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Unfair Dismissal in New Zealand

Been dismissed and something doesn't sit right? New Zealand has no "at-will" employment: a dismissal is only lawful if a fair and reasonable employer could have done it — a genuine reason AND a fair process. Your remedy is a personal grievance, and the clock is short: 90 days to raise it with your employer. Call 0800 461 100 free, any hour, to find out where you stand before the window closes.

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The 90-day clock is strict. You must raise your personal grievance with your employer within 90 days of the dismissal (or of it coming to your notice) — Employment Relations Act 2000, s 114. For sexual harassment grievances the window is 12 months. Outside the window you generally need your employer's agreement or the Authority's leave for exceptional circumstances — a high bar. Raising it costs nothing: tell your employer, clearly and in writing, that you have a grievance and why.

Unfair Dismissal at a glance

The legal test

Whether a fair and reasonable employer could have dismissed in the circumstances — both the reason and the process are examined (s 103A)

Time limit

90 days to RAISE the grievance with your employer (12 months for sexual harassment) — simply telling them, ideally in writing, is enough to stop the clock

Where it goes

Raise it → free government mediation (most cases settle) → the Employment Relations Authority → Employment Court challenge within 28 days

What you can win

Lost wages, compensation for humiliation and injury to feelings, and even reinstatement — New Zealand, unlike some countries, compensates the hurt as well as the pay

Resigned under pressure?

Being forced out can be a constructive dismissal — a resignation in name only, with full grievance rights

What makes a dismissal unjustified

Section 103A of the Employment Relations Act asks one question: could a fair and reasonable employer have done this, in these circumstances? That splits into reason and process. The reason must be genuine and sufficient — real misconduct, real incapacity, real redundancy. The process must be fair: you were told what the concern was, given the information relied on, given a real opportunity to respond, and heard with an open mind before any decision.

The part that surprises people: a flawed process can make a dismissal unjustified even where the employee genuinely did something wrong — and a fair process does not rescue a dismissal with no real reason behind it. Both legs have to stand. Talk it through with a lawyer now →

How to raise a grievance (it is easier than you think)

There is no form and no fee. You raise a personal grievance by telling your employer you have one — clearly, and ideally in writing — identifying what happened and why you say it was unjustified. An email does it. That single step, inside the 90 days, preserves everything; the negotiating, mediating and deciding all come later.

Grievances cover more than dismissal: unjustified disadvantage (demotions, cut hours, disciplinary action), discrimination, sexual and racial harassment, and retaliation for whistleblowing all use the same mechanism and the same clock. Talk it through with a lawyer now →

What you can actually recover

The Employment Relations Authority can order reimbursement of lost wages, compensation for humiliation, loss of dignity and injury to feelings, penalties in some cases — and reinstatement, which remains a live remedy in New Zealand. Awards turn on the facts: the strength of the process failures, what you lost, how the dismissal was handled, and your own contribution to the situation can raise or lower them.

Knowing the realistic range before mediation is the single most valuable piece of preparation — most cases settle there, and people who don't know their number accept the wrong one. Talk it through with a lawyer now →

The path: mediation, the Authority, the Court

After the grievance is raised, the usual first stop is free government mediation — informal, confidential, and where the majority of employment disputes end. Unresolved matters go to the Employment Relations Authority, an investigative body that examines the facts and issues a determination. Either side can challenge a determination in the Employment Court within 28 days. Costs follow events to a degree, which is one more reason well-prepared cases settle sensibly at mediation. Talk it through with a lawyer now →

What to do, step by step

Act inside the 90 daysRaise the grievance with your employer in writing — a clear email stating you have a personal grievance and why. This one step, in time, preserves all your rights.

Build the pictureKeep the dismissal letter, the process emails, your employment agreement, pay records. The process (or lack of one) is usually where these cases are won.

Get your number before mediationCall 0800 461 100 free, any hour, to understand the realistic range — and book a NZ$295 (GST inclusive) consultation with a New Zealand employment lawyer on the call before you sit down to settle.

Unfair Dismissal — your questions answered

I was dismissed for something I actually did. Can it still be unjustified?

Yes. The process matters as much as the reason: if you weren't told the allegation, shown the evidence, given a genuine chance to respond, and heard with an open mind, the dismissal can be unjustified despite real misconduct — though your conduct can reduce the remedies.

I resigned because things became unbearable. Do I have any rights?

Possibly — that can be constructive dismissal: where the employer's conduct left resignation as the only real option, the law can treat it as a dismissal with full grievance rights. The same 90-day clock runs from the resignation, so move quickly.

What if I'm past the 90 days?

You need the employer's consent or the Authority's leave, granted only for exceptional circumstances — a genuinely high bar (serious illness, wrong advice from the employer about your rights, and similar). Get advice immediately; the further past the window, the harder it gets.

How much compensation do people actually get?

It varies with the facts — lost wages to the date of the determination (less what you earned or should have earned elsewhere), plus compensation for humiliation and distress that in current Authority practice commonly runs to five figures in serious cases. Reinstatement is also available. The honest answer for your case needs your facts — which is what the free call is for.

Will making a claim cost me money?

Raising the grievance and government mediation are free. The Authority has a modest filing fee, and lawyers cost money — but many matters settle at mediation, and a NZ$295 (GST inclusive) consultation to price your claim and plan the approach is a small investment against settling cheap.