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Reference Checking for Employment

For New Zealand employers, employment reference checking is a pivotal step in the recruitment process. It not only validates a candidate's credentials and work history, but also offers deeper insights into their work ethic, skills, and suitability for the role.   Here we look at how pre-employment reference checks can help you make informed hiring decisions.  What is a reference check? A reference or background check involves contacting a job applicant's former employers, supervisors, colleagues, or schools to gather information about their performance, behaviour, general work demeanour and academic record. Pre-employment reference checks are a critical procedure that goes beyond the insights provided by resumes and interviews, offering a third-party perspective on the candidate's professional conduct and achievements.  Why reference checks matter for New Zealand businesses As a business owner with multiple employees, investing time and resources to conduct reference checks yields significant benefits for your business:  Reduced hiring risks   Verifying a candidate via background checks minimises the chances of hiring someone who misrepresented their qualifications or work history in their application or resume. For your business, this can save time, money, and the disruption of onboarding the wrong person.  Improved team culture   Hiring individuals who align with your company values and work ethic creates a more positive and productive team environment. As a hiring manager, reference checks can shed light on a candidate's teamwork abilities, communication style and overall cultural fit.  Enhanced decision-making  By speaking with past employers and colleagues, you gain valuable insights into a potential candidate's performance, strengths, and weaknesses.   Increased employee retention  Employee reference checks assist with hiring the right person from the outset, reducing the likelihood of early turnover. As a hiring manager. effective reference checks can help you identify individuals who are likely to stay with your company for the long term. Minimising the need of repeating the costly and time-consuming hiring process all over again. New Zealand legal considerations for reference checking  It's important to navigate reference checks within the bounds of New Zealand's employment law. Always document the feedback received, as this can be valuable for future reference or if any disputes arise. Here are some key points to remember:  Privacy Act 2020: This act governs the collection and use of personal information, including employment references. You must obtain the candidate's written consent before contacting their references.  Fairness and accuracy: The information you collect during reference checks must be fair and accurate. Avoid discriminatory questions or biases based on factors like race, gender, or age.  Duty of care: While providing honest feedback, references should avoid making defamatory statements about the candidate.  Crafting a reference check process  A structured reference check process is an important part of the interview process and vital for consistency and legal compliance. Here are key steps to consider:  Obtain consent: Always seek the candidate's permission before contacting their references. This respects privacy and complies with New Zealand's privacy laws.  Prepare your questions: To gain meaningful insights, prepare a list of reference check questions tailored to the role. This should include queries about the candidate’s responsibilities, performance, teamwork, strengths, and areas for improvement.  Choose the right references: Prioritise professional references from previous employers over personal ones to ensure the feedback is relevant to the candidate’s work capabilities.  Conduct the reference check: Whether through a phone call or email, approach the reference professionally, ensuring you respect their time while seeking comprehensive feedback.  Key reference check questions Asking the right questions allows you to understand a candidate's past work performance and establishes the foundation for a productive background check. Most common examples include:  Can you confirm the dates of the candidate’s employment and their role in your organisation?  How would you describe the candidate’s skills, job performance and reliability?  What are the candidate’s key strengths and areas for improvement?  How does the candidate work under pressure and in a team environment?  Would you rehire the candidate? Why or why not?  To provide a more holistic view of a candidate's abilities, work habits, and compatibility with your team, here are additional question ideas:  Work performance and skills:  How did the candidate handle tight deadlines or high-pressure situations?  Can you provide an example of a project or task where the candidate exceeded expectations?  What technical skills does the candidate possess that were particularly valuable to your team?  Teamwork and collaboration:  How does the candidate contribute to team dynamics?  Can you describe a situation where the candidate had to work on a team project? What role did they play?  How does the candidate handle conflict within a team? Adaptability and problem-solving:  Can you give an example of how the candidate adapted to a significant change at work?  Describe a situation where the candidate identified a problem and how they went about solving it.  Leadership and Initiative:  Has the candidate ever taken the lead on a project? What was the outcome?  How does the candidate motivate or influence others?  Professional development:  In what areas has the candidate shown the most significant growth during their time with your organisation?  Has the candidate demonstrated a commitment to professional development or continuing education?  Cultural fit:  How would you describe the candidate's work ethic and professionalism?  Can you describe how the candidate aligned with your organisation's culture and values?  Reliability and punctuality  How dependable was the candidate in completing tasks or projects on time?  Were there any issues with attendance or punctuality?  Communication skills:  How effective is the candidate in communicating with colleagues, clients, and management?  Can you provide an example of how the candidate handled a difficult communication situation?  Client management and customer service:  How does the candidate manage relationships with clients or customers?  Can you share an instance where the candidate went above and beyond to ensure customer satisfaction?  Strengths and areas for improvement:  What do you consider to be the candidate's strongest attributes?  What areas would you recommend for further development or improvement?  Common pitfalls to avoid in reference checking Be aware of these common pitfalls to ensure your reference checks are effective and legally compliant:  Skipping reference checks altogether: While time-consuming, reference checks are essential. Don't skip them to expedite the hiring process.  Failing to obtain consent: Always obtain written consent from the candidate before contacting their references.  Asking illegal questions: Avoid questions that could be discriminatory or violate the candidate's privacy. This includes questions about age, marital status, religion, ethnicity, or health conditions. Stick to questions that directly assess the candidate's work skills and performance.  Relying solely on reference checks: While valuable, reference checks are just one piece of the hiring puzzle. Consider them alongside the candidate's resume, interview performance, and any skills assessments conducted.  Sharing reference information improperly: Keep all reference check information confidential. Do not share it with anyone not directly involved in the hiring decision. Emphasising the human element  Remember, reference checks are not just about verifying facts; they're an opportunity to gauge how candidates might integrate into your team's culture and contribute to your organisation's ethos. Asking open-ended questions and listening carefully to the nuances in a referee’s responses can offer invaluable cues about the candidate's interpersonal skills and work ethic.  Taking the next step with Peninsula Reference checks are a cornerstone of the recruitment process. By following a structured procedure, preparing relevant questions, and conducting checks in a legally compliant manner, employers can significantly enhance finding the ideal candidate. This meticulous approach ensures your new hire is not only qualified on paper, but also a great fit for your team and organisational culture.  Contact us today to discover how our expertise can complement your recruitment efforts, ensuring you make informed, confident hiring decisions every time.  This article is for general information purposes only and does not constitute as business or legal advice and should not be relied upon as such. It does not take into consideration your specific business, industry or circumstances. You should seek legal or other professional advice regarding matters as they relate to you or your business. To the maximum extent permitted by law, Peninsula Group disclaim all liability for any errors or omissions contained in this information or any failure to update or correct this information. It is your responsibility to assess and verify the accuracy, completeness, and reliability of the information in this article.

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Reducing Employee Pay: What Employers Need to Know

Some employers might find themselves looking at ways to keep all their staff employed, but don’t have the financial resources to keep paying employees their full pay. It might be tempting to ask everyone to take a 10% pay-cut in the interests of trying to keep the business afloat. But can you can you reduce an employee’s wage, or is it legal to reduce someone's salary, and if so, do they have to agree? Reducing an employee’s pay unilaterally In answer to the above question, yes, you can ask your employee to take a pay-cut, but no, they do not have to agree. If they don’t agree, you must pay them the full amount for their normal working hours as stated in their employment contract, even if you have no work for them to do. Generally, an employer cannot unilaterally reduce an employee’s rate of pay safely without the agreement of the employee or without following a formal consultation process in the case of genuine financial reasons. There may be legislation, employment agreements and workplace policies that can stipulate what an employee should be paid, when they should be paid, and how. Specifically, your employee is entitled to be paid at least the applicable minimum wage depending on their specific circumstances, which include their age, and whether an Adult, Starting Out, or Training Minimum Wage, or an exemption applies. Legislation also provides for additional rates if an employee works on a public holiday. Reducing pay in accordance with an employment contract An employee’s pay must be above the relevant minimum wage and comply with the employment agreement. Even if the employment agreement allows for a wage reduction in pay then the employee will still need to agree or the employer will need to follow a formal consultation process, as employees whose pay has been reduced without their consent or without a genuine reason and formal consultation can apply to the Employment Relations Authority for assistance. If there is a general deductions clause in the employment agreement, then an employer must consult with the employee before they make a specific deduction under this clause. The employee can vary or withdraw their written consent to a deduction at any time by giving notice in writing. The employer must then vary or stop the deductions within two weeks of receiving the notice, or as soon as practicable. If your company has a bonus scheme, which is payable at the discretion of management rather than tied to a specific performance level, you may want to consider not paying the bonus for a period during which money is tight. Keep in mind, even if the bonus scheme is discretionary, you should act in good faith and consult with employees prior to a decision being made to alter or remove the scheme. BrightHR can help you manage and keep track of employee rosters, timesheets, annual holidays, and you can record employee hours, breaks, sick leave and absenteeism with Blip, to help you with your employees’ pay. Effectively reducing an employee’s pay Deductions Deductions may effectively reduce the employee’s take home pay, though it is not their purpose to assist employers to reduce pay, but to allocate the deducted money elsewhere for a lawful purpose. Employers can’t deduct from an employee’s pay on a whim. Deductions are usually only permitted in certain authorised circumstances, such as if required by law, (for example child support), at the direction of a court, or if it is lawful and reasonable in the circumstances and there is an agreement in writing with the employee, though the employee may withdraw their consent at any time. The Wages Protection Act 1983 prevents unlawful deduction from wages and provides that deductions from an employee’s pay can only be made in the following circumstances: If the deduction is required by law e.g.  student loan repayment or child support; if the deduction is for a lawful purpose, is reasonable and the employee has agreed to or asked for the deduction for a specific amount and reason in writing; if the deduction is reasonable and authorised in writing in the employment agreement, following further consultation with the employee once the specific amount and reason is ascertained; the deduction is to recover an overpayment in limited circumstances; or a court directs that a deduction be made. Reduction of Hours You may be able to reduce an employee’s hours, which may effectively reduce the amount you are paying them, but their hourly rate of pay would stay the same. Agreed hours of work per week must be in the employment agreement and if an employee has set days, hours, start and finish times, it is best to include these too. If an employee or employer wants to change the hours of work, an employer can’t change them without mutual agreement or without the employer following a formal consultation process with the employee.  Both the employer and employee should agree to the reduction in hours in writing as a variation to the employment agreement, provided the reason for the reduction is fair and reasonable. If an employee thinks that the change to their hours is disadvantaging them and that the process the employer followed was unfair or there were no genuine reasons for changing their hours of work, then they may bring a personal grievance for unjustified disadvantage. In some situations, cutting back on an employee’s hours may be put forward as an alternative to redundancy. In these situations, the employer must have a genuine business reason for the proposed change. Furthermore, the employer must follow a fair and reasonable consultation process and act in good faith, which includes giving the employee a fair opportunity to consider and respond to the proposed change prior to a decision being made. Redundancy A genuine redundancy is when the employer no longer requires  a specific role in their business and there are no other jobs available within the business that the employee could reasonably do. Examples of genuine reasons for redundancy include outsourcing operations, changing the business direction or changing the way the company operates in order to reduce costs and increase the viability of the business. An employer must consider redeployment options before making an employee redundant, such as whether you can offer the employee reduced hours; a change of status eg from permanent to casual; or a lower paid job, if that is all you have available within the business. It is up to the employee to decide if they want to accept the lesser hours or a lower paid job. If they refuse, then the employer should continue with the process which may result in their employment being terminated. In this case, the employer will have to give them notice, any redundancy compensation (where applicable) as well as any wages and entitlements owing. An employer should pay an employee any outstanding pay for hours worked since their last pay, unused holiday pay and any other additional entitlements due to the employee as per the employment agreement or as part of their termination package, on their last day of work. BrightHR can help you manage and keep track of employee rosters, timesheets, annual holidays, sick leave and absenteeism with Blip to enable you to pay the employee their final pay. An employer must keep wage and time, and holidays and leave records for the preceding six years, even if the employee is no longer with the business. With BrightHR,you can generate and print reports, and then store wage and time records and related documents securely in the cloud to comply with your record-keeping requirements.

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10 Common Behavioural Interview Questions and Answers

What Are Behavioural Interview Questions? Behavioural interview questions are questions commonly asked in job interviews, which are designed to tap into the candidate’s past experiences to understand how they approach and respond to various situations, as well what areas they might find particularly challenging. Behavioural interview questions require candidates to share information about how they have behaved in a previous scenario, and typically start with ‘tell me about a time when…’. Find out 10 common behavioural interview questions and sample answers for employers. Why Employers Should Consider Asking Behavioural Questions Compared to unstructured interview questions, structured behavioural interview questions have been shown to provide interviewers with richer information which may be more predictive of a prospective employee’s future job performance than an unstructured interview. Using behavioural questions in an interview can help employers understand how candidates have previously responded in specific situations and identify where they might struggle. Previous behaviour can be a strong predictor of future performance, meaning that the answers given can help an employer understand how well a candidate is likely to perform in the role they are hiring for. Behavioural questions can therefore help employers assess if a candidate is likely to meet the competencies and soft skill requirements of the role. Behavioural questions can also help employers short-list potential candidates if the same question is asked of all candidates. The employer can compare the responses given by the different candidates to determine the candidate most likely to succeed in the role. BrightHR Create a profile for each candidate and store the related documents in the cloud with our BrightHR app so you can refer back to them on the go. You can manage and keep track of employee rosters, timesheets, leave and absenteeism, and store employee profiles, wage and time records and related documents securely in the cloud with our BrightHR software 10 Common Behavioural Interview Questions and Sample Answers Problem Solving 1. You had to come up with a new solution to a problem This question allows you to tap into whether the candidate can show initiative day-to-day in their role, and how creatively they can identify ways to solve a problem. Follow up questions: How did you come up with the solution? What other options did you have? Why didn’t you choose those? What was the outcome? 2. You made a mistake This question allows you to assess taking ownership for mistakes, and whether the candidate has resilience to be able to dust themselves off and move forward afterwards. Follow up questions: Whose fault was it? How did you correct it? What did you learn from the situation? 3. You were faced with an unexpected challenge This question helps you understand how adaptable the candidate is and whether they can cope well with change or challenges that are thrown their way. Follow up questions: How did you overcome the challenge? What did you learn from the situation? Communication Skills 4. You had to give someone constructive feedback This question will help you assess whether the candidate is comfortable having difficult conversations, but also whether they can do so tactfully. Follow up questions: How did you deliver the feedback? How did they respond to the feedback? Did they change their behaviour after receiving the feedback? 5. You disagreed with someone on a way to solve a problem This will help you identify how the candidate manages conflict, and how cooperative they are in solving problems Follow up questions: What decision did you eventually make on how to solve the problem? How did you make the decision? What was the outcome? 6. You had to display a high level of attention to detail in completing a task This question will help you assess whether someone has a good eye for detail, and what methods or strategies they use to ensure their work is of a high quality. Follow up questions: What method(s) did you use to focus your attention on the detail? Did you miss anything? What was the outcome? Teamwork 7. You had to lead a team or take the lead on a project This question can help you assess leadership skills, and see how comfortable the candidate is in a leadership position Follow up questions: How did you find taking the lead? How did your team react to your leadership style? What was the outcome? 8. You had to work as part of a team to complete a task This question can allow you to explore how well the candidate works alongside others. Follow up questions: What was your role in the team? How well did you work together? Why? What was the outcome? 9. You had to delegate work to others This is another great question if you are looking to assess leadership capabilities. Good delegation requires a mix of strong communication skills, motivational skills, and the ability to empower others. Follow up questions: How did you explain what needed to be done? Did you encounter any issues? What was the outcome? Time Management 10. You had to work towards a tight deadline This allows you to assess ability to work towards a goal, under pressure. Follow up questions How did you manage your time to meet the deadline? What was the outcome? 11. You had two or more competing priorities This allows you to assess whether someone can juggle multiple responsibilities or priorities at once, it can also be a way of assessing how comfortable they are with pushing back in situations where they need to prioritise one thing over another. Follow up questions: How did you manage your time? Did you have to push back on either priority? What was the outcome? The S.T.A.R. Method – A Behavioural Interview Technique The S.T.A.R. Method is a framework that can be used to provide structure to behavioural questions and answers. It can be used by interviewers and candidates alike to ensure the candidate provides rich responses to behavioural questions. The S.T.A.R. method comprises four steps in explaining a previous experience: Situation: An explanation of the context, for example what was the problem to be solved. Task: Outline of the task that needed to be completed in responding to the situation. Action: What action was taken to respond to the situation and achieve the task at hand. Candidates should ensure that they cover off what they personally did in the situation. Result: What the outcome was of the action taken. If possible, to include quantifiable outcomes – e.g. were you able to save money or reduce incidents as a result? An example of the S.T.A.R. method in action: Interviewer: Tell me about a time that you had to give someone constructive feedback. Situation: What was the situation? Task: What was feedback you needed to give? Action: How did you give the feedback? Result: What was the outcome? Candidate: Situation: A member of my team completed a piece of work that was full of spelling and grammatical mistakes – it was clear that they hadn’t proofread it and had not taken care before sending it to me. Task: I wanted to provide them with the feedback so that they would take more care the next time and proofread their own work before sending it to me. Action: I found an appropriate time and place and stated that I wanted to share some feedback on the recent piece of work. I shared the issues that I had found, and explained the impact it had on my time. I stated I knew they were capable of higher quality work, and suggested they spend more time proofreading next time before sending to me. Result: My team member agreed that they rushed the work and that they are capable of more. We agreed that they would take more care next time. Since then there has been a significant increase in the quality of their work, and saving me time in reviewing. This blog has been compiled on the basis of general information current at the time of publication and reflects an opinion only and is not intended to provide anything other than an opinion at any time. Your specific circumstances as well as any changes in circumstances after publication may affect the relevance, completeness or accuracy of this information. To the maximum extent permitted by law, we disclaim all liability for any errors or omissions contained in this information or any failure to update or correct this information. It is your responsibility to assess and verify the accuracy, completeness, currency and reliability of the information on this website, and to seek professional advice where necessary. Nothing contained on this website is to be interpreted as a recommendation to use any product, process or formulation or any information on this website. For clarity, Peninsula does not recommend any material, products or services of any third parties.

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Reference Checking for Employment

For New Zealand employers, employment reference checking is a pivotal step in the recruitment process. It not only validates a candidate's credentials and work history, but also offers deeper insights into their work ethic, skills, and suitability for the role.   Here we look at how pre-employment reference checks can help you make informed hiring decisions.  What is a reference check? A reference or background check involves contacting a job applicant's former employers, supervisors, colleagues, or schools to gather information about their performance, behaviour, general work demeanour and academic record. Pre-employment reference checks are a critical procedure that goes beyond the insights provided by resumes and interviews, offering a third-party perspective on the candidate's professional conduct and achievements.  Why reference checks matter for New Zealand businesses As a business owner with multiple employees, investing time and resources to conduct reference checks yields significant benefits for your business:  Reduced hiring risks   Verifying a candidate via background checks minimises the chances of hiring someone who misrepresented their qualifications or work history in their application or resume. For your business, this can save time, money, and the disruption of onboarding the wrong person.  Improved team culture   Hiring individuals who align with your company values and work ethic creates a more positive and productive team environment. As a hiring manager, reference checks can shed light on a candidate's teamwork abilities, communication style and overall cultural fit.  Enhanced decision-making  By speaking with past employers and colleagues, you gain valuable insights into a potential candidate's performance, strengths, and weaknesses.   Increased employee retention  Employee reference checks assist with hiring the right person from the outset, reducing the likelihood of early turnover. As a hiring manager. effective reference checks can help you identify individuals who are likely to stay with your company for the long term. Minimising the need of repeating the costly and time-consuming hiring process all over again. New Zealand legal considerations for reference checking  It's important to navigate reference checks within the bounds of New Zealand's employment law. Always document the feedback received, as this can be valuable for future reference or if any disputes arise. Here are some key points to remember:  Privacy Act 2020: This act governs the collection and use of personal information, including employment references. You must obtain the candidate's written consent before contacting their references.  Fairness and accuracy: The information you collect during reference checks must be fair and accurate. Avoid discriminatory questions or biases based on factors like race, gender, or age.  Duty of care: While providing honest feedback, references should avoid making defamatory statements about the candidate.  Crafting a reference check process  A structured reference check process is an important part of the interview process and vital for consistency and legal compliance. Here are key steps to consider:  Obtain consent: Always seek the candidate's permission before contacting their references. This respects privacy and complies with New Zealand's privacy laws.  Prepare your questions: To gain meaningful insights, prepare a list of reference check questions tailored to the role. This should include queries about the candidate’s responsibilities, performance, teamwork, strengths, and areas for improvement.  Choose the right references: Prioritise professional references from previous employers over personal ones to ensure the feedback is relevant to the candidate’s work capabilities.  Conduct the reference check: Whether through a phone call or email, approach the reference professionally, ensuring you respect their time while seeking comprehensive feedback.  Key reference check questions Asking the right questions allows you to understand a candidate's past work performance and establishes the foundation for a productive background check. Most common examples include:  Can you confirm the dates of the candidate’s employment and their role in your organisation?  How would you describe the candidate’s skills, job performance and reliability?  What are the candidate’s key strengths and areas for improvement?  How does the candidate work under pressure and in a team environment?  Would you rehire the candidate? Why or why not?  To provide a more holistic view of a candidate's abilities, work habits, and compatibility with your team, here are additional question ideas:  Work performance and skills:  How did the candidate handle tight deadlines or high-pressure situations?  Can you provide an example of a project or task where the candidate exceeded expectations?  What technical skills does the candidate possess that were particularly valuable to your team?  Teamwork and collaboration:  How does the candidate contribute to team dynamics?  Can you describe a situation where the candidate had to work on a team project? What role did they play?  How does the candidate handle conflict within a team? Adaptability and problem-solving:  Can you give an example of how the candidate adapted to a significant change at work?  Describe a situation where the candidate identified a problem and how they went about solving it.  Leadership and Initiative:  Has the candidate ever taken the lead on a project? What was the outcome?  How does the candidate motivate or influence others?  Professional development:  In what areas has the candidate shown the most significant growth during their time with your organisation?  Has the candidate demonstrated a commitment to professional development or continuing education?  Cultural fit:  How would you describe the candidate's work ethic and professionalism?  Can you describe how the candidate aligned with your organisation's culture and values?  Reliability and punctuality  How dependable was the candidate in completing tasks or projects on time?  Were there any issues with attendance or punctuality?  Communication skills:  How effective is the candidate in communicating with colleagues, clients, and management?  Can you provide an example of how the candidate handled a difficult communication situation?  Client management and customer service:  How does the candidate manage relationships with clients or customers?  Can you share an instance where the candidate went above and beyond to ensure customer satisfaction?  Strengths and areas for improvement:  What do you consider to be the candidate's strongest attributes?  What areas would you recommend for further development or improvement?  Common pitfalls to avoid in reference checking Be aware of these common pitfalls to ensure your reference checks are effective and legally compliant:  Skipping reference checks altogether: While time-consuming, reference checks are essential. Don't skip them to expedite the hiring process.  Failing to obtain consent: Always obtain written consent from the candidate before contacting their references.  Asking illegal questions: Avoid questions that could be discriminatory or violate the candidate's privacy. This includes questions about age, marital status, religion, ethnicity, or health conditions. Stick to questions that directly assess the candidate's work skills and performance.  Relying solely on reference checks: While valuable, reference checks are just one piece of the hiring puzzle. Consider them alongside the candidate's resume, interview performance, and any skills assessments conducted.  Sharing reference information improperly: Keep all reference check information confidential. Do not share it with anyone not directly involved in the hiring decision. Emphasising the human element  Remember, reference checks are not just about verifying facts; they're an opportunity to gauge how candidates might integrate into your team's culture and contribute to your organisation's ethos. Asking open-ended questions and listening carefully to the nuances in a referee’s responses can offer invaluable cues about the candidate's interpersonal skills and work ethic.  Taking the next step with Peninsula Reference checks are a cornerstone of the recruitment process. By following a structured procedure, preparing relevant questions, and conducting checks in a legally compliant manner, employers can significantly enhance finding the ideal candidate. This meticulous approach ensures your new hire is not only qualified on paper, but also a great fit for your team and organisational culture.  Contact us today to discover how our expertise can complement your recruitment efforts, ensuring you make informed, confident hiring decisions every time.  This article is for general information purposes only and does not constitute as business or legal advice and should not be relied upon as such. It does not take into consideration your specific business, industry or circumstances. You should seek legal or other professional advice regarding matters as they relate to you or your business. To the maximum extent permitted by law, Peninsula Group disclaim all liability for any errors or omissions contained in this information or any failure to update or correct this information. It is your responsibility to assess and verify the accuracy, completeness, and reliability of the information in this article.

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Reducing Employee Pay: What Employers Need to Know

Some employers might find themselves looking at ways to keep all their staff employed, but don’t have the financial resources to keep paying employees their full pay. It might be tempting to ask everyone to take a 10% pay-cut in the interests of trying to keep the business afloat. But can you can you reduce an employee’s wage, or is it legal to reduce someone's salary, and if so, do they have to agree? Reducing an employee’s pay unilaterally In answer to the above question, yes, you can ask your employee to take a pay-cut, but no, they do not have to agree. If they don’t agree, you must pay them the full amount for their normal working hours as stated in their employment contract, even if you have no work for them to do. Generally, an employer cannot unilaterally reduce an employee’s rate of pay safely without the agreement of the employee or without following a formal consultation process in the case of genuine financial reasons. There may be legislation, employment agreements and workplace policies that can stipulate what an employee should be paid, when they should be paid, and how. Specifically, your employee is entitled to be paid at least the applicable minimum wage depending on their specific circumstances, which include their age, and whether an Adult, Starting Out, or Training Minimum Wage, or an exemption applies. Legislation also provides for additional rates if an employee works on a public holiday. Reducing pay in accordance with an employment contract An employee’s pay must be above the relevant minimum wage and comply with the employment agreement. Even if the employment agreement allows for a wage reduction in pay then the employee will still need to agree or the employer will need to follow a formal consultation process, as employees whose pay has been reduced without their consent or without a genuine reason and formal consultation can apply to the Employment Relations Authority for assistance. If there is a general deductions clause in the employment agreement, then an employer must consult with the employee before they make a specific deduction under this clause. The employee can vary or withdraw their written consent to a deduction at any time by giving notice in writing. The employer must then vary or stop the deductions within two weeks of receiving the notice, or as soon as practicable. If your company has a bonus scheme, which is payable at the discretion of management rather than tied to a specific performance level, you may want to consider not paying the bonus for a period during which money is tight. Keep in mind, even if the bonus scheme is discretionary, you should act in good faith and consult with employees prior to a decision being made to alter or remove the scheme. BrightHR can help you manage and keep track of employee rosters, timesheets, annual holidays, and you can record employee hours, breaks, sick leave and absenteeism with Blip, to help you with your employees’ pay. Effectively reducing an employee’s pay Deductions Deductions may effectively reduce the employee’s take home pay, though it is not their purpose to assist employers to reduce pay, but to allocate the deducted money elsewhere for a lawful purpose. Employers can’t deduct from an employee’s pay on a whim. Deductions are usually only permitted in certain authorised circumstances, such as if required by law, (for example child support), at the direction of a court, or if it is lawful and reasonable in the circumstances and there is an agreement in writing with the employee, though the employee may withdraw their consent at any time. The Wages Protection Act 1983 prevents unlawful deduction from wages and provides that deductions from an employee’s pay can only be made in the following circumstances: If the deduction is required by law e.g.  student loan repayment or child support; if the deduction is for a lawful purpose, is reasonable and the employee has agreed to or asked for the deduction for a specific amount and reason in writing; if the deduction is reasonable and authorised in writing in the employment agreement, following further consultation with the employee once the specific amount and reason is ascertained; the deduction is to recover an overpayment in limited circumstances; or a court directs that a deduction be made. Reduction of Hours You may be able to reduce an employee’s hours, which may effectively reduce the amount you are paying them, but their hourly rate of pay would stay the same. Agreed hours of work per week must be in the employment agreement and if an employee has set days, hours, start and finish times, it is best to include these too. If an employee or employer wants to change the hours of work, an employer can’t change them without mutual agreement or without the employer following a formal consultation process with the employee.  Both the employer and employee should agree to the reduction in hours in writing as a variation to the employment agreement, provided the reason for the reduction is fair and reasonable. If an employee thinks that the change to their hours is disadvantaging them and that the process the employer followed was unfair or there were no genuine reasons for changing their hours of work, then they may bring a personal grievance for unjustified disadvantage. In some situations, cutting back on an employee’s hours may be put forward as an alternative to redundancy. In these situations, the employer must have a genuine business reason for the proposed change. Furthermore, the employer must follow a fair and reasonable consultation process and act in good faith, which includes giving the employee a fair opportunity to consider and respond to the proposed change prior to a decision being made. Redundancy A genuine redundancy is when the employer no longer requires  a specific role in their business and there are no other jobs available within the business that the employee could reasonably do. Examples of genuine reasons for redundancy include outsourcing operations, changing the business direction or changing the way the company operates in order to reduce costs and increase the viability of the business. An employer must consider redeployment options before making an employee redundant, such as whether you can offer the employee reduced hours; a change of status eg from permanent to casual; or a lower paid job, if that is all you have available within the business. It is up to the employee to decide if they want to accept the lesser hours or a lower paid job. If they refuse, then the employer should continue with the process which may result in their employment being terminated. In this case, the employer will have to give them notice, any redundancy compensation (where applicable) as well as any wages and entitlements owing. An employer should pay an employee any outstanding pay for hours worked since their last pay, unused holiday pay and any other additional entitlements due to the employee as per the employment agreement or as part of their termination package, on their last day of work. BrightHR can help you manage and keep track of employee rosters, timesheets, annual holidays, sick leave and absenteeism with Blip to enable you to pay the employee their final pay. An employer must keep wage and time, and holidays and leave records for the preceding six years, even if the employee is no longer with the business. With BrightHR,you can generate and print reports, and then store wage and time records and related documents securely in the cloud to comply with your record-keeping requirements.

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10 Common Behavioural Interview Questions and Answers

What Are Behavioural Interview Questions? Behavioural interview questions are questions commonly asked in job interviews, which are designed to tap into the candidate’s past experiences to understand how they approach and respond to various situations, as well what areas they might find particularly challenging. Behavioural interview questions require candidates to share information about how they have behaved in a previous scenario, and typically start with ‘tell me about a time when…’. Find out 10 common behavioural interview questions and sample answers for employers. Why Employers Should Consider Asking Behavioural Questions Compared to unstructured interview questions, structured behavioural interview questions have been shown to provide interviewers with richer information which may be more predictive of a prospective employee’s future job performance than an unstructured interview. Using behavioural questions in an interview can help employers understand how candidates have previously responded in specific situations and identify where they might struggle. Previous behaviour can be a strong predictor of future performance, meaning that the answers given can help an employer understand how well a candidate is likely to perform in the role they are hiring for. Behavioural questions can therefore help employers assess if a candidate is likely to meet the competencies and soft skill requirements of the role. Behavioural questions can also help employers short-list potential candidates if the same question is asked of all candidates. The employer can compare the responses given by the different candidates to determine the candidate most likely to succeed in the role. BrightHR Create a profile for each candidate and store the related documents in the cloud with our BrightHR app so you can refer back to them on the go. You can manage and keep track of employee rosters, timesheets, leave and absenteeism, and store employee profiles, wage and time records and related documents securely in the cloud with our BrightHR software 10 Common Behavioural Interview Questions and Sample Answers Problem Solving 1. You had to come up with a new solution to a problem This question allows you to tap into whether the candidate can show initiative day-to-day in their role, and how creatively they can identify ways to solve a problem. Follow up questions: How did you come up with the solution? What other options did you have? Why didn’t you choose those? What was the outcome? 2. You made a mistake This question allows you to assess taking ownership for mistakes, and whether the candidate has resilience to be able to dust themselves off and move forward afterwards. Follow up questions: Whose fault was it? How did you correct it? What did you learn from the situation? 3. You were faced with an unexpected challenge This question helps you understand how adaptable the candidate is and whether they can cope well with change or challenges that are thrown their way. Follow up questions: How did you overcome the challenge? What did you learn from the situation? Communication Skills 4. You had to give someone constructive feedback This question will help you assess whether the candidate is comfortable having difficult conversations, but also whether they can do so tactfully. Follow up questions: How did you deliver the feedback? How did they respond to the feedback? Did they change their behaviour after receiving the feedback? 5. You disagreed with someone on a way to solve a problem This will help you identify how the candidate manages conflict, and how cooperative they are in solving problems Follow up questions: What decision did you eventually make on how to solve the problem? How did you make the decision? What was the outcome? 6. You had to display a high level of attention to detail in completing a task This question will help you assess whether someone has a good eye for detail, and what methods or strategies they use to ensure their work is of a high quality. Follow up questions: What method(s) did you use to focus your attention on the detail? Did you miss anything? What was the outcome? Teamwork 7. You had to lead a team or take the lead on a project This question can help you assess leadership skills, and see how comfortable the candidate is in a leadership position Follow up questions: How did you find taking the lead? How did your team react to your leadership style? What was the outcome? 8. You had to work as part of a team to complete a task This question can allow you to explore how well the candidate works alongside others. Follow up questions: What was your role in the team? How well did you work together? Why? What was the outcome? 9. You had to delegate work to others This is another great question if you are looking to assess leadership capabilities. Good delegation requires a mix of strong communication skills, motivational skills, and the ability to empower others. Follow up questions: How did you explain what needed to be done? Did you encounter any issues? What was the outcome? Time Management 10. You had to work towards a tight deadline This allows you to assess ability to work towards a goal, under pressure. Follow up questions How did you manage your time to meet the deadline? What was the outcome? 11. You had two or more competing priorities This allows you to assess whether someone can juggle multiple responsibilities or priorities at once, it can also be a way of assessing how comfortable they are with pushing back in situations where they need to prioritise one thing over another. Follow up questions: How did you manage your time? Did you have to push back on either priority? What was the outcome? The S.T.A.R. Method – A Behavioural Interview Technique The S.T.A.R. Method is a framework that can be used to provide structure to behavioural questions and answers. It can be used by interviewers and candidates alike to ensure the candidate provides rich responses to behavioural questions. The S.T.A.R. method comprises four steps in explaining a previous experience: Situation: An explanation of the context, for example what was the problem to be solved. Task: Outline of the task that needed to be completed in responding to the situation. Action: What action was taken to respond to the situation and achieve the task at hand. Candidates should ensure that they cover off what they personally did in the situation. Result: What the outcome was of the action taken. If possible, to include quantifiable outcomes – e.g. were you able to save money or reduce incidents as a result? An example of the S.T.A.R. method in action: Interviewer: Tell me about a time that you had to give someone constructive feedback. Situation: What was the situation? Task: What was feedback you needed to give? Action: How did you give the feedback? Result: What was the outcome? Candidate: Situation: A member of my team completed a piece of work that was full of spelling and grammatical mistakes – it was clear that they hadn’t proofread it and had not taken care before sending it to me. Task: I wanted to provide them with the feedback so that they would take more care the next time and proofread their own work before sending it to me. Action: I found an appropriate time and place and stated that I wanted to share some feedback on the recent piece of work. I shared the issues that I had found, and explained the impact it had on my time. I stated I knew they were capable of higher quality work, and suggested they spend more time proofreading next time before sending to me. Result: My team member agreed that they rushed the work and that they are capable of more. We agreed that they would take more care next time. Since then there has been a significant increase in the quality of their work, and saving me time in reviewing. This blog has been compiled on the basis of general information current at the time of publication and reflects an opinion only and is not intended to provide anything other than an opinion at any time. Your specific circumstances as well as any changes in circumstances after publication may affect the relevance, completeness or accuracy of this information. To the maximum extent permitted by law, we disclaim all liability for any errors or omissions contained in this information or any failure to update or correct this information. It is your responsibility to assess and verify the accuracy, completeness, currency and reliability of the information on this website, and to seek professional advice where necessary. 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