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agency and temporary staff

Agency and Temporary Staff

Employment Contracts

20 June 2025 (Last updated 3 Dec 2025)

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Temporary staff (also known as fixed-term employees) are hired on a full or part-time basis. Temporary staff are often hired to work until a specific date or event occurs.

Under New Zealand employment laws, fixed-term employees are entitled to the same rights as permanent employees. This means they are entitled to at least a minimum working wage, holiday and leave entitlements, and training for the temporary job they are being hired for.

Employers must also maintain records of their written employment agreement and wages, time at work, holiday and leave records.

What are Employment Agencies?

Many small businesses choose to recruit their own staff, but employment agencies can recruit for specific roles on behalf of an employer. Agencies that specialise in temporary employment often have a number of contractors and temporary workers available for hire at short notice.

Hiring staff is a time consuming process for employers as each individual usually requires at least one interview, a skill test and reference checks. Employment agencies can be useful for employers who need temporary staff and do not have the time or resources to do their own recruitment.

Reasons for Temporary Work

Different companies in different industries have specific reasons for wanting to hire temporary staff.

The three most common reasons to hire temporary staff is:

  • To complete a certain project within a specific time
  • During peak seasons and holiday events
  • To replace another employee on holiday or leave

Some industries have peak periods where demand for work is particularly high. For example, retail stores get very busy in the months leading up to Christmas, and fruit picking farms can only provide substantial work during certain seasons.

If a company is working on a project, they may need temporary staff with skills or qualifications that other team members don’t have. Therefore, the employee will be hired for only the time they are needed to complete the project.

Regardless of the position being offered, employers can only offer temporary jobs for genuine reasons based on reasonable grounds. And the employee must be told why they are being hired on a temporary basis.

Fixed-Term Employment Agreements

A written employment agreement sets out the terms and conditions of the work relationship.

Fixed-term employment agreements should outline the following:

  • When or how the employment agreement will end
  • The key reason for hiring the employee on a fixed term

If a fixed-term agreement does not specify why the employee is doing a temporary job, the law may consider the employee to be a permanent employee.

Training

Temporary employees are covered by the same work health and safety laws as permanent staff.

Therefore, employers are obligated to provide a safe working environment, equipment and machinery for temporary staff. If an employee needs to learn how to perform a certain task, they should be given supervised training and access to learning materials.

Dismissal

Sometimes, an employer may need to dismiss an employee before the end of their specified date of completion. This can happen if the employee has been involved in serious misconduct, breaching their employee agreement, or their behaviour is a health and safety risk to the company.

To dismiss a fixed-term employee, you must follow the same regulations and procedures as a permanent employee. This means the dismissal has to be done for a good reason, and the process itself must be fair and reasonable.

Depending on the circumstances of the dismissal, you may need to provide a notice period for the employee.

Wondering how to manage temporary staff? Trying to figure out leave entitlements for fixed-term employees? Peninsula works with Kiwi business owners and employers, offering tailored HR advice and documents including employment contracts. Call us on 0800215036 to find out how we can help you.

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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Entitlement to Work

There are thousands of foreign nationals living in Australia. Many arrive for studies and choose to stay on while some arrive with the purpose of migrating permanently. In most of these cases, the individual will need to find employment in Australia. These individuals will need to have the right to work in Australia. The right to work will depend on the visa and its duration and other supporting conditions. As an employer or a business owner, any employee you recruit must have the right and entitlement to work. The right to work is related to the documents employees can provide, thus acting as evidence of entitlement. Remember that as business owners, you are liable if you knowingly employ an illegal worker, knowing they are not an Australian or New Zealand citizen and are working without a visa, or in breach of their visa conditions. Before we review the documents required, let’s go through the eligibility of different people in Australia. 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Australian or New Zealand passport. Evidence of permanent residence (ie. overseas passport with VEVO check). Certificate of Status for New Zealand Citizens in Australia and photo identification. Valid visa with permission to work (not all visas allow people to work). Obtain certified copies of any original, acceptable documents or have the original documents certified by someone authorised, like a Justice of the Peace (JP). These should always be on the employee file and be updated if needed or if their circumstances change. Are there any other supporting documentation employers can accept? If the employee provides acceptable documentation but it is not an Australian government-issued form of photo identification, you can ask the employee to provide the following Australian-issued supporting documentation as proof of identity: Driver’s license. Medicare card. Enrolment to vote in Australian state or federal election. Tax File Number (TFN). 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A Right to Work Check is beneficial for employees too as it stipulates that all minimum wage, working conditions and fair treatment are applicable to them. The information in the above article has been compiled on the basis of general information current at the time of publication. Please note that the contents of this article and website and any information provided by our Fair Work Help Line do not constitute legal advice and are not intended to be a substitute for legal or other professional advice and should not be relied upon as such. Your specific circumstances or changes in circumstances after publication may affect the completeness or accuracy of this information. You should seek legal advice or other professional advice in relation to any particular matters you or your organisation may have. 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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Falsifying Documents

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