Employers need to hold off redundancy decisions

Employers need to hold off redundancy decisions

Employers whose businesses have been affected by the Canterbury earthquakes should hold off making decisions about such things as closures and redundancies, according to the New Zealand Council of Trade Unions.

Already, a number of employers whose businesses premises have been destroyed or damaged by the earthquakes have told staff that they will close permanently, and have advised them that their jobs no longer exist.

According to the NZCTU, such decisions should be delayed until more is known. “The government’s emergency wage subsidy payments and the support programme for employers will allow employers the time to assess their situations and make future plans on a fully informed basis,” said Canterbury NZCTU spokesperson Marty Braithwaite.

In the next few days, Civil Defence will allow many business owners to get access to damaged premises to retrieve important equipment, such as computers and files, and in the next weeks more information will become available.

“We are already aware of employers who decided, in the wake of the earthquake, to abandon businesses, but have had time to reassess and have now determined that they will be able to continue to operate, albeit in a changed manner,” Mr. Braithwaite continued. “While there will be a premium demand for premises, there are areas in the city which are operational and many businesses will continue to operate.”

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