Good faith
Employers and employees are obliged to deal with each other at all times fairly, reasonably and in good faith.
In broad terms, this means that both employers and employees must:
- act honestly, openly, and without hidden or ulterior motives
- raise issues in a fair and timely way
- be constructive and cooperative
- be proactive in providing each other with relevant information and consider all information provided
- respond promptly and thoroughly to reasonable requests and concerns
- keep an open mind, listen to each other and be prepared to change opinion about a particular situation or behaviour, and
- treat each other respectfully.
Good faith generally involves using practical common sense. Acting in good faith reduces the risk of conflict and problems. It is also a minimum requirement of the Employment Relations Act 2000.
There isn’t a single set of requirements, because every workplace is different. However, there are some key expectations of a good faith relationship:
- Employers, employees and unions should be responsive and communicative with each other.
- The employee’s employment agreement should reflect genuine discussion and negotiation.
- The employee should have access to appropriate information when the employer is making decisions that may affect his/her job.
- Problems that arise should be dealt with in a manner that is consistent with what a reasonable person could do.
Good faith is about treating others in the way you would like to be treated. This does not mean that an employer should not act firmly where appropriate but employees should always have a fair opportunity to have a say before a decision is made, and neither party should treat the other in a degrading or humiliating manner. It also means that employers and employees need to raise concerns when they arise. Otherwise solving the problem becomes more difficult.
Employers should have good processes and procedures for dealing with issues and should make sure that employees are aware of them. Everyone in the workplace should understand what is expected of them, including who to approach if they have a problem.
