FAQ: Was I Unfairly Dismissed?

Losing your job can feel shocking, upsetting, and often unfair. It is important to take a moment to check if everything is above board and you haven't been unfairly dismissed.  In New Zealand, employers cannot simply fire someone because they feel like it. The law requires employers to act fairly, reasonably, and in good faith. That means there must usually be a valid reason for dismissal, and the employer must follow a fair process before making the decision.

What Is Unfair Dismissal?

Unfair dismissal happens when an employer ends your employment without a good reason, without following a fair process, or both.  Under New Zealand employment law, employers must act as a ‘fair and reasonable employer’ would in the circumstances. This is set out in the Employment Relations Act 2000.  Even if an employer believes there is a reason to dismiss you, they still need to handle the situation properly. A dismissal can still be unjustified if the process was unfair.

What Counts as a Fair Reason?

Employers may be able to dismiss an employee for reasons such as:

• Serious misconduct

• Repeated poor performance

• Redundancy

• Medical incapacity in some situations

• Abandonment of employment

However, having a possible reason is only half the picture. The employer must also investigate properly, communicate openly, and give the employee a genuine chance to respond. 

Signs Your Dismissal May Have Been Unfair

If any of the following happened, it could suggest your dismissal was unjustified.

1. You Were Fired Without Warning

In many situations, employers should not move straight to dismissal unless the conduct was very serious.  For example, if concerns related to performance, lateness, mistakes, or minor misconduct, you would usually expect:

• Clear feedback,

• Warnings,

• Support or training, and/or

• Time to improve.

If you were suddenly dismissed without any earlier discussion, that may raise concerns.

2. You Were Not Told About the Allegations

A fair process means employees should know exactly what concerns are being raised.  You should normally be told what the allegations are, what evidence the employer is relying on, and that dismissal is being considered.  If you were kept in the dark or only found out after the decision was made, the process may have been unfair.

3. You Were Not Given a Chance to Respond

Before making a decision, employers should listen to your side of the story.  This could include:

• A formal meeting,

• Time to prepare,

• The ability to bring a support person, and

• An opportunity to explain or defend yourself.

If the employer had already made up their mind before hearing from you, that is a major warning sign.

4. The Investigation Was One-Sided

Employers should investigate concerns properly before deciding to dismiss someone.  Ignoring your explanation, refusing to speak to witnesses, relying on rumours, or accepting one employee’s version without checking facts might indicate that the investigation has been unfair. A rushed or biased investigation can make a dismissal unjustified.

5. The Punishment Did Not Fit the Problem

Not every workplace mistake justifies losing your job. For example, dismissal may be viewed as unreasonable if:

• The issue was minor,

• Other employees were treated more lightly,

• You had a long history of good service, or

• The employer skipped lesser disciplinary steps.  

Employers are expected to respond proportionately.

6. You Were Dismissed Soon After Raising Concerns

Sometimes dismissals happen shortly after an employee raises a health and safety issue, complains about bullying, questions pay or entitlements, or makes a complaint of discrimination or harassment.  This can raise questions about whether the dismissal was genuinely for misconduct or performance, or whether it was retaliation.

7. Your Redundancy Did Not Seem Genuine

Redundancy must involve a real business reason.  Warning signs include:

• Your role reappears soon after,

• Another employee takes over your work,

• There was little or no consultation, or

• The employer had already decided before speaking to you.  

Employers cannot use redundancy as an excuse to remove an employee they no longer want.

8. The Employer Ignored Their Own Policies

Many workplaces have disciplinary or performance procedures in employment agreements or workplace policies.  If your employer ignored those processes, this may support a claim that the dismissal was unfair.

9. You Felt Pressured to Resign

Sometimes employees are not formally dismissed but are pressured into resigning. This might happen where:

• The employer says resignation is the “best option,”

• You are threatened with dismissal without a fair process,

• The workplace becomes unbearable, or 

• You are bullied or humiliated.  

This may amount to ‘constructive dismissal’, where the resignation is treated as a dismissal because of the employer’s conduct.

What Can You Do If You Think Your Dismissal Was Unfair?

If you believe your dismissal was unjustified, it is important to act quickly.  In New Zealand, employees usually have 90 days to raise a personal grievance. Missing this deadline can make it much harder to bring a claim later.  Useful steps may include:

• Requesting all relevant documents and correspondence,

• Writing down your recollection of meetings, and

• Keeping copies of emails or messages.
  

It is a good idea to seek legal advice early to ensure you meet deadlines and follow processes to raise a grievance.

Many cases resolve through negotiation or mediation before reaching the Employment Relations Authority. If a dismissal is found to be unjustified, remedies may include:

• Lost wages

• Compensation for stress and humiliation

• Reimbursement of lost benefits

• Reinstatement in some cases

The outcome depends on the facts of each case.

Not every dismissal is unlawful. Employers are allowed to make difficult decisions and address genuine misconduct or performance issues.  But they must still act fairly.  If you were dismissed suddenly, denied a chance to respond, or treated differently from others, it is worth getting advice. Often, the problem is not just why the employer dismissed someone, but how they did it.

Employees in New Zealand have important legal protections, and employers who ignore fair process can face serious consequences.  If something about your dismissal felt wrong, get in touch today for a free consultation.  MathewsWalker.co.nz | 0800 612 355

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Disclaimer: The information provided in this blog is for general informational purposes only and should not be considered legal advice. While we strive to keep the information accurate and up to date, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the blog or the information, products, services, or related graphics contained on the blog for any purpose. Any reliance you place on such information is therefore strictly at your own risk. For specific legal advice tailored to your situation, please contact a qualified legal professional.