How long is notice?
Employment NZ says the employment agreement sets the notice period. If it doesn't, 'reasonable notice' applies, generally two to four weeks depending on the role, how long it takes to train a replacement, length of service and industry norms. Both sides can agree to a shorter or longer period, and it should be recorded in writing. If you don't agree to a shorter period, you must work the original one.
For a redundancy, the proposal stage (consultation) is separate from notice. Notice normally starts after the decision is confirmed. Check your letter: 'notice of termination' is different from 'proposal to disestablish'.
Three ways notice can be handled
| Option | What happens | Needs your agreement? |
|---|---|---|
| Worked notice | You keep working and are paid as usual. | No. This is the default. |
| Payment in lieu | Employment ends when notice is given, and you're paid for the notice period in your final pay instead of working it. | Yes. Ideally in writing. |
| Garden leave | You stay employed and paid but don't work. It doesn't use up annual leave. | Yes. In writing. |
Taking leave during notice
You can take accrued paid leave, such as sick leave, annual holidays or alternative holidays, during notice. An employer can decline annual or alternative holiday requests for a good reason. Some agreements say leave taken in notice doesn't count towards it, which pushes your last day later. Check the wording.
Ask for paid time to attend interviews. Many employers will agree, and some agreements require it. Put the request in writing.
If you get no notice or short notice
- If you were dismissed with no notice (other than for serious misconduct) and there's no agreed payment in lieu or garden leave, Employment NZ says you may raise a personal grievance.
- If the employer wants to shorten notice without your agreement but you're willing to work it, they must still pay the full notice.
- Count 90 days from when you were told you were dismissed.
- Ask for the missing notice pay in writing first. A short email often fixes it.
Requesting your notice entitlement
Hi [Name], My employment agreement (clause [x]) gives me [n] weeks' notice. I was told on [date] that my employment ends on [date], which is [n] days. Please confirm the arrangement in writing. If you wish me not to work the notice, I'm willing to consider payment in lieu of the full period, paid in my final pay together with annual leave. Kind regards, [Name]
Worked example
Aroha earns $1,400 gross a week and has four weeks' notice in her agreement. She is told on Monday 2 November that her role is gone. If she works notice, she is paid normally to Friday 27 November. If the employer proposes payment in lieu and she agrees, she leaves on 2 November and gets $5,600 gross as notice pay, plus annual leave owed. She should check whether this changes anything for her Jobseeker application, which depends on her income in the weeks before applying (see the stand-down guide).
Sources
- Employment NZ: Notice periods (opens in a new tab)
- Employment New Zealand: Redundancy (opens in a new tab)
- Employment NZ: Final pay (opens in a new tab)
General information only. Confirm with the agency for your situation. Spotted something out of date? Email help@unemployed.nz.