Many applicants get a work contract instead of a permanent job. If you are one of them, here is an article showing you contractor employment rights in New Zealand, and what would happen in case of dismissal.

What You Need to Know Before Becoming a Contractor:

There are many reasons employers hire contractors. This employment regime is one of the options applicants choose. For example:

-Immigrants coming to New Zealand are having professional access through a work contact

-Small budget companies look for contractors, as they have limited vacancies.

-Employees may choose to work under contract to improve their CVs and try various professional options. Find out about the  Tips for Creating the Best NZ CV Style

After checking the motives for becoming a contractor, let's look at this professional option's merits.

A contractor has a specific set of agreements that vary depending on the professional field or sector. In general, the majority of contractors in New Zealand work in the private sector. They apply for the job and discuss the application details during the interview. They are also assigned to sign a contract that involves the duration of work, final agreements, and arrangements. Contractors are also known as independent contractors. They are excluded from the following benefits:

-Paid medical leaves: contractors are responsible for their health status. Employers are not responsible for covering the medical checks and recovery process.

-Paid national holidays: contractors do not work on Sundays. They are not concerned with national holidays.

-Paid taxes: contractors are not excluded from taxation.

Take a look at; 7 Things You Must Know Before Entering into a Subcontractor Agreement

Apart from these exclusions, let's take a look at the difference between employees and contractors:

Employees Vs. Contractors:

There are many differences between employment regimes in New Zealand. If you are curious to find out the professional destination of each career and its way of development, sign up to Fratres.

Certainly, employees have more advantages than contractors.

-Employees get paid for sick leaves, national holidays. Once leaving for a sabbatical leave, they can find their older position waiting for them. Independent contractors are excluded from leaving work. If they have an urgent matter, they should take the permission of managers or employers first.

-Concerning salaries, employees are paid overtime work, without considering extra hours. Contractors are paid depending on the agreement. The contractor's payment is defined through working hours, delivery of the project, the rate of performance, and the extra contribution. Contractors can get commissions if they are working for sales or real estate companies.

-Foreign contractors can benefit from accommodation and paid flight tickets depending on the generosity of the business owner, while it's rare for local employees to get a job with accommodation.

Employees get paid during the lockdown, while many contractors don't get the same advantage.

These were the major differences. Now, what would be the case in dismissal?

Dismissing Contractors:

If the duration of work is still on, but the contractor is damaging work negatively, there is no other option than to put things more transparent and consider dismissal.

Employers who are recruiting contractors should follow some etiquette rather than firing contractors for weak reasons.You can dismiss contractors in case of misconduct, inappropriate behavior, overcoming the limits, etc.

Remember that dismissal is the final stage. Various steps are preceding this decision:

1.Warning:

 If your contractor is not committed to the workplace policies or rules, you need to warn this contractor about what you have noticed by sending a warning. You can also clarify the contract rules and identify the conduct that leads to dismissal at the very beginning.

2.Investigation:

Before resorting to dismissing your contractor, you should make a meeting to identify the responsible behind the problems. According to the level of damage and harm, you can decide a dismissal. Take a look at  Exit Interview Questions New Zealand

3.Reporting against violence or abuse:

If you reach the top, you can file a complaint against your contractor and seek to sue him and her for the abuses. The dismissal will be an automated procedure included with the legal pursuit. How to Prevent Workplace Bullying in New Zealand?

4.Suspension

Whatever is the behavior, suspension can be included in the employment agreement. This process is taken in case of sending the contractor for an improvement plan or for legal follow-up. Suspension can culminate in dismissal or in granting a second chance.

5. Provide written evidence

In case of resorting to dismissal, this decision should be equipped with the proper evidence. You can write a dismissal letter that includes

A clear title of the subject

The name of the contractor in question

The details of the dismissal can be highlighted through sentences from the employment agreement listed in company policies that identify dismissal cases.

Invitation to leave the workplace and return what belongs to the job.

In case of not coping with the dismissal, contractors have the right to meet employers to discuss the allegations.

When you are going to grant a direct dismissal, you should consider this verdict when you have gone through one of these cases:

-Your contractor is incompetence and failed after multiple performance management plans

-When your contractor is under testing, such as a period of trial or a probationary period. Dismissal is possible in case of not meeting the expectations.

-When your contractor committed offensive mistakes and misbehaved with co-workers.

These were the things to do before dismissing a contractor in New Zealand.