April2018

Employers: Avoid unexpected and sizeable costs

If you're reading this, you clearly understand the importance and value of insurance. Health, life, vehicle, home ... the list seems endless. And usually insurance involves the payment of a regular premium to avoid one-off unexpected large costs.

If you are an employer of people there are a number of these sorts of unexpected and sizeable costs that you should do your best to avoid. Often these appear as a Personal Grievance taken by some disgruntled employee (whether for good or no reason!)

Some examples:

• if you ever say to an employee they must stay an extra hour to complete a task, your Agreement must have the right clause in it.
• if you catch an employee taking money from the till you cannot just fire them - you must simply allege that this is what they were doing and follow a fair process of investigation.

If you haven't got your documents and processes right, these Personal Grievance costs can run to $10-20,000 in fines/penalties each time.

Essential HR can help you put the right documents and processes in place to avoid these pitfalls (at least to minimise your risks). It's not insurance, nor will it require a monthly payment - but it does have a similar effect.

For a small one-off cost (often no more than $500 plus GST) they can ensure your Employment Agreements are correctly worded and your disciplinary processes fair.

Get these right and the Personal Grievances will often have no grounds. But you must get them right up front and keep up with the ever-changing law.
Essential HR

For all your pro-active people management solutions contact
Mike Johnson
027 280 8546 or mike@essentialhr.co.nz