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Third reading for triangular employment legislation

27 June 2019

Parliament has given a third reading to the Employment Relations (Triangular Employment) Amendment Bill.

The private member's bill was introduced by Labour MP Kieran McAnulty. Its purpose is to ensure that employees employed by one employer but working under the control and direction of another business or organisation are not deprived of the right to coverage by a collective agreement, and to ensure that such employees are not subject to a detriment in their right to allege a personal grievance.

The bill amends the Employment Relations Act 2000. It will come into force on the earlier of an Order in Council or 12 months after receiving the Royal assent.

Currently, employees can only bring a personal grievance against their employer. For people in triangular employment situations, this limits their ability to raise a grievance, as often the actions that lead to them taking a claim are those of the controlling third party they are working with, rather than the person actually employing them.

A new section 103B of the Employment Relations Act sets the process for applications to join a controlling third party to proceedings to resolve a personal grievance. The process for notification of the controlling third party is set by new section 115A. The process for remedies against the controlling third party is set by section 123A.

Last updated on the 16th September 2019