Encouraging small business owners to "quickly and easily create employment agreements online", the Ministry of Business, Innovation and Employment has "refreshed" its Employment Agreement Builder tool.

The employment agreement assembly technology, available here on the business.govt.nz website, enables employers to "easily identify what clauses are mandatory, what clauses are voluntary and when they are appropriate to use", Minister for Small Business Craig Foss says.

"It will also help employers comply with recent employment law changes.

"This means less time working on contracts and more time working on your business," Mr Foss says.

"In New Zealand a written employment agreement is compulsory no matter who you employ, what they do, or for how long. It means both you and your employees know where you stand from the beginning and, if there is a disagreement, all parties have rights and protection under the law.

"A good employment agreement is the foundation of a good employment relationship."

The Employment Agreement Builder was first launched in 2010.