers Association Chief executive Kim Campbell.
“Mr Goldsmith’s Bill would give an employer and staff earning over $150,000 a year the ability to make their own arrangements should they fall out,” Mr Campbell said.
“High earners should be allowed to sort out things like this amongst themselves and at their own expense.
“It’s a useful idea. It would save on mediation and court time otherwise taken up by personal grievance cases, and reduce a business risk.
“Since the law would be voluntary when the parties drew up their employment agreement, a third party representative such as a union could have their say about it at the time.
“It’s a useful, sensible proposal.”