Level 1 Business Studies 1.1 - AS90837 Demonstrate an understanding of internal factors of a small business

Rights and responsibilities of employers and employees Students will identify the rights and responsibilities of the employer and the employee. Understand the rights and responsibilities of an employer e.g. pay the employee on time, provide a contract, fair pay, ensure adequate working conditions Understand the rights and responsibilities of the employee eg punctuality, complete tasks required, loyalty to organisation Explain the effects of either party failing in their responsibilities

Rights - What an individual or a group of individuals might reasonably expect to get from a business or their employees. (Note the term 'reasonably'). Responsibilities –Obligations a business has to groups and individuals who are associated with the business.

Rights of an Employer To expect their employees to show up for work on time To expect their employees to complete all the jobs assigned to them To expect their employees to be competent at their work To expect that that their employees will behave professionally while at work.

Responsibility of an Employer To make the workplace safe, and to ensure the health and safety of those working in or visiting the workplace you control. To provide all employees with a contract. An employer has a social responsibility, duty and obligation to it’s employees to pay them fairly for the work they do. To pay their employees on time

Responsibility of an Employer (continued) An employer should avoid making major changes to an employees job to the point where their job description no longer reflects the job description in their contract. An employer has a legal obligation to keep all personal information, including medical records, confidential.

Responsibility of an Employer (continued) Workplace Health and Safety All employers have a duty to maintain a healthy and safe work environment. This means employers must: Provide clean drinking water and clean toilet facilities; Provide safe working conditions; Provide medical assistance in the case of emergencies.

Responsibility of an Employer (continued) Most countries’ Constitutions promise every person the right to equality. This means that employers must treat you their employees as anyone else. Employees should not be discriminated against for any reason. Even if you are fired from your job, your boss must pay any outstanding wages and may also have to pay you an extra amount for unused holiday time, severance pay, reasonable notice and/or repatriation. Employers must pay their employees wages while they are off work sick.

Advantages of being a good employer Motivated employees which could lead to: employees who work hard for their employers increased productivity happy working environment, reduced stress, fewer days sick high quality service or production

Disadvantages of being a good employer De-motivated employees, which could lead to them: a. reducing productivity b. providing poor production or service quality c. employees striking or taking industrial action d. breakdowns in communication and relationships with employers e. increased complaints about pay and working conditions f. increased levels of stress / days sick / unhappy workplace.

Responsibility of an Employee to take reasonable care of your own health and safety to turn up to work on time and perform the duties outlined in your job description to complete the tasks set by your manager to the best of your ability be aware of the health and safety of colleagues

Responsibility of an Employee Don’t disclose the employer’s confidential information Look after the employer’s property Be prepared to change when the job changes Be honest

Rights of an Employee Your rights at work will depend on:- your statutory rights, and your contract of employment

Statutory Rights Statutory rights are legal rights based on laws passed by Parliament. Nearly all workers, regardless of the number of hours per week they work, have certain legal rights. Sometimes an employee only gains a right when they have been employed by their employer for a certain length of time.

Examples of Statutory Rights Have a written employment agreement. Which is either an individual agreement or a collective agreement. Be paid at least the national minimum wage Not to have illegal deductions made from pay The right to paid holidays – 4 weeks at present The right to join a union (protection against employers) The right to maternity leave (one year in NZ) Not to be discriminated against Rest and meal breaks Public holidays off (or get a day in lieu if working)

Examples of Statutory Rights (continued) the right to paid holidays – presently four weeks the right to time to join a trade union the right to paid maternity/paternity leave the right not to be discriminated against

Examples of Statutory Rights (continued) You are entitled to rest and meal breaks Be paid on a public holidays if you normally work that day. If you work on a public holiday you are paid time and a half and get a day in lieu.

Examples of Statutory Rights (continued) After six months’ employment with an employer, you are entitled to five days' paid sick leave a year. You can take sick leave for yourself or to care for your spouse or partner, dependent child or parent. Unused sick leave can accumulate up to 20 days. After six months’ employment with an employer, you are entitled to paid bereavement leave.

Examples of Statutory Rights (continued) Trial Period: All businesses provide you with an offer of employment that includes a trial period of up to 90 days. A trial period is voluntary, and must be agreed to in writing in good faith as part of your employment agreement.  A trial period may be agreed to only if you have not previously been employed by the employer.

Good Faith - The Employment Relations Act 2000 The Employment Relations Act 2000 has “good faith” as its central principle. This means that employers, employees and unions must deal with one another honestly and openly. Specifically, the Act: promotes good employment relations and mutual respect and confidence between employers, employees, and unions sets the environment for individual and collective employment relationships sets out requirements for the negotiation and content of collective and individual employment agreements provides prompt and flexible options for resolving problems in employment relationships. Source: http://www.ers.dol.govt.nz/relationships/