When consultation trumps confidentiality

The employment court has ruled that the midwives should have been consulted. (Image: NZME)

Fri, 24 May 2024

The court of appeal recently declined an application for leave to appeal an employment court decision in Birthing Centre Limited v Matsas. This is an important case on employee consultation obligations when an employer is negotiating an asset sale or commercial contract that affects employees.It demonstrates that claims of confidentiality and commercial prejudice as a reason not to consult before an unconditional agreement is reached will be closely tested.It is common in a commercial transaction for negotiating parties to want to keep ma...

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