Thursday, April 18, 2024

Farmers ‘too nice’ to workers

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Farmers too often face staff employment problems because they were too nice, a leading farm recruitment consultancy told farmers at a Foundation for Arable Research (FAR) event last week.  Cultural and language differences were two of the greatest challenges emerging in rural staff recruitment, Fegan and Co recruitment executive Marie Hunt told the gathering of Women in Arable farmers in Ashburton.
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When considering recruiting offshore it was important to eliminate cultural surprises as best as possible because they and language barriers were the two greatest issues in recruitment downfalls.

Skype was a good tool. Prospective employers should let the applicant talk first, she said.

“Get them to step through a typical day on their farm before talking about your own farm as that negates the opportunity for them to tailor their answers,” Hunt said.

Reference checks should be done, proof of licences and qualifications were a must and clarifying time at university was really important.

“I had one applicant recently who had down that they had four years of university education but when it boiled down, very little of that was agricultural related and some of it was even ballroom dance.

“You should never take anything for granted. You need to research as much as you can to avoid surprises.”

Hunt said level of skill was a grey area.

“Expectation of skill level varies from country to country and what we in New Zealand expect of a certain skill level can be very different to that of the applicant’s home country.

“Many times it arises that yes, they can do a certain job but when you delve into it, there could well be five of them doing that same job in their country and here they will be expected to do that particular job on their own.

“That’s where understanding falls apart and where major issues arise.”

Hunt advised bringing in a lower key role rather than recruiting for a management role initially. 

Personality and cultural differences were high ranking triggers for likely employment grievances.

Hunt urged farmers to seek appropriate immigration advice.

“You need to know the best policy suited to your needs to ensure a smooth ride,” she said.

Before offering a job, check with an immigration adviser on visa requirements and be sure to have advertised the job well in NZ first because that would be the first question asked.

If the job vacancy is on the immediate skills shortage list then there was no need to go through the NZ advertising process.

Work and Income NZ must be involved because Immigration NZ would liaise with it about the labour market check. 

Hunt recommended farmers doing their own recruitment follow the Federated Farmers model as Immigration regarded that as good overall guidelines.

Hunt reminded farmers the minimum wage had increased to $14.75 an hour on April 1, with full time classified as a minimum 30 hours a week.

“You should never take anything for granted. You need to research as much as you can to avoid surprises.”

Marie Hunt

Fegan and Co

Working holiday visas were easier to obtain and manage but were limited to the 18-35 year age group, varied from three months to a year and were for temporary work only.

Farmers were warned to implement the 90-day trial period very carefully because there were loopholes.

The key was to ensure it was agreed and signed before the employee got into gumboots and on the farm for their first day’s work.

“There are some big penalties if you don’t do things right,” Hunt told the farmers.

The 90-day trial period was optional. It was included in the Feds guidelines but could be used only for new employees and it was advisable to include in the employment contract.

New Ministry for Business, Innovation and Employment housing rules regulated accommodation must be accounted at fair market rates.

Hunt said the rural sector downplayed the value of the housing rate to a worker and as a result accommodation had been undervalued.

Accommodation was a taxable income and while it might also affect Working for Families allowances, farmers should not be accounting down to favour the worker.

A four-bedroom home was market valued at about $400. 

“Some of the biggest problems come because you are too nice, you have got to protect yourself,” Hunt said.

Record keeping was important, mandatory for casual or part-time employment and highly recommended even for salaried employees.

Labour inspectors visited 44 dairy farms between November 2013 and April 2014 and 31 were found to be in breach of minimum employment rights.

“Labour inspectors can turn up at any time and if you have everything transparent and accountable there will be no problems.”

The new positive for the rural sector came with the recent introduction of new laws in respect to negotiable rest and meal breaks.

“You can come to agreement with an employee re what’s appropriate for individual situations – that is a plus and will be more practical for the farming sector that obviously has varying needs,” Hunt said.

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