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An employment contract is a legally binding agreement between an employer and employee made when an employee agrees to work for an employer in return for pay.

The purpose of a written employment contract is to specify rights, obligations and conditions of employment.

Before you build an employment contract, you should know the law of employment. You need to discuss with employer to know the conditions of employment, such as Place of Work, Hours of Work, Wages, Public Holidays and Annual Holidays, etc.

Though there is no obligatory requirement for the information to be included in a written contract of employment, employers should ensure the contract addresses certain key issues and meets all minimum employment conditions. 

An employment contract can be made up of several parts. However, the written declaration must be in one document and must include at least:

  • Names and details of employers and employees
  • Date employment begins
  • Place of work
  • Job description
  • Who employees report to in the organisation
  • Employment status (e.g. full-time, part-time or casual)
  • Pay
  • Working hours
  • Holiday entitlements

Depending on the type of trade and the actual requirement, select the remaining provisions. For example, some employers decide that there will be no overtime or other bonuses; the employees will get the minimum amount of sick leave and annual leave the employers have to provide by law, but nothing extra. So the employment contract should include sick leave and annual leave, no overtime and other bonuses. If the employee will be learning confidential and sensitive information about your business, you can insert confidentiality clauses that prevent the employee from disclosing the information or using it for personal gain.

Through preparation of employment contract, I learned a lot of knowledge, such as how to build an employment contract, what should be included, minimum conditions of employment and other obligations. 

There are some provisions that must be included in employment agreements by law, and there are also a number of minimum conditions that must be met regardless of whether they are included in agreements. Employment law also provides a framework for negotiating additional entitlements.


For information see the website below:




Hubbard, J., Thomas, C., Varnham, S. (2010). Principles of Law for New Zealand Business Students.

ACC scheme

The Accident Compensation Corporation (ACC) is a New Zealand Crown entity responsible for administering the Accident Compensation Act 2001.

ACC is to help prevent the occurrence of accidental injuries, while helping people who have been injured in an accident as soon as possible return to work and daily life. It provides comprehensive, no-fault personal injury cover for citizens, residents, and temporary visitors.

When people hurt in accidents, they do not worry about economic difficulties affecting the treatment. So long as the accident occurred in New Zealand, people do not have to worry about expensive medical costs. (“Accident Compensation Corporation”2011)

For business

All businesses must purchase personal cover from ACC for their staff. Payments to ACC for personal injury cover are called levies.

ACC can support businesses when their employees are injured – whether it is work-related or not. And the ACC can help businesses manage injured employees by working with them to create injury management processes that are appropriate to the needs of their organisation.

ACC is the sole and compulsory provider of accident insurance for all work and non-work injuries. There are some differences between work and non work related injuries, for example, businesses are liable to pay first week compensation for work injury. The employees provide ACC with an ACC3 Employee Earnings Certificate and the ACC start paying weekly compensation to the employees from the second week onwards. (“ACC for-business”2011)

New Zealanders cannot sue for personal injury

The ACC Scheme is administered on a no-fault basis, so that anyone, regardless of the way in which they incurred an injury, is eligible for coverage under the Scheme. Due to the Scheme’s no-fault basis, people who have suffered personal injury do not have the right to sue an at-fault party, except for  exemplary damages. 

I think it is a good thing that New Zealanders cannot sue for personal injury.

ACC covers all personal injury claims in New Zealand. This approach is easy and convenient. People who have suffered personal injury can concentrate on treatment; don’t spend a lot of time on investigating responsibility for that accident.

New Zealanders cannot sue for personal injury that does not waste the judges’ time. In most cases, the occurrences of accident are not caused by the negligence of others, therefore, they should not be assume legally responsible for causing accidental injuries and damage.

For information see the website below:



Accident Compensation Corporation.(2011).In Wikipedia, the free encyclopedia.

Retrieved April 28, 2011, from


ACC for-business.(2011).In ACC.

Retrieved April 28, 2011, from


A “common law system” is a legal system that gives great precedential weight to common law, on the principle that it is unfair to deal with comparable facts differently on different instances. (“Common law”2011)

 The judicial systems decisions and interpretation of statutory law provisions by judges are becoming a part of the common law. Other judges are dependent on these decisions as a guideline or as a necessary precedent to follow, while making their decisions.

 Follow the common law, the business can refer to the precedent to solve problem. I think this is a fair, expedient and efficient method.

Reflect on the case, the lawyers use many cases and sources to support their arguments on the meaning of the word ‘work’. The judge will consider and review these cases and make the decision. These decisions are based on a precedent and so have a stronger basis. People are acquainted with what to anticipate. There is a little bit of predictability. The procedure is easier and more sensible as there are no permanent, long rules but actual situations that have already been resolved.


Common law.(2011).In Wikipedia, the free encyclopedia.

Retrieved April 25, 2011, from


The Privacy Act 1993 is important and it is New Zealand’s chief privacy law. Many businesses may collect their customers’ information, such as bank, Inland Revenue, Study link. You may often be required to provide name, address, telephone number, bank account or credit card numbers. However, pursuant to the Privacy Act 1993, personal information can only be collected for a lawful purpose connected with the organisation’s functions or activities. Collection of the information must be necessary for that purpose. For example, you were asked to provide credit card number when you go to a company interview, you can refuse to provide.

An agency must ensure the personal information is protected by sensible safeguards. There should be appropriate physical safeguards against loss, misuse or theft of information. Computer and software systems should ensure against unintentional loss or damage of information and unauthorised use. When you need to provide your personal information to any third parties, you must confirm they are conscious that they must not make any unauthorised use or leak of it. If personal information is completely open, people will live in anxiety. Many statutes set out specific rules to protect privacy or confidentiality in particular situations. So, for example, the Department of Inland Revenue must keep information about tax records secret, except in certain limited circumstances.

When Information is no longer needed it should be destroyed. The illegal theft and fraudulent use of personal information is illegal.

For information see the website below:




Hubbard, J., Thomas, C., Varnham, S. (2010). Principles of Law for New Zealand Business Students.

I think this news involves criminal law and public law. Criminal law is part of public law. This case concerns the relationship between citizen and state. Two army officers have admitted planning to sell hundreds of Ecstasy tablets to their military friends for a New Year’s Eve part, and they pleaded guilty in the Auckland District Court this week. The charge carries a maximum penalty of 10 years in prison. The case complies with the criminal proceedings.

Drug is very dangers, unauthorized sale and use of drugs is immoral, unethical and illegal.

Firstly, using large amounts of Ecstasy can result in auditory, visual and tactile hallucinations, intense paranoia, irrational thoughts and beliefs, delusions, and mental confusion. If it overdoses can also cause headaches, rapid heart rate, coma and death. It is psychologically and physically addictive.

Secondly, it seriously affects the safety of society. Number of traffic fatalities, handgun or violent crimes and murders annually related to drugs.

Thirdly, drug has an economic impact on society. A lot of money is spent every year, this include costs related to crimes and incarceration, drug addiction treatment, medical costs from overdoses and drug related injuries and complications, time lost from work and social welfare programs.

In this case, two army officers were remanded on bail to be sentenced in May. Spokesman Major Kristian Dunne said the army does not tolerate drug use, and they will determine what other actions will need to be taken.

Finally, I hope everybody “Cherish life, away from drugs.”

For information see the website below:



Hubbard, J., Thomas, C., Varnham, S. (2010). Principles of Law for New Zealand Business Students.

Impact on Society. (2010). Treatment-Centers.Net. Retrieved March 26, 2011, from http://www.treatment-centers.net/drug-addiction-and-society.html

The Physical & Mental Effects of Drug Abuse. (2010). eHow-Health.  Retrieved March 26, 2011, from http://www.ehow.com/list_6316878_physical-mental-effects-drug-abuse.html

I think this case involves civil law, because it governs the relationship between employer and employee. Grant Burch, who is a former alarm and video monitoring operator at Rush Security Services in Auckland, sacked for leaving his company’s building unattended to go for a smoke lost his bid for compensation. And this case complies with the civil proceedings. The Employment Relations Authority (ERA) has ruled Grant Burch was justifiably dismissed.

This case also involves private law, a breach of contract. Grant Burch breached his company’s house rules that leaving the control room constitutes serious misconduct. It concerns the relationship of natural person or company.

During the hearing, Mr. Burch said he complied for two weeks, but breached instructions because he needed to smoke. Everyone knows smoking is harmful to health, but smoking is addictive, many people once the smoke would have to smoke again and again, so I think his action may be not immoral. But given the nature of the business Mr. Burch had to be present in the control room or be in the building in the lunch room or toilet and able to access the control room if an alarm was activated, so his action may be unethical for his company.

Now, the news has aroused controversy. What ethics have to do with smoking? If smoking is a personal right and liberty, on what ethical argument can government restrict the citizen’s autonomy for smoking and for example restrict where and when a person can or can’t smoke?

How do you treat this issue?


For information see the website below:



Hubbard, J., Thomas, C., Varnham, S. (2010). Principles of Law for New Zealand Business Students.


I think this case should be civil law, because in this case, the rent rises that governs the relationship between landlords and tenants. And civil law governs disputes between individuals in such areas as contracts, property.  

And also this case should be both private law and public law. At first, because there are contracts between landlords and tenants. Private law is concerned with the relationships between individual members of society such as landlords and tenants. Second, the Government might be able to look at some form of control, it should be public law.

Tenants were leaving without telling landlords, so the landlords only find out when the tenants stop paying. Tenant’s behavior has violated the Residential Tenancy Agreement, and it is immoral.

Residential rents were going up and the number of businesses that could not stay in their damaged offices meant there was a shortage of commercial premises near the CBD. It will affect the development of local business.

After earthquake, a lot of people lost their jobs, rising unemployment and rent hike will lead to life even more distress. If rents continue to rise, many people can’t afford it and then they will have no place to live. It will be very dangerous to society. Social security will be seriously affected.

For information see the website below:



Hubbard, J., Thomas, C., Varnham, S. (2010). Principles of Law for New Zealand Business Students.

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