Employee Outsourcing Agreement Template for New Zealand

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Key Requirements PROMPT example:

Employee Outsourcing Agreement

"Need an Employee Outsourcing Agreement for outsourcing IT developers from a global staffing company to our Auckland-based tech firm, starting March 2025, with specific provisions for handling intellectual property and remote work arrangements."

Document background
The Employee Outsourcing Agreement is designed for businesses operating in New Zealand that seek to engage workers through an outsourcing arrangement. This agreement is essential when a company (the host company) wishes to utilize workers employed by another company (the outsourcing service provider) while ensuring compliance with New Zealand employment laws and regulations. The document addresses key aspects including employment terms, workplace safety, liability allocation, and operational procedures, while maintaining alignment with the Employment Relations Act 2000, Health and Safety at Work Act 2015, and other relevant New Zealand legislation. The agreement is particularly relevant in situations where companies need flexible workforce solutions, specialized skills, or want to focus on core business activities while delegating employment administration and compliance responsibilities to a specialized provider.
Suggested Sections

1. Parties: Identifies the contracting parties: the outsourcing company (service provider) and the host company (client)

2. Background: Outlines the context of the agreement, including the purpose of the outsourcing arrangement and the general intent of the parties

3. Definitions: Defines key terms used throughout the agreement, including 'Outsourced Employees', 'Services', 'Workplace', etc.

4. Scope of Services: Details the employee outsourcing services to be provided, including types of roles and responsibilities

5. Term and Renewal: Specifies the duration of the agreement and conditions for renewal

6. Service Provider Obligations: Outlines the outsourcing company's responsibilities, including employment, payroll, and statutory compliance

7. Client Obligations: Details the host company's responsibilities, including workplace conditions, supervision, and coordination

8. Employee Management: Covers recruitment, selection, training, performance management, and discipline procedures

9. Health and Safety: Establishes health and safety responsibilities and compliance requirements for both parties

10. Fees and Payment: Details the fee structure, payment terms, and invoicing procedures

11. Confidentiality and Privacy: Addresses the protection of confidential information and personal data

12. Liability and Indemnification: Allocates risks and responsibilities between parties

13. Dispute Resolution: Outlines procedures for resolving disputes between parties

14. Termination: Specifies termination rights, notice periods, and consequences of termination

Optional Sections

1. Immigration Compliance: Required when the agreement involves foreign workers, detailing visa and immigration compliance requirements

2. Intellectual Property: Needed when outsourced employees may create or have access to intellectual property

3. Non-Competition: Optional restrictions on the service provider's ability to provide similar services to competitors

4. Transition Services: Required for complex arrangements where specific transition procedures are needed at the start or end of the agreement

5. Insurance Requirements: Detailed insurance obligations beyond standard coverage

6. Business Continuity: Required for critical service arrangements requiring specific disaster recovery and business continuity measures

7. Security Requirements: Needed when outsourced employees require access to sensitive systems or facilities

Suggested Schedules

1. Schedule 1: Service Specifications: Detailed description of outsourced roles, responsibilities, and service levels

2. Schedule 2: Fee Schedule: Detailed breakdown of fees, charges, and payment calculations

3. Schedule 3: Key Personnel: List of key contacts and their roles from both parties

4. Schedule 4: Employee Minimum Terms: Minimum employment terms and conditions for outsourced employees

5. Schedule 5: Performance Metrics: KPIs and performance measurement criteria

6. Appendix A: Standard Operating Procedures: Detailed procedures for day-to-day operations and management

7. Appendix B: Required Forms and Templates: Standard forms for reporting, requests, and communications

8. Appendix C: Health and Safety Procedures: Specific health and safety requirements and procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Information Technology

Manufacturing

Healthcare

Construction

Professional Services

Financial Services

Hospitality

Retail

Mining and Resources

Transportation and Logistics

Agriculture

Education

Telecommunications

Relevant Teams

Human Resources

Legal

Procurement

Operations

Compliance

Risk Management

Finance

Health and Safety

Industrial Relations

Contract Administration

Project Management

Relevant Roles

Human Resources Director

Legal Counsel

Procurement Manager

Operations Manager

Compliance Officer

Risk Manager

Chief Financial Officer

Chief Operating Officer

Workforce Planning Manager

Health and Safety Manager

Industrial Relations Manager

Talent Acquisition Manager

Contract Administrator

Project Manager

Business Unit Manager

Industries
Employment Relations Act 2000: Primary legislation governing employment relationships in New Zealand, covering rights and obligations of employers and employees, including good faith obligations, employment agreements, and dispute resolution
Health and Safety at Work Act 2015: Establishes workplace health and safety requirements, particularly important as both the outsourcing company and host company have H&S obligations
Privacy Act 2020: Regulates how personal information is collected, used, stored and shared, crucial for handling employee data between outsourcing and host companies
Immigration Act 2009: Relevant if the agreement involves overseas workers, ensuring compliance with work visa requirements and employer obligations
Contract and Commercial Law Act 2017: Governs commercial contracts and business relationships, providing framework for the outsourcing arrangement
Fair Trading Act 1986: Ensures fair trading practices and prevents misleading conduct in business relationships
Wages Protection Act 1983: Regulates payment of wages and prevents unauthorized deductions, important for payment arrangements in outsourcing
Holidays Act 2003: Governs holiday and leave entitlements, which must be properly addressed in outsourcing arrangements
Human Rights Act 1993: Prohibits discrimination in employment and ensures equal treatment of workers regardless of employment arrangement
Protected Disclosures (Protection of Whistleblowers) Act 2022: Protects employees who report serious wrongdoing in the workplace, applicable to both direct and outsourced employees
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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