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New Zealand launches public consultation on employee dispute system

• By Ria Duneja
New Zealand launches public consultation on employee dispute system

New Zealand has opened a nationwide consultation on its employment dispute resolution system, inviting workers, employers and representatives to share their experiences and suggest improvements.

The move, led by Workplace Relations and Safety Minister Brooke van Velden, comes as concerns grow over lengthy timelines, rising costs and the conduct of employment advocates. The government wants to assess how disputes evolve from workplace issues through mediation, the Employment Relations Authority and the courts.

At the centre of the review is the full dispute journey. Officials are examining root causes of workplace conflict, barriers in accessing mediation and legal support, and whether some disputes escalate unnecessarily due to systemic gaps or representative behaviour.

The implications are significant. Delayed or costly disputes can affect workplace morale, reduce labour mobility and create uncertainty for businesses. For smaller firms, prolonged cases can strain resources, while employees may face financial stress and stalled careers. Concerns around advocate conduct, including reports of aggressive or unprofessional behaviour, are also under scrutiny and could lead to tighter oversight.

The consultation, run by the Ministry of Business, Innovation and Employment, is open from 5 May to 31 July. Feedback is being sought from anyone involved in employment disputes, including business owners, workers and support representatives. Submissions will help shape potential operational, policy and legislative changes.

“Employment disputes can be costly to both parties in terms of financial cost, time and relationships,” Minister van Velden said. “This has significant impacts for both individuals and the wider economy, which is why having effective ways to resolve them matters.”

“I have heard concerns about how long employment disputes can take to work through and the costs involved in navigating the process,” she said.

The government has indicated that feedback will directly inform reforms aimed at making the system faster, more accessible and more accountable.