What to Do if your Employer Breaches your Contract 

Signing contracts comes natural to many of us, and as a result, we tend to overlook certain terms.  

It’s a good idea to stay informed of your rights and entitlements according to your contract, as well as employment laws. Knowing your contract well-enough is also beneficial if you find that your employer is breaching its conditions. Contract breaches can cause confusion and immense stress – luckily, employment laws provide clear avenues for you to address contract breaches, and seek fair outcomes.

 

Understanding a Breach of Contract 

A breach of contract occurs when your employer fails to meet their contractual obligations. This can include: 

  • If you are not being paid correctly or on time. 
  • If your employer changes your job description or work hours without agreement. 
  • If you are dismissed in a way that violates your contract. 
  • If your employer does not meet the conditions outlined in your contract, such as providing proper rest breaks or a safe workplace. 

 

Steps to take if your Employer Breaches your Contract 

1. Review your Employment Agreement

Before taking action, carefully read your employment contract. Ensure that the employer’s actions genuinely breach the terms agreed upon. Also, check any relevant workplace policies or procedures that may apply.

2. Communicate with your Employer

Often, breaches occur due to misunderstandings. Raising your concerns directly with your employer or HR department may help resolve the issue quickly. Additionally, keep a written record of all communications, including emails, documents, and messages.

3. Seek Professional Advice 

If discussing the matter with your employer does not resolve the issue, seek guidance from: 

4. Employment New Zealand – The government’s official employment relations service. 

An employment relations specialist – They can assess your case, advise you, and represent you as you take your next steps. 

4. Raise a Personal Grievance

If the breach involves unfair treatment, you may be able to raise a personal grievance. You must do this within 90 days of the issue occurring (12 months if for a sexual harassment claim). A personal grievance can be lodged for issues such as unjustified dismissal, discrimination, or unjustified disadvantages for example.

Utilise Mediation Services 

If the issue remains unresolved, you can apply for free mediation through Employment New Zealand. Mediation helps both parties reach a fair agreement without going to court. Mediation is a form of dispute resolution where a neutral third-party (the mediator) helps people resolve conflicts without going to court. It is commonly used in employment disputes, and is generally informal and allows for open dialogue. 

Take the Matter to the Employment Relations Authority

If mediation fails, you can escalate the case to the Employment Relations Authority (ERA), which can investigate and issue legally binding decisions. If necessary, you can appeal further to the Employment Court. 

 

Conclusion 

If your employer breaches your contract, you have legal options to protect your rights. By understanding your contract, communicating clearly, and using available dispute resolution mechanisms, you can seek a fair resolution. Always act quickly, as strict time limits apply to many employment claims. 

Mahi Law can Help! 

Our expert team will help you understand your employment rights, and pursue resolution (including compensation) through various channels, such as: Without prejudice negotiations, mediation, the Employment Relations Authority, or Employment Court if required. 

We also work on a no-win, no-fee basis – if we win your case, your employer covers the costs. 

Get in touch for a free consultation! You can fill out this form – or contact us at [email protected], or 0800 450 032. 

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