29 April 2020
The term ‘unprecedented’ has been used so many times in relation to Covid 19, but there is no better descriptor of the situation we now find ourselves. The problem with ‘unprecedented’ is that many decisions are being made hastily without a full understanding of how things will play out over the coming months or years. People are being asked to rely on those decisions and the decision maker is falling back on trust established during ‘normal’ times to persuade others of the correctness of their decision. This means that trust can no longer be relied on in a Covid 19 era when negotiating the best outcome for yourself.
08 April 2020
We are now two weeks into our Level 4 Lockdown and my impression is that businesses are starting to adjust to the ‘new normal’. However, issues still arise for which there seems to be some confusion. Two such issues are: 1. If we have reduced wages across the business, how do we pay for public holidays? 2. If we need to terminate the employment of an employee for whom we have applied for the wage subsidy, what do we do with that part of the subsidy which is unused?
01 April 2020
Last week many employers will have terminated staff following the announcement of the Level 4 lockdown and for other employers they will still be contemplating the possibility of redundancy. However, the availability of the Government wage subsidy raises the question of whether any business should be making redundancies at the moment, or simply sitting things out to see what happens.
30 March 2020
Further changes to the wage subsidy on Friday give greater clarity on the ‘best endeavours’ requirement to pay 80% and how the subsidy intersects with current legislation. Many employers will have acted quickly and decisively in the face of the lock-down, but the changes on Friday present a good opportunity to review past decisions and perhaps change course.
Covid 19: the wage subsidy and high-income employees; and preserving your business reputation in times of crisis
04 June 2020
The requirement of businesses to top-up the wage subsidy to 80% of wages is causing problems for many businesses with high income employees because they are concerned about not having the funds to do so. Here is my view on it.
26 March 2020
One of the options being considered by employers during the lockdown is to require employees to take annual leave. However, during a Government briefing yesterday, in response to a question from a reporter, the Minister responsible for MBIE appeared to express disapproval of this practice. So, let’s take a deep dive into this issue.
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