Employment Relations (Triangular Employment) Amendment Act 2019

Legal Position
 

This Act amends the Employment Relations Act 2000.  Its purpose is to give a worker an opportunity to raise a personal grievance where they are employed by one employer, but working under the control and direction of another employer.   This is not an automatic right, as the prior approval of the Employment Relations Authority or the Employment Court is required. 

Controlling Third Party
 
  • A “controlling third party” means a person who has a contract or other arrangement with an employer under which an employee of the employer works for the benefit of the person, and
  • Who exercises, or is entitled to exercise, control or direction over the employee similar to or substantially similar to the control or direction that an employer exercises, or is entitled to exercise, in relation to an employee.

Joining Controlling Third Party to Personal Grievance
 

Where an employee raises a personal grievance with their employer, the controlling third party can be joined to the grievance proceedings. 

This can be done by the employee or their employer, or both, applying to the Employment Relations Authority or Court to join the controlling third party to the proceedings. 

The Employment Relations Authority or Court must grant the application if they are satisfied: 

  • That the controlling third party has been properly notified.
  • There is an arguable case.
  • The joining party is a controlling third party.

That party’s actions caused or contributed to the personal grievance.

Notifying Controlling Third Party
 

Notice to the controlling third party is satisfied where either the employee or the employee’s employer: 

  • Considers the actions of the controlling third party caused or contributed to the personal grievance, and
  • Notifies the controlling third party within 90 days. 

In this context “90 days” means: 

  • The period of 90 days beginning from when the alleged action occurred, or came to the notice of the employee, whichever is later, or
  • The period of 90 days beginning with the date on which the employer’s employee raised the personal grievance with the employer.

Remedies Where Controlling Third Party Caused or Contributed to Personal Grievance
 

If the Employment Relations Authority or Court are satisfied the controlling third party caused or contributed to the personal grievance, they can order the controlling third party to: 

  • Pay costs for any loss of wages.
  • Pay costs for hurt and humiliation.


The Employment Relations Authority will consider the extent the controlling third party is responsible for the personal grievance, and may apportion the costs of the remedies between the employee’s employer and the controlling third party.

To access the Employment Relations (Triangular Employment) Act 2019 click here.

To access the Employment Relations Act 2000 click here