Preventing employment relationship problems

Keeping a healthy and productive employment relationship between an employer and employee is an important part of working together for the betterment and benefit of the overall business.  It goes without saying that issues and problems can crop up from time to time, whether intentional or unintentional, the best way to prevent employment relationship problems is to stop issues before they start.

Employment agreements must contain a simple, plan language explanation of how to resolve employment relationship problems and often referred to as dispute resolution.  It should be written clearly so that everyone knows what steps they need to follow if they think or if there is a problem.

Recognising an issue early

An employment issue includes anything that harms or that may harm the employment relationship. There can be many employment relationships, for example between:

• Employer and employee
• Employees
• Manager and employee.

It is important to think through the problem and gather all relevant information.  It is worth spending some time at this stage trying to identify the underlying cause in order to see how the problem might be resolved.  Generally, this would involve collecting the information is the first step in resolving an issue.  It is about being honest as missing out important facts or changing the facts can make the problem worse.

Before taking it up with an employer or employee, it might be a good idea to talk through a problem with another manager or HR department to clarify whether a problem exists and what the issues might be; the cause of a problem might not be obvious.  Always take care to respect the privacy of other and protect confidential information.

Some simple practices that can help make relationships smoother and prevent problems as an employee:

• Take time to communicate clearly. Poor communication can often cause disputes and misunderstandings.
• Raise concerns when they first appear can assist resolving them from becoming larger and/or harder to resolve.
• Making sure you know and understand workplace policies and procedures.
• Being prepared to engage in regular performance check-ins and stay updated on changes in the workplace.
• Use the proper channels to report concerns like bullying, discrimination, or harassment.
• Taking responsibility can help prevent and resolve misunderstandings, confusion or mistakes such as speaking up if you think there’s an error, like an overpayment.

On the other side, here are some simple practices that can help employers build smoother relationships and prevent problems:

• Encourage employees to raise issues right away to avoid escalation.
• Ensure workplace rules and procedures are easy to understand and well communicated, especially policies around resolving problems/concerns.
• Implementing clear systems for setting performance expectations, holding regular check-ins, keeping staff informed, and managing changes or performance issues.
• Having clear processes for addressing issues like bullying, discrimination, or harassment.
• Foster shared responsibility and encourage a culture where everyone helps prevent and resolve mistakes, such as reporting errors like overpayment.
• As long as you follow workplace policies, you can remain flexible and explore different ways to address concerns when considered separately, helping to resolve issues while acting in good faith.

Alternative resolution pathways

Both parties should first attempt to resolve issues between themselves to prevent escalation and maintain a positive working relationship.  If this informal approach does not work, mediation may be considered.  With both parties’ agreement, an independent mediator could help facilitate discussions, identify issues, and propose mutually beneficial solutions.  This service is free and provide by the Ministry of Business, Innovation, and Employment.

If you are needing advice about what dispute resolution process and/or policies you currently have in place or have current issues that you wish to resolve in a proper and fair way, McCaw Lewis has an experienced workplace team who can assist you.

Cree Ratapu is a Senior Solicitor in our Workplace Law Team and can be contacted on 07 808 6069.