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StatuteEmployment Relations Act 2000

Section 69I — Employment Relations Act 2000: Employee may elect to transfer to new employer

Text of the provision Official document

69I Employee may elect to transfer to new employer (1) An employee to whom this subpart applies may, before the date provided to the employee under section 69G(1)(b) , elect to transfer to the new employer. (2) If an employee elects to transfer to the new employer, then to the extent that the employee's work is to be performed by the new employer, the employee— (a) becomes an employee of the new employer on and from the specified date; and (b) is employed on the same terms and conditions by the new employer as applied to the employee immediately before the specified date, including terms and conditions relating to whether the employee is employed full-time or part-time; and (c) is not entitled to any redundancy entitlements under those terms and conditions of employment from his or her previous employer because of the transfer. (3) To avoid doubt,— (a) the election of an employee to transfer to a new employer may result in the employee being employed by more than 1 employer if— (i) only part of the employee's work is affected by the restructuring; or (ii) the work performed by the employee will be performed by or on behalf of more than one new employer; and (b) a person becomes the new employer of an employee who elects to transfer to the new employer whether or not the new employer— (i) has, or intends to have, employees performing the type of work (or work that is substantially similar) to the work performed by the employee who has elected to transfer to the new employer; or (ii) was an employer before the employee transferred to the new employer. (c) this section does not affect the employment agreement of an employee who elects not to transfer to the new employer. Example This example relates to subsection (3)(a). A retailer owns 3 gift shops and engages an independent contractor to clean the shops. The independent contractor employs a cleaner to clean the gift shops. The cleaning contract between the retailer and the independent contractor expires. The retailer enters into a cleaning contract with a second independent contractor for the cleaning of 1 shop, and enters into a new cleaning contract with the first independent contractor for the cleaning of the other 2 shops. As a result, the first independent contractor no longer requires the cleaner to clean 1 of the shops. The cleaner may elect to transfer and become an employee of the second independent contractor in relation to 1 shop while remaining an employee of the first independent contractor in relation to the other 2 shops. (4) In this section, specified date means the date on which the restructuring takes effect. Part 6A (comprising sections 69A to 69O) was inserted, as from 1 December 2004, by section 30 Employment Relations Amendment Act (No 2) 2004 (2004 No 86). See section 73 of that Act for the transitional provisions. Part 6A (comprising sections 69A to 69O) was substituted by a new Part 6A (comprising sections 69A to 69OL), as from 14 September 2006, by section 6 Employment Relations Amendment Act 2006 (2006 No 41). See section 2(1)(a) of that Act as to subpart 2 of the new Part 6A of this Act (comprising sections 69OA to 69OG) coming into force as from 13 December 2006. See section 11 of that Act as to the transitional provisions.

Official source: legislation.govt.nz

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