ABSTRACT

Termination of the contract of employment may occur in a number of ways:

death;

mutual agreement;

expiry of fixed term contract;

frustration;

dismissal.

Where an employer terminates the employee’s contract, a minimum period of notice should be given. The period of notice will either be that stated in the contract of employment, or in s 86 of the ERA 1996. The period of notice is as follows:

employment between one month and two years – one week’s notice;

employment for more than two years – one week’s notice for each year of employment, subject to a maximum of 12 weeks (s 86);

either party may waive their right to notice;

wages or salary may be provided in lieu of notice;

an employee may be dismissed without notice for serious misconduct.