Casual Employment

Casual employment in NZ - rights, risks, and when "casual" is not casual

"Casual employment" is about the reality of the working relationship, not the label in the agreement. Casual employees still have the same minimum rights as permanent employees. The main difference is usually the work pattern - casual work is genuinely irregular and offered as needed.

Problems arise when an employer calls someone "casual" but in practice the person works regular shifts, is expected to be available, or is treated like a permanent part time employee. In those situations, the ERA may treat the relationship as ongoing employment, with the usual obligations around process, notice, holidays, and dismissal justification.

What "casual" should mean

• No guarantee of ongoing work: shifts are offered when available.
• No obligation to accept: the worker can say no without being punished for it.
• Irregular pattern: work is intermittent or unpredictable, not a settled roster every week.
• Each engagement stands alone: a shift ends, and there is no promise of the next one.

Casual employees still have minimum rights

Casual employees are still employees. Minimum rights generally include:

• Minimum wage and lawful deductions only.
• Holiday and leave entitlements (how these are paid depends on the genuine nature of the work pattern and how payroll is structured).
• Public holiday rights when the day would otherwise be a working day for that employee.
• Rest and meal breaks, and health and safety protections.
• Protection from unjustified dismissal and unjustified disadvantage, depending on the real nature of the relationship.
• Good faith obligations apply to employment relationships, including casual employment.

When casual becomes permanent part time

The biggest legal risk is "casual in name only". Common indicators of an ongoing employment relationship include:

• Regular and systematic work over a long period (for example, set days or a repeating roster).
• Expectation of ongoing shifts by either side.
• Employer control over availability or pressure if shifts are refused.
• Integration into the business like a permanent staff member (core duties, ongoing responsibility, performance management).
• Work is not actually intermittent - it is the same as part time work, just labelled differently.

If the relationship has become ongoing, then reducing hours or ending the work may be treated as a termination that must be justified and procedurally fair. That is where employers get exposed to personal grievance claims.

Ending casual work - what employers and employees often get wrong

In genuine casual work, a shift can end at the end of the shift and there may be no further shifts offered. But where work is regular and ongoing in reality, ending it without a fair process can become an unjustified dismissal claim.

• Employee view: "They stopped giving me shifts" can amount to dismissal if there was an ongoing expectation of work.
• Employer view: "We just did not roster them" is not a safe approach if the relationship has become ongoing.
• Process still matters: where the reality is ongoing employment, you generally need fair reasons, consultation where relevant, and a defensible process.

Common disputes in casual employment

• Availability pressure: the worker is treated as "on call" without proper structure or compensation.
• Shift cancellations: last minute cancellations, stand downs, or shortened shifts leading to wage disputes.
• Holiday pay errors: payroll arrangements not matching the true nature of the work pattern.
• Stop rostering as dismissal: "no more shifts" becomes a de facto dismissal.
• Bullying / disadvantage issues: roster changes used as punishment after complaints or refusal of shifts.

Practical guidance for employers

If you want true casual arrangements, document and run them like true casual arrangements:

• Use clear agreement wording: no guaranteed hours, shift-by-shift engagement, and the worker can decline shifts.
• Avoid fixed regular rosters for long periods if you want the relationship to remain genuinely casual.
• Do not punish refusal: if you require availability, structure it properly and consider whether you have actually created a permanent role.
• Track holiday pay correctly: the payroll method must match the true nature of employment and the legal settings.
• If you are ending an ongoing pattern, treat it like an employment termination risk and get advice before you act.

Practical guidance for employees

• Write down your roster history: days, hours, and how long it has been regular.
• Save communications: texts, emails, and messages about shifts, availability, and cancellations.
• Check your payslips: confirm holiday pay treatment and any unexplained deductions.
• If shifts stop suddenly: treat it seriously and get advice quickly, especially if you relied on the regular pattern.