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ARTICLE · 30 OCTOBER 2024

Restructuring within Local Authorities poses very specific challenges

Additional & very specific legislative requirements apply for local authorities who are restructuring.

New ZealandGovernment, Public Sector

The current economic downturn is seeing many an organisation consider the merits of a restructure. Whether it's in the context of the public or private sector, obligations under employment law don't change, and potential legal liability and reputational risks to the employer always exist if the process is not managed correctly. Within the context of local authorities, however, there are some additional and very specific legislative requirements which need to be carefully and appropriately navigated.

The general obligations of any employer are that, when proposing a restructure, employers must ensure that the proposed changes are:

  1. Substantively justified - meaning that the employer has genuine reasons to undertake the restructure; and

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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