The 90-day trial period does not mean an employer can do whatever they like for three months and then let you go without consequence. There are real conditions that must be met, and if your employer gets any of them wrong, the trial may not be legally valid at all.
Does the 90-day trial apply to every NZ employer?
No, and this is the most common misunderstanding. The 90-day trial period is only available to employers with fewer than 20 employees. If your employer has 20 or more staff, they cannot use a 90-day trial, full stop. Plenty of workers have been surprised to learn this after the fact.
Source: Trial periods, Employment New Zealand
Myth: You have no rights during a 90-day trial
Reality: You have most of the same rights as any other employee from day one. Minimum wage still applies. Your entitlement to sick leave kicks in after six months of continuous employment, and annual leave builds from day one toward the four weeks you get after 12 months.
What the trial period actually removes is your ability to raise a personal grievance specifically about being dismissed during that window, provided the trial was set up correctly. It does not remove your right to raise a grievance about discrimination, sexual harassment, or other serious matters.
Source: Annual holidays, Employment New Zealand
Myth: A verbal agreement to a trial period is enough
Reality: The trial period must be written into your employment agreement before you start work. If it is not in writing and signed before your first day, it is not valid. This catches employers out more often than you might expect, and it matters a lot if things go wrong later.
Some workers sign their agreements on their first morning, which can create genuine legal grey areas. If someone hands you paperwork on the way in the door, it is worth asking when they need it signed.
Source: Employment agreements, Employment New Zealand
Myth: Being dismissed in a 90-day trial means no notice and no explanation
Reality: Your employment agreement must specify what notice you get if you are let go during a trial period. In most cases you are still owed that notice (or payment in lieu). Your employer does not have to give a detailed reason for ending employment during the trial, but they cannot dismiss you for a reason that would otherwise be discriminatory or unlawful.
If something feels off about how a dismissal was handled, it is worth getting advice. Citizens Advice Bureau and Community Law centres offer free guidance.
- Only employers with fewer than 20 employees can use a 90-day trial
- The trial clause must be in your written employment agreement before you start
- Minimum wage, notice pay, and most other entitlements still apply
- You can still raise a grievance for discrimination or harassment
- The trial covers dismissal only, not how you are treated day to day
- Annual leave and sick leave entitlements accrue normally during the trial
Frequently asked questions
Can a company re-hire me and use a 90-day trial again?
Generally no. The trial is designed for new employees who have not worked for that employer before. If you have previously been employed by the same business, they likely cannot use a fresh 90-day trial on you.
What happens if my employer breaks the rules of the trial period?
If the trial was not set up correctly, it may be invalid. That could mean you retain the right to raise a personal grievance about your dismissal. Getting advice from Employment New Zealand or a community law centre is the practical first step.
Does a trial period affect my KiwiSaver contributions?
No. KiwiSaver enrolment and contributions work the same way regardless of whether you are on a trial period. Your employer must still contribute a minimum of 3% if you are enrolled.
Source: KiwiSaver employer contributions, IRD
Can I resign during a 90-day trial period?
Yes. The trial period limits your ability to raise a grievance about being dismissed. It does not stop you from resigning if the job is not right for you. Check your agreement for the notice you are required to give.
Where can I get free help if I think my trial was handled wrongly?
Employment New Zealand has free guidance online. Citizens Advice Bureau and Community Law centres can talk you through your situation at no cost. You can also contact the Employment Relations Authority if a formal process becomes necessary.
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