Can a new boss fire old employees who have been working for more then a year?

Question Details: I don’t trust my new boss. I have applied for my residency and my job search visa is expiring in a couple of months, but I will be travelling overseas before that. What is the legal process for firing an employee? I have not signed a contract with my new boss. Could I lose my job?

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Answers by Lawyers

Community Law Wellington & Hutt Valley

Generally speaking, no. Your boss can only fire you for instances of misconduct (inappropriate behaviour, theft, or continued poor performance) (or in a few other limited circumstances - like if you can't do your job anymore or you stop showing up). Any attempt by your boss to fire you for smaller reasons is not allowed. Employers have to follow a fair process to end employment.

Employment agreements sometimes contain a clause discussing your employment options if you transfer to a new employer. If your new boss has bought the business from the old boss, then your old boss would have needed to determine your employment status with the new boss. The two of them should have discussed whether your job would transfer over to the new boss on similar terms and conditions, or if you would be made redundant. Given that your new boss is dealing with you currently, it seems that you have made the transfer over.

We are not sure whether your new boss is the new owner, but either way (even if the business wasn't sold), your new boss still has the ability to restructure the business. Often, a restructure leads to redundancy of employees. However, before this can happen, the employer must show that the job has actually gone, and the boss must carry out the redundancy process in a fair manner. This includes consulting any of the affected employees on the nature of the restructure and whether they could lose their jobs.

If you are at risk of being made redundant, then you have the right to discuss this with your boss and to talk about what you think should happen to your role/job. Given the serious nature of this discussion, we recommend that you take a support person or a lawyer with you. This is especially important if you think your boss is "shady" - hopefully the presence of another person will keep the discussions honest.

Also, every employment agreement needs to be signed and kept by the employer (even if you have not signed it yet) and provided to you in writing as soon as practical if you ask for a copy. If your boss refuses to sign the agreement or to give you a copy, then you can contact a Labour Inspector from the Ministry of Business, Innovation and Employment (Labour Division) to investigate the situation on your behalf. Please see www.dol.govt.nz for more information on this.

Your situation becomes a bit more complicated given your job search visa is soon expiring. Upon expiry you may lose your entitlement to continue working - this may make ending your employment contract by your new boss compulsory. You should look to the www.immigration.govt.nz for for information regarding your right to continue working in New Zealand.

If the new boss does decide to fire you then you may want to seek legal advice to make sure that any decision made by your boss is justified in the circumstances. Contact your local Community Law Centre to find out about advice options: www.communitylaw.org.nz.

Answered 14 Feb 2013. The IMPORTANT NOTICE below is part of this answer.

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