6:35 am today

How even non-striking workers might not be paid in a strike

6:35 am today
Striking teachers march through Wellington on May 10, 2023.

Teachers on strike hit the streets in 2023. Photo: RNZ / John Gerritsen

Industrial action such as this week's 'mega strike' can cause significant issues for employers, one employment law expert says.

Tens of thousands of teachers, doctors and nurses will walk off the job on Thursday, demanding better pay and working conditions.

Here is how it works from a pay perspective.

Pay probably stops - and not necessarily just for strikers

Employers do not have to pay employees if they suspend them when they are on strike.

They can do this if they state they plan to suspend the employee, and which section of the Employment Relations Act they are being suspended under.

The suspension lasts until the end of the strike, unless the employer stops it earlier - but it does not break the employee's term of service. Suspended employees do not have to be paid.

Alison Maelzer, a partner at law firm Hesketh Henry, said strikes were "very problematic for employers".

"Which of course, is the point - strikes are designed to be disruptive to create bargaining leverage."

She said employers could also suspend non-striking workers if there was not work to be done.

"This would mean that non-striking workers, for example teachers who are not in the union, do not get paid.

"Again, employees need to be given notice of suspension and an explanation of why they are being suspended - ie. because work is not available."

She said non-striking workers who had been suspended could challenge the suspension.

"Perhaps on the grounds that there is in fact work available for them - teachers might argue that even though the school is closed for students, there is work - planning, marking, preparation - available for them to do."

Employees can go to the Employment Relations Authority for a compliance order if they want to challenge the suspension. They can also ask for remedies, such as back pay of wages, if it is found that they should not have been suspended.

Most schools are providing alternative work for non-union staff on this upcoming strike day.

If there was a partial strike or striking workers continue to do some work, they could have just part of their pay deducted. Maelzer said that was unlikely to be relevant this week because those striking were fully withdrawing their labour.

Only employees in the relevant union can strike

Maelzer said only employees who were in the relevant union could strike, and only in support of bargaining for a collective agreement that would bind them.

"It is crucial for employers to identify who is able to strike, and who is actually striking, before taking any action to suspend those employees. Each striking worker needs to be given a notice of suspension once they have confirmed that they are striking."

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