Changing your staff from casual to full or part-time status is much more common than the other way around, and can occur when both the employee and employer consent to it. 

However, what about the opposite? Is it possible to change your staff from a full-time (or part-time) employee to a casual employee? What impact would this have on your Employment Contracts

Why Would You Want To Change Staff From Full Time To Casual? 

Employees might request to move from full-time to casual work to maintain links to their current work, while they seek – or have been offered – permanent employment elsewhere. 

From the employer’s perspective, you could seek to make this move in response to changes in your operational requirements, where the number of permanent staff needs to be decreased.

We are likely to see this much more, given the effects of COVID-19 on businesses in New Zealand. 

In this scenario, permanent staff may be made redundant, and then given the option to work as casual staff members instead. 

What Are the Implications?

In a recent case, staff brought personal grievance claims when they were made redundant and then offered casual positions. The Employment Relations Authority’s decision was in favour of the employer, as there was a genuine need to reduce full-time staff due to a change in workplace needs. 

Even though the Employment Relations Authority ruled in favour of the employer in this case, it’s still wise to consult with a lawyer before making this move. As the employees will continue to work within your business, you don’t want to create any resentment—and, of course, you’ll want to avoid any unjustified dismissal claims

Contact An Employment Lawyer

Some of these options – such as making your staff redundant to then offer them casual employment – are risky to undertake without the guidance of an employment lawyer. As we saw above, staff may bring personal grievance claims if this is not carried out correctly. 

Making staff redundant, in any case, is a difficult process which must be followed correctly. If you’re thinking of changing your Employment Contracts, speak with our experienced employment lawyers. 

We can be reached for a free, no-obligations consult on 0800 002 184 or at [email protected].  

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