The decision announced yesterday awarding a woman over $16,000 for unjustifiable dismissal from her job could have a different outcome under the 90-day probation law applying now, the Employers and Manufacturers Association (Northern) says.
Nicole Schneider was employed by BBX Management Limited, now called Barter Management (NZ) Limited, in January last year as a receptionist and assistant until she was dismissed without a reason given on March 20.
She had been working for the company for less than 90 days.
New legislation introduced last year gives employers the option of taking people on for trial periods of 90 days, with agreement from the employee, but with the option of dismissing them without legal repercussions, provided conditions are abided by.
EMA employment relations manager David Lowe said the case arose in January last year, before March 1 when the present 90-day probationary employment law came into force.
"If it occurred now the outcome could be quite different," he said.
"Under the law now, and provided the employee and employer agree in terms of that law, then they could have a 90-day probationary period to work under.
"But both employee and the employer have to agree to it in writing, and the law applies only to employers with fewer than 20 staff."
The Employment Relations Authority said Ms Schneider's dismissal in the course of a performance review without any warning her position was at risk was unjustifiable.
"The 90-day trial period did not exempt an employer from the duty of providing the opportunity for an employee to be heard when dismissal is contemplated."
The company had carried out the dismissal in a manner which indicated a "total lack of good faith or fair process", the authority said.
It also said Ms Schneider had been "unjustifiably disadvantaged" in her employment through a lack of adequate training.
It ordered the company to give her 13 weeks pay totalling $7200, and $9000 compensation.
