When hiring workers, whether on a permanent, fixed-term, or casual basis, you are legally required to have a written individual employment agreement. This includes people like relief milkers who are only on a farm irregularly (casually) or for a set period of time (fixed term).
The agreement should outline the basic terms and conditions of employment, detailing the rights and responsibilities of both parties, and setting clear expectations. It can also protect both the employer and employee if things don’t work out.
An employment agreement must include the names of the employer and employee, a job description, the place of work, agreed hours (or an indication of hours), and the wages or salary. It must comply with the Holidays Act 2003 and explain the process for handling employment grievances.
As of December 2023, trial periods are permitted for all employers in New Zealand and can last up to 90 days from the start of employment. The trial period must be agreed upon in writing and signed by the employee before they begin work. This employee must be new, meaning they have never worked for you before, even casually.
Federated Farmers provide an array of employment agreements which can be bought online including:
· Permanent and fixed term employment agreements
· Casual employment agreement
· Contract milking agreement
These are updated regularly and contain all the essential terms you need in the contract. If you need something more bespoke then your local rural professional (lawyer, accountant, farm consultant) can help you draft an agreement that meets your specific industry/job needs.
Once work has commenced, employers must keep accurate records of hours worked and wages payable (and paid) and leave taken for each employee. You are legally required to keep these records for at least seven years, so it pays to have a good, secure record keeping system.
If you need help with, or have questions about, employment agreements, please get in touch as we have the experts to help you.
