Flexible work hours bill fails to sway employers

A Green Party bill giving employees the right to flexible work hours has been labelled an unnecessary compliance trap by Business New Zealand.

The Employment Relations Flexible Working Hours Amendment Bill passed its first reading last week and will now go to a select committee.

Under the proposed legislation, employees would have the right to apply for flexible or part-time hours where they have fulltime care of children under five or disabled children up to and including 18.

They must have been employed for six months, specify the change they want, explain the effect it will have on their employer, how this can be dealt with and how it will enable them to look after the child.

Employers must "acknowledge that a qualifying employee has the right to work whenever possible" and deal with the application "as soon as possible".

Applications can only be refused because of an inability to reorganise work among staff, recruit more staff, if the change will hurt performance or quality, there is insufficient work at times requested by the employee or because of planned structural changes.

Employees can go to the Employment Relations Authority if their application has not been dealt with promptly or they feel it was falsely declined. The authority could order employers to reconsider the application and pay compensation.

Business NZ chief executive Phil O'Reilly said legislation was not the answer. His group was already working with the Government "on behalf of thousands of enterprises that are committed to providing family-friendly workplaces".

"Employers already know that taking account of staff needs and diversity is the best way to retain staff in a tight labour market."

O'Reilly said research on best practice showed voluntary arrangements were more effective than legal compulsion.

"So it's surprising that the Government helped to send the bill to select committee. Perhaps it is trying not to offend the Greens in election year."

O'Reilly said that with Government support, the bill could become law.

"Enterprises should be focused on competitiveness, not compliance traps.

"A new law isn't necessary. We already have laws against discrimination ... and the growth in part-time jobs in response to employee wishes indicates there is already a mindset of flexibility among employers."

O'Reilly said legislation would create more business administration, potential litigation, discourage employment and damage workplace relations.

"It will not lead to a good outcome for employees but actually a poorer outcome because employers will simply make sure they comply, that they don't trip themselves up on what will inevitably become a tricky area of employment law."

Green Party list MP Sue Kedgley said the bill, based on British legislation, was not intended to hamper employers.

"As in the UK, employers will find where they embrace and allow flexibility, they will get a more motivated and productive workforce."

* Shifting shifts

The bill gives employees the right to request flexible hours.

Employees must:

* Have worked for the employer for six months.
* Care for a child under five or a disabled child up to and including 18.
* Detail how the change will affect the employer.
* Explain how the changes would enable care of the child.

Employers must:

* Acknowledge that a qualifying employee has the right to work whenever possible.
* Deal with the application "as soon as possible".

The Employment Relations Authority can order employers to:

* Reconsider applications.
* Pay compensation to employees.