{"id":218354,"date":"2022-11-02T18:06:20","date_gmt":"2022-11-02T05:06:20","guid":{"rendered":"https:\/\/legalvision.co.nz\/?p=218354"},"modified":"2022-11-08T19:08:02","modified_gmt":"2022-11-08T06:08:02","slug":"what-is-a-casual-employee","status":"publish","type":"post","link":"https:\/\/legalvision.co.nz\/employment\/what-is-a-casual-employee\/","title":{"rendered":"What is a Casual Employee?"},"content":{"rendered":"\n<p>As an employer, you may or may not be aware of the fine distinction between who is considered a casual employee. To ensure you meet your obligations to employees, you must ensure that your employees are all working as per the employment agreement. This article explains what is considered casual employment in New Zealand and what casual employees are entitled to.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What is the Definition of a Casual Employee?<\/h2>\n\n\n\n<p>There is no legislative definition of what constitutes a <a href=\"https:\/\/legalvision.co.nz\/employment\/pros-and-cons-of-casual-employees\/\">casual employee<\/a>. However, some distinct characteristics may indicate a relationship between you and your employee that is based on a casual employment relationship. One key aspect is that your employee\u2019s pattern of work should be:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>irregular; and&nbsp;<\/li><li>not follow a repeated set of days and hours.<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Criteria for Establishing Casual Employment<\/h3>\n\n\n\n<p>The case of <em>Lee v Minor Development Ltd<\/em> sets out the criteria which help to identify whether the employment is permanent or casual. An employee is likely to be a casual employee if:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>the engagement is for short periods for a specific purpose;<\/li><li>there is a lack of a regular work pattern or no expectation of ongoing employment;<\/li><li>you request work only when needed;<\/li><li>there is no guarantee of work from one week to the next;<\/li><li>you are under no obligation to offer work and your employee is not obligated to accept the work you offer; and<\/li><li>you only engage employees for a specific term of each period of employment.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Casual Employment Entitlements<\/h2>\n\n\n\n<p>Other factors impact whether the law considers a worker to be employed on a casual basis. For example, a casual employee is not entitled to:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>sick leave;<\/li><li>holiday pay; or&nbsp;<\/li><li>annual leave<\/li><\/ul>\n\n\n\n<p>If you include these provisions in an informal employment agreement, this would be inconsistent with casual employment status.&nbsp;<\/p>\n\n\n\n<p>However, in casual employment situations, the employer will often pay out any leave that the law entitles permanent employees to. For example, employers often record this on their employee\u2019s pay slips as \u201c8% holiday pay\u201d in addition to their wages. Nevertheless, you must clearly state these entitlements in the employment agreement as it is one of the key identifiers for being a casual employee.<\/p>\n\n\n\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            Call <a href=\"tel:+64800005570\" class=\"not-prose\">0800 005 570<\/a> for urgent assistance.\n                <br>\n                Otherwise, complete this form, and we will contact you within one business day.\n                    <\/span>\n    <\/div>\n\n    \n\n<div class=\"not-prose flex justify-center text-left 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For example, in <em>Watkins v Insite Security and Investigation Services Ltd<\/em>, the employer paid their \u201ccasual\u201d employee an additional 8% of her weekly pay as annual leave in each pay run. However, the Employment Relations Authority found that the fundamental nature of the relationship was that of a permanent employee and awarded her an additional seven years of annual leave.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Unjustified Dismissal Claims<\/h2>\n\n\n\n<p>At the end of genuine casual employment, a casual employee will unlikely succeed with a claim of unjustified dismissal against an employer. This is because their employment pattern should be occasional and short in duration.&nbsp;<\/p>\n\n\n\n<p>Nevertheless, there is a risk of <a href=\"https:\/\/legalvision.co.nz\/employment\/casual-employee-unjustified-dismissal\/\">unjustified dismissal claims<\/a> succeeding when the employee can demonstrate that their pattern of work was similar to if they were in permanent employment. If this is the case, you should seek legal advice on how best to approach the claim.&nbsp;<\/p>\n\n\n\n    <div class=\"my-7 lg:my-10 border-y-2 border-gray-100 py-7 lg:py-10 flex flex-col sm:flex-row items-start gap-10\">\n                    <img decoding=\"async\" class=\"w-52 mx-auto my-0! rounded\" src=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2021\/12\/21173210\/new-employee-onboarding-checklist-onsite-nz.jpg\" alt=\"Front page of publication\"\n                 loading=\"lazy\" width=\"208\" height=\"298\">\n                <section>\n            <div class=\"text-2xl font-bold\">New Employee Onboarding Checklist (On-site)<\/div>\n            <div class=\"body-text\">\n                <p>Help new employees get off to a great start with our free New Employee Onboarding Checklist.<\/p>\n            <\/div>\n            \n\n<a href=\"https:\/\/go.legalvision.co.nz\/new-employee-onboarding-checklist-onsite-nz.html\" class=\" block px-5 py-3.5 max-w-fit bg-orange button__hover transition rounded text-white font-bold text-lg no-underline uppercase leading-tight text-center\" target=\"\" rel=\"\">Download Now<\/a>        <\/section>\n    <\/div>\n\n\n\n\n<h2 class=\"wp-block-heading\">Key Takeaways<\/h2>\n\n\n\n<p>While there is no legislative definition of what constitutes a casual employee, there are some distinct characteristics that can indicate a casual employment relationship. Notably, casual employees:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>work irregular work patterns with no expectation of ongoing employment; and<\/li><li>receive 8% holiday pay in addition to their wages.&nbsp;<\/li><\/ul>\n\n\n\n<p>If you have questions about casual employees, our experienced <a href=\"https:\/\/legalvision.co.nz\/employment-lawyers-lp\">employment lawyers<\/a> can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on <a href=\"tel:+64800005570\" class=\"AVANSERnumber dynamic-number\">0800 005 570<\/a> or visit our <a href=\"https:\/\/legalvision.co.nz\/membership\/\">membership page<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Frequently Asked Questions<\/h2>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1667365181073\"><strong class=\"schema-faq-question\"><strong>What is a casual employee?<\/strong><\/strong> <p class=\"schema-faq-answer\">A casual employee has an irregular work pattern with no expectation of ongoing employment.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1667365203930\"><strong class=\"schema-faq-question\"><strong>Are casual employees entitled to sick leave?<\/strong><\/strong> <p class=\"schema-faq-answer\">No. However, employers often pay out any leave that permanent employees are entitled to.<\/p> <\/div> <\/div>\n<div class=\"not-prose m-feedback-prompt\">\n    <!-- Thumbs up\/down bar -->\n    <div class=\"m-feedback-prompt__main\">\n        <div class=\"m-feedback-prompt__title\">Was this article helpful?<\/div>\n        <div>\n            <!--span class=\"m-feedback-prompt__button--text\">Thanks!<\/span-->\n            <button type=\"button\" class=\"m-feedback-prompt__button m-feedback-prompt__button--yes\"\n                    data-analytics-link=\"feedback-prompt:yes\" aria-label=\"Agree\">\n                <i class=\"fa-regular fa-thumbs-up fa-3x\"><\/i>\n            <\/button>\n            <button type=\"button\" class=\"m-feedback-prompt__button m-feedback-prompt__button--no\"\n                    data-analytics-link=\"feedback-prompt:no\" aria-label=\"Disagree\">\n                <i class=\"fa-regular fa-thumbs-down fa-3x\"><\/i>\n            <\/button>\n        <\/div>\n    <\/div>\n\n    <!-- Feedback form -->\n    <div class=\"m-feedback-prompt__form\">\n        <div class=\"m-feedback-prompt__form--thanks \">\n            <div>Thanks!<\/div>\n            <p>\n                We appreciate your feedback \u2013 your submission has been successfully received.            <\/p>\n        <\/div>\n        <form id=\"contact-form\" class=\"m-feedback-prompt__form--form\" action=\"\" method=\"post\">\n            <input type=\"hidden\" id=\"authenticity_token\" name=\"authenticity_token\" value=\"3bc3beddae\" \/><input type=\"hidden\" name=\"_wp_http_referer\" value=\"\/api\/wp\/v2\/posts\/218354\" \/>            <input value=\"https:\/\/legalvision.co.nz\/employment\/what-is-a-casual-employee\/\" type=\"hidden\" name=\"currenturl\"\n                   id=\"currenturl\">\n            <input value=\"What is a Casual Employee?\" type=\"hidden\" name=\"currenttitle\"\n                   id=\"currenttitle\">\n            <label>\n                <!-- display on thumbs-up -->\n                <span class=\"m-feedback-prompt__feedback m-feedback-prompt__feedback--yes\">\n                    Can you tell us <span class=\"font-semibold\">why<\/span> you found it helpful?\n                <\/span>\n\n                <!-- display on thumbs-down -->\n                <span class=\"m-feedback-prompt__feedback m-feedback-prompt__feedback--no text-lg\">\n                    How can we better improve this article?\n                <\/span>\n                <textarea name=\"feedbackmessage\" id=\"feedbackmessage\" required><\/textarea>\n            <\/label>\n\n            <div class=\"m-feedback-prompt__form--error\" id=\"form-submit-error\"><\/div>\n            <button id=\"submit-contact-form-button\" type=\"submit\" name=\"commit\" class=\"m-feedback-prompt__form--submit\"\n                    data-analytics-link=\"feedback-prompt:submit\">\n                Submit            <\/button>\n        <\/form>\n    <\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>As an employer, you may or may not be aware of the fine distinction between who is considered a casual employee. To ensure you meet your obligations to employees, you must ensure that your employees are all working as per the employment agreement. This article explains what is considered casual employment in New Zealand and<a href=\"https:\/\/legalvision.co.nz\/employment\/what-is-a-casual-employee\/\">Continue reading <span class=\"sr-only\">&#8220;What is a Casual Employee?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":13387,"featured_media":215533,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"205168,214549,208398,1531,213369,203171","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[5],"tags":[24,25,403,1602],"class_list":["post-218354","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-employment","tag-startup","tag-small-business","tag-casual-employment","tag-casual-employee"],"acf":[],"yoast_head":"<!-- This site is optimized 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