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Final Journal Available online only: Nov - Dec 2021
COVID-19
Given the current economic outlook and the critical need for all business owners to take an active role in overseeing the response, we feel compelled to re-emphasise the key messages that almost all professionals are now passing on to their clients.
The first and last thing that I will say about that in this article is this: There are many realistic scenarios that could pan out over the coming months, some much more positive than others, but if you prepare for the worst you will be well-placed to tackle whatever comes your way. Here goes…
The times they are a-changing. Some businesses will be frantically working to get back up and running. Others will be champing at the bit, but still have some time on their hands. Whatever your position, do try to set aside time at some stage to pause and assess how it went. Seize the moment and opportunity to learn from the lessons of the past several weeks and see if they can provide a lasting benefit for your business.
In just a couple of days New Zealand will be returning to normal....or will it? Whilst we can be very grateful to live in a country that has put the health and lives of its people first, the impact has been huge and there are bound to be changes.
Covid-19 has brought into focus the importance of understanding your business and its potential. To illustrate a point, consider the following hairdressers…
Funding from the initial $500m COVID-19 response health package has been allocated to help Kiwis cope at this challenging time.
The Ministry of Health is making three distinct apps available free of charge to all New Zealanders at this time.
An employee can be required to work on a public holiday only if the individual would otherwise have worked on that day and if the employment agreement requires the person to work on public holidays. In all other circumstances, employees need only work on a public holiday if they agree to do so and this should be recorded in writing.
Employers may be eligible for support via the Wage Subsidy Scheme or the Essential Workers Leave Scheme if the employer has been adversely affected by COVID-19.
The following table has been prepared by the Ministry of Business Innovation and Employment (MBIE) to provide guidance on employee leave and pay, to ensure compliance with the Government Covid-19 rules.
Deploying siloed tactics does not equate to purpose-driven strategy. This is as true in purpose-driven strategy as any other. While there is potential to deliver social impact this way, it can slip easily into “special projects” that organisations do on the side and the public is savvy in recognising authenticity.
The legal distinction between a contractor and employee is changing. Recently there have been a number of significant Employment Court decisions shaping the law in this area.
A recent decision of the Fair Work Commission (FWC) in Australia provides timely “food for thought" as New Zealand employers consider whether they can require their employees to be vaccinated against COVID-19.
Much of what you watch, listen to or buy comes from recommendations made by Al algorithms. More and more, algorithms are helping us to make both subtle and important life altering decisions. So, what does this mean for marketers?
As the COVID-19 pandemic worsens due to new South African, UK and Brazilian variants, and a vaccine becomes accessible, employers across the globe are asking whether they can require employees to be vaccinated against COVID-19.
The Covid-19 pandemic, which remains a risk for all New Zealand, has highlighted how important it is for people to stay home when they are unwell.
If you export goods and services, you may face hurdles doing business with overseas customers. For example: Cancelling contracts or defaulting on payments, along with day-to-day issues, like managing working capital, securing bank guarantees or funding growth.The New Zealand Export Credit Office (NZECO) provides a range of trade credit insurance and financial guarantees backed by the New Zealand Government to help businesses secure export sales, manage payment risk and access finance via your bank.
As we head into 2021, consumer facing organisations in New Zealand may be lagging behind a dramatic shift in consumer behaviour.
It’s been one year since the Government introduced its new procurement rules – swinging its $42 billion wallet in the direction of sustainable, socially responsible spending. Is that massive spending power starting to pull our economy in the direction the Government wants?
Grant Thornton New Zealand has recently conducted research into how much progress is being made within agencies, to get a sense of how successfully the new rules are being implemented.
Large businesses can dedicate money and resources into marketing departments. Small businesses don’t have that luxury, so they need to be careful about where to invest their hard-earned money. Consider this a little cheat sheet. Here are some basic concepts we need to clarify before moving forward.
Set out below are the steps that an employer must follow when undertaking any disciplinary process regarding an employee. In addition the specific requirements of any employment agreement also need to be followed by the employer.
When an employee is accused of not meeting their employer’s expectations, it often results in a lots of stress and anxiety for the employee. It’s no surprise then that employees frequently seek advice about their rights and options when this occurs. It can be very difficult to know what to do, and having good support may take some of the pressure off.
A personal grievance must be raised with the employer within 90 days after the event or action that led to the personal grievance, or within 90 days after the employee became aware of the event or action, unless the employer agrees or the Employment Relations Authority allows it. There must be exceptional circumstances, and it must be 'just' to allow it.
A personal grievance is a complaint made by an employee against an existing or former employer. A complaint can be the result of the following…
Small businesses have many marketing challenges. One of these challenges is how to determine what makes their business stand out from the competition. Being able to differentiate your business and communicating your unique capabilities that your competition does not have is paramount to attracting your ideal client.
Customers are rewarding businesses that “authentically - and holistically - meet their needs”. Successful marketers will be those who invest in agile marketing strategies, according to the latest study by Deloitte Insights.
There is a presumption that the trustees must disclose basic trust information to every beneficiary and trust information to beneficiaries who request it.
The art of having a difficult conversation is not something that necessarily fits within the Kiwi culture.
If you want to change your professional or personal life for the better, you must start with resolve and determination, and the following resolutions are provided to help you improve the way you function as a leader. Refer to them at the start of each month, photocopy and decide which you will focus on. How determined are you to improve?
If you have a family trust set up a number of years ago, it’s good practice to review it to ensure it is still ‘fit for purpose’. Leading on from that is the question that is often asked of us, “Should I bring my trust to an end?”
Change in the modern world is all around us. Be it transition to a new organisational framework, strategy or structure, implementing new tools or processes, increased competition or simply shifting business goals. Even where an organisation might be resisting change, things still change around it.
As a business owner you will understand the importance of clear goals, but will have also learnt that you need the help of your team to be successful. Staff are an essential resource in helping you achieve business success, and there are a few golden rules to convincing your team of the authenticity, importance and relevance of your strategic goals.
Our working age population is shrinking at the same time as our retirement population is expanding. Talent shortages are on the rise. So employers and workers need to think differently about the nature of work and keeping it sustainable for longer.
For a guarantee to be enforceable, the requirements set out in section 27 of the Property Law Act 2007 (Act) must be strictly complied with. This is what the NZSC held in Brougham v Regan.
The Credit Contracts Legislation Amendment Act 2019 amends the Credit Contracts and Consumer Finance Act 2003 and introduces, amongst other things, a new certification regime and a new due diligence duty.
Even though the Health and Safety at Work Act has been in force since April 2016, WorkSafe has recently observed that “too many organisations remain locked in a ‘legal obligation’ mind set”.
In a recent decision, the Employment Relations Authority imposed a penalty on an employer for providing a verbal reference in breach of a Record of Settlement.
In our previous article on trustees’ disclosure to the beneficiaries we summarised the requirements of the Trusts Act 2019 (“the Act”) in relation to disclosure. This article is designed to provide trustees with more guidance on how they should approach disclosure to beneficiaries.
There is a presumption that the trustees must disclose basic trust information to every beneficiary and trust information to beneficiaries who request it.
The 12 New Zealand privacy principles that have underpinned our legislation since 1993 have been increased to 13 principles and some of the principles have been changed…
Major changes to the law regarding Residential Tenancies Act will come into force on 11 February 2021. The changes modernise the law relating to residential tenancies, reflect the current rental market, give tenants more security and stability, and protect landlords’ interests.
It is a good time for employers to draw on lessons learnt from recent experience with the lockdown. Taking the time to prepare and develop your policies and practices now will help to ensure your employees and work environment are safely managed and to ensure you meet your legal obligations at any alert level.
If cannabis is legalised, what does this mean for employers? Will employers have to accept employee’s turning up to work stoned?
Directors of NZ companies now have temporary protection from liability under the two insolvency-related directors’ duties required under NZ law. In this article we discuss these “safe harbours” and offer our thoughts on what directors should be doing now to help get the protection offered.
Continued squeeze on directors - Increased litigation risk and reduced protections
The Government has introduced the Fair Trading Amendment Bill into Parliament. This proposed legislation is the result of the Government's recent work on unfair commercial practices and the review of consumer credit law.
This advice is for employers looking to offer fixed-term employment to Working Holiday Visa ('WHV') holders.
Changes to the Trade Marks Act 2002 came into effect on 13 January 2020, which will impact registered trade mark owners.
The main changes are set out in this article…
Having an executor of your will is like having a manager of your affairs (your estate) after your death.
New Zealand’s privacy law is currently undergoing a major revamp, with the 1993 Act expected to be replaced by mid-2020. Here, Dan Winfield of Duncan Cotterill discusses the three things you need to know.
Here's what we recommend…
Restraint of trade clauses are common in the sale and purchase of a business and in some employment agreements. In a business context, they offer protection to a buyer who has acquired a business and prevent the seller from directly competing against the buyer
Immigration Minister Iain Lees- Galloway has announced significant changes to New Zealand’s employer-assisted work visa framework. These changes will affect the way employers recruit migrants for temporary work in New Zealand. Introduced in stages, the changes will be fully implemented by 2021.
It is important that trustees and beneficiaries are aware of the changes and the impacts on their rights and obligations and that trustees use this 18 month transition period to ensure their practices align with the provisions of the new Act.
The Residential Tenancies Amendment Bill (No 2) received its Royal Assent on 30th July 2019 bringing about significant changes for landlords to pay attention to. One such change concerns careless damages caused by tenants at rental properties.
"As any internet user knows, website terms and conditions are burdensomely long. One rarely reads the fine print when they create a social media account, buy an e-book or movie, use a ridesharing service, or download a mobile app." - A New Zealand take.
A recent decision of the Commerce Commission again sends warning bells to businesses about misleading their customers… intentionally, unintentionally or by omission.
This issue we talk about MyIR, who is an independent contractor or employee and you probably know that the property brightline test was extended to 10 years, but did you know the other significant change?
On 28 February 2021, Auckland moved to COVID-19 Alert Level 3 for at least seven days, while the rest of New Zealand has returned to COVID-19 Alert Level 2. These changes in Alert Levels can result in significant economic effects and it’s important for businesses to understand what government support is available.
With 2021 getting off to a roaring start, there are a number of tax issues which you may need to consider.
With increased technology, data matching and information sharing, Inland Revenue has far more information available to it to determine whether taxpayers are returning all income.
Thirty-one March, the standard New Zealand balance date is not far away. This article discusses year-end issues that it may be prudent to consider.
The case itself was about the Commissioner of Inland Revenue taking steps to liquidate the company because of non-payment of tax debt. However, it also highlights several fundamental tax and company law issues.
The impending implementation of the Trusts Act 2019 has prompted many people and their advisors to question whether existing trusts should be retained or wound up. This article focuses on potential tax issues that trustees and their advisers may wish to consider.
The current unprecedented times have forced many businesses to reconsider their supply chain, including rethinking their import and export strategy to meet customer demands.
This issue of Tax Bites focuses on the tax obligations relating to the depreciation of commercial buildings, Writing-off of low value assets, the wage subsidy and the remission of UOMI in the current COVID-19 environment.
I have received several queries in respect of “working at home” costs during Covid-19 lockdown. This article provides a summary of the position…
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If you have not already, now is the time to ensure your team is thinking strategically about recovery. It is easy to get overwhelmed with the response process and the complexities of adapting operations to our new normal. It is, however, vital for long term success to allow time for some strategic thinking.