Employment Law5 min read14 June 2026

The 30-Day Collective Agreement Rule Is Gone: What Changed on 21 February 2026

From 21 February 2026, new employees no longer have to start on a collective agreement's terms for their first 30 days. Here's what changed under the Employment Relations Amendment Act 2026, and what employers and new staff need to know.

⚠️This article provides legal information only, not legal advice. Laws change — always verify with current legislation at legislation.govt.nz. For advice on your specific situation, consult a qualified NZ lawyer.

The Short Version

If your workplace has a collective employment agreement and you hire a new employee who is not a union member, the law that governed their first 30 days has changed.

Until 21 February 2026, that new employee had to be employed on terms that matched the collective agreement for their first 30 days — the so-called "30-day rule" in section 62 of the Employment Relations Act 2000.

From 21 February 2026, the Employment Relations Amendment Act 2026 removed that rule. A new employee can now agree to an individual employment agreement from day one, or choose to join the collective.


What the 30-Day Rule Used to Require

Under the previous version of s 62 ERA 2000, when an employer was a party to an applicable collective agreement and hired a new employee in work covered by it:

·For the first 30 days, the new (non-union) employee's terms had to be consistent with the collective agreement.
·The employer had to give the employee information about the collective and an "active choice" form so they could decide whether to join the union.
·After 30 days, the employee and employer could agree to different individual terms (unless the employee had joined the union).

The policy aim was to stop new employees being offered worse terms than their collective-covered colleagues during their first month.


What Changed on 21 February 2026

The Employment Relations Amendment Act 2026 came into force on 21 February 2026 and removed the 30-day rule.

In practice, from that date:

| Before 21 Feb 2026 | From 21 Feb 2026 |

|---|---|

| New employee's first 30 days had to match the collective agreement | New employee can agree individual terms from day one |

| "Active choice" form required | No "active choice" form required |

| Limited room to agree different terms early | Employer and employee free to agree a wider range of terms from the start |

The employee can still choose to join the union that is a party to the collective — and if they do, the collective agreement binds them.


What Employers Must Still Do

The change does not remove every obligation. When hiring a new employee in a role covered by a collective agreement, an employer must still:

·Tell the new employee that there is a union that is a party to an applicable collective agreement;
·Explain how to contact that union; and
·Make clear that if the employee joins the union, the collective agreement will apply to them.

So the duty to give union information remains — it is the mandatory 30-day collective terms and the "active choice" form that have gone.


What It Means for New Employees

·You can be offered, and agree to, an individual employment agreement from your first day — its terms may differ from the collective.
·You still have the right to join the union that is party to the collective agreement at any time; if you do, the collective will cover you.
·All your minimum legal rights still apply regardless — minimum wage, annual and sick leave, public holidays, and protection from unjustified dismissal under the Employment Relations Act 2000 and the Holidays Act 2003. Those cannot be contracted out of.

Before you sign an individual agreement, it is worth comparing its terms against the collective and getting advice if you are unsure.


What It Means for Employers

·You can negotiate individual terms with new hires from day one, including terms that differ from the collective agreement.
·You no longer need to provide the "active choice" form.
·You must still provide the union information described above — getting this wrong can still expose you to a personal grievance or penalty.
·Existing collective agreement coverage for union members is unchanged.

Check It Yourself

·Section 62, Employment Relations Act 2000legislation.govt.nz
·Employment Relations Amendment Act 2026legislation.govt.nz
·Employment New Zealand (official guidance) — employment.govt.nz

LexNZ provides legal information only — not legal advice. Employment law changes can have important consequences for your agreements; for your specific situation, talk to an employment lawyer or your nearest Community Law Centre.

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