90 day trials benefiting small businesses and disadvantaged job hunters

Stuff reports:

Small businesses are more likely to hire disadvantaged job hunters since a 90-day trial period was introduced in 2011, research shows.

Recall Labour and Greens vow to abolish these, which would make us (off memory) the only country in the OECD without them.

A national survey of employers found that 72 per cent of those which used trial periods had not dismissed an employee during that time, while 27 per cent of employers had dismissed at least one worker during the trial period.

The report said smaller employers were most satisfied with the 90-day trial because they faced greater risks and costs when recruiting.

Larger employers benefited less, mainly because they had more robust recruitment processes and greater resources to manage risk, it said.

Under the 90-day trial, about one third of employers said they hired staff they would not have otherwise taken on.

The costs to an employer of a wrong staff hire can be quite massive, and job interviews are no substitute for seeing how someone actually performs.

Changes to the Holidays Act had partially met objectives and had minimal impact on firms’ costs, the report said.

Employers and unions said the ability to allow cashing up to occur and to transfer public holidays was sensible.

Didn’t the unions oppose the option of cashing up the 4th week of leave? Could never work out why – it gives employees more flexibility and choice.

Changes to union access and communication during collective bargaining had little impact on employers and unions and did not increase the number of problems reported.

Yet they claimed it would. Shows the recent changes have been minor, yet useful.


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