When senior managers get it wrong.

The recent case of Four Applicants v A Respondent [2026] NZERA 407 has highlighted what happens when senior managers get it wrong and the impact this can have on your organisation.

The decision

The Employment Relations Authority found that a senior manager unlawfully used their position to pressure four employees over their union activities, warning that participation in collective bargaining, strike action, and union representation could harm their careers and job security.

The Authority held that these conduct caused genuine distress and amounted to unlawful discrimination and duress under the Employment Relations Act.

It also ruled that withdrawing work-from-home arrangements for striking employees was an unlawful disadvantage.

Although an annual leave-related claim was not upheld, the Authority was highly critical of the manager’s conduct and awarded the employees a total of $40,000 in compensation, while granting name suppression to protect their future employment opportunities.

The Employer argued that the conversations were unauthorised and did not represent the company’s position.

However, the Authority held that the senior manager was nevertheless acting as a representative of the employer because of their position and authority over the employees.

It found that describing the discussions as “off the record” or “man-to-man” did not remove the manager’s status as an employer representative.

What can you do to prevent this happening?

The case serves as an important reminder that employers must ensure all people leaders, from frontline supervisors through to senior managers, understand their legal obligations, boundaries, and responsibilities when managing employees.

One of the most effective ways to achieve this is through practical, targeted training on the employment law “dos and don’ts” of people management, including how to engage with employees involved in union activities and other protected workplace rights.

Such training can help prevent well-intentioned but inappropriate conduct from exposing employers to significant legal and financial risk.

How can we help?

Whether you are a small business or a large private or public sector organisation, we offer a wide range of bespoke training programmes designed to help prevent situations like this from arising.

Our practical, employment law-focused training equips managers and leaders with the knowledge and confidence to navigate workplace issues appropriately, reduce legal risk, and foster positive employment relationships.

Need support? Our team offers tailored training solutions for your people leaders, to ensure they are managing people compliantly. 

For more information on training, or for legal advice, please get in touch with our team. Email admin@cmalaw.co.nz or phone 03 211 0153.

Disclaimer: This update provides commentary on employment law and it should not be used as a substitute for legal or professional advice for specific situations. Please seek legal advice from your lawyer for any questions specific to your workplace.