Facing a Restructure? How to Protect Yourself and Your Rights.

A restructure at work can feel like walking on a tightrope. When your employer changes teams, removes roles, or closes parts of the business, the uncertainty can make you anxious and stressed about your job.  Its important to know your rights so you can engage in the process and protect yourself from the fallout.  

What does it all mean?

Many terms are thrown about during a change process. Here are some key definitions to what is being proposed:

Restructure: When a company changes how work is organised or who does what. It might include new teams, new roles, or merging job duties.

Disestablishment: A formal term meaning a position is being removed altogether. There is no replacement role.

Redundancy: When your job no longer exists. This happens because the role has changed, ended, or isn’t needed anymore.

These changes are a normal part of business, but they can affect you personally. The key is understanding your rights.

Not every restructure means you will lose your job. Sometimes companies make changes to your team or role, but your job stays. If your role is removed or changed so much that it is no longer a fit, redundancy or disestablishment may occur. Here are some common signs that your role might be at risk:

• The work you do is being automated, moved, done by someone else, or is no longer required,

• Your job title is being removed or replaced with a different one that doesn't fit the role, or

• There is overlap in what your team and another team does and not enough work for everyone.

If you see these changes occurring, its a good idea to get ready, know your rights, and be ready to take action.

What are my rights during a restructure or redundancy?

New Zealand employment law gives you rights during these changes.

Fair Process (Procedural Fairness)

Your employer must follow a fair process. This means they need to:

• Notify you about the changes early

• Consult with you, listen to your input and consider your feedback

• Provide information on why the role is changing or being removed, and what criteria will be used to determine who will be made redundant

• Consider alternatives, such as redeployment (moving you to a different role)

• Give time to think, ask questions, and respond

They must show they have followed a fair process from start to finish.

Redundancy Compensation

If your job is truly redundant or disestablished, you may get redundancy compensation. Your employment agreement should spell out what you get. If it is not clear, seek advice to find out if you still could be entitled to compensation.

Redeployment or Alternative Roles

Your employer should look for other roles you could do, based on your skills and experience. They should talk these through with you and give your the opportunity to apply if appropriate.

Notice Period

Even if your job is ending, you must get notice before your last day. This should be specified in your employment agreement or, if not, covered by law (at least the default notice period).

How can I protect myself?

If you are facing a restructure or redundancy, don't wait. Being proactive, gathering information and seeking advice can help you ensure your know your rights and are prepared for what happens next.

1: Know Your role and agreement

Locate and read your employment agreement. Note any clauses on redundancy, disestablishment, or redeployment and check what compensation and notice you're entitled to.

2: Engage with your employer

Attend all meetings regarding the proposed changes. Prepare and clear questions about the process including:

• “Why is this role being removed?”

• “What alternative roles are available?”

• “How was I selected for redundancy?”

If you don’t understand, ask for answers in writing and keep them as a record.

3: Document everything

Write down meeting dates, attendees, and what was said. Keep any emails and documents about the restructure. Note any changes as they occur such as new tasks, removed tasks, new roles created etc. A diary of evens can prove later whether your employer followed a fair process.

4: Ask about redeployment

Ask if there are open roles you could move into. Ask about training, support, or job creation for displaced staff. Where possible, get this information in writing/email as a record of what is being offered. Being proactive about other opportunities shows you want to stay and helps build your case.

5: Seek advice from an expert

An employment advocate can check the details of your employment agreement, advise if the process is fair, help you ask the right questions, explain your rights, including redundancy compensation and support you in meetings or mediation.

What happens next?

Once the consultation process has been carried out and redeployment options explored, you should be advised of the outcome. If the restructure is resulting in your redundancy, you should receive formal confirmation of this. You will be given notice and you may continue working during your notice period or this could be paid out in lieu. You should receive your full pay and benefits until the last day of your notice. You may negotiate with your employer to take leave or reduce hours during your notice period to allow you to look for new opportunities or seek support.

How do I know if the process was fair?

Employers must follow a fair process. If they don't, the redundancy could be unfair or constructive dismissal. Some signs to be aware of include:

• No consultation or little notice of the changes,

• No consideration of alternative roles or options ,

• A biased selection process or lack of criteria for selection, and/or

• A sudden announcement of changes without warning.

If this happens, you may have a personal grievance for unfair redundancy.

How can an advocate help?

If you're facing a restructure, redundancy, or disestablishment, don’t wait. Acting early gives you power and there are deadlines for when a complaint must be raised.  An advocate can help by:

• Reviewing your employment agreement and other relevant information,

• Preparing you for meetings and negotiations,

• Checking if the process has been fair,

• Negotiating compensation or redeployment, and

• Representing you if it goes to mediation or Employment Relations Authority.

Changes at work involving restructures, redundancies, and disestablishment can be stressful but you don’t have to face them alone. Know your rights. Keep careful records. Engage with your employer. And most of all, seek help early. If you believe your redundancy or restructure is unfair, get in touch with an expert. Call now 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.