SICK LEAVE & ACC

Being off work does not put your employment into a legal vacuum.

An employer can eventually consider dismissal where illness or injury means an employee cannot perform the job for a reasonable period. But medical incapacity is not a shortcut. The employer should investigate actual work capability, use current medical information, consider the likely duration of incapacity and examine reasonable alternatives before deciding employment cannot continue.

A Dismissed Kiwi beside packed office belongings while dealing with a job loss
PRACTICAL GUIDEDismissed while sick or on ACC
START WITH THE REAL ISSUE

What this situation actually means.

Medical incapacity cases are fact-specific. Relevant factors include the nature of the role, length of service, how long the employee has already been absent, what the medical evidence says about prognosis, how long the employer can reasonably keep the job open, and whether temporary or permanent adjustments could allow a return to work.

Current medical information matters. An employer should not ordinarily base dismissal on guesswork or stale certificates if more useful information can reasonably be obtained. The employee should know what information is being relied on and have a meaningful opportunity to respond before the final decision.

ACC can add another layer. Where vocational rehabilitation obligations apply, the employer may need to take practicable steps to support the rehabilitation goals. Even outside that specific duty, the employer should consider alternatives such as adjusted duties, reduced hours or light work where reasonable.

WHAT MATTERS

Four things to check before deciding what the case is worth.

01

Medical incapacity is different from misconduct

Being unwell or injured is not disciplinary wrongdoing. The process should be directed at capability, prognosis and reasonable alternatives rather than blame.

02

The employer needs a realistic medical picture

Up-to-date information about capacity, restrictions, prognosis and likely return-to-work timing can be central to a defensible decision.

03

Alternatives matter

Temporary adjustments, reduced hours, light work, leave arrangements or redeployment may need genuine consideration depending on the case.

04

ACC obligations may be relevant

Where ACC is involved, rehabilitation steps and communication with ACC can be important evidence of whether the employer acted reasonably.

WHAT TO DO NOW

Keep the next steps practical.

1

Collect the medical record used for work

Keep certificates, specialist letters, return-to-work plans, ACC correspondence and any consent you gave for medical information.

2

Identify the actual job requirements

Keep your job description and note which duties you can and cannot currently perform, including possible adjustments.

3

Answer incapacity proposals carefully

Correct factual errors, supply relevant prognosis information and identify realistic alternatives rather than simply saying you want to keep the job.

4

Keep ACC rehabilitation material

Preserve vocational rehabilitation plans, employer communications and any proposed graduated return to work.

RED FLAGS

Facts that deserve a closer look.

  • CHECK

    The employer treats a short absence as permanent incapacity

  • CHECK

    No current medical evidence is obtained before dismissal

  • CHECK

    The employer refuses to consider a graduated return or other realistic alternative

  • CHECK

    A disciplinary allegation is mixed into the incapacity process without clarity

  • CHECK

    ACC rehabilitation information is ignored

FAQ

Questions people ask in this situation.

Can I be fired while I am on sick leave?

Potentially, but being on leave does not remove the employer's dismissal obligations. The lawful basis and process still matter.

Can my employer dismiss me while I am on ACC?

Potentially, especially in a long-term incapacity situation, but ACC rehabilitation obligations and the employee's actual work capacity must be handled carefully.

How long must an employer hold my job open?

There is no single fixed period that applies to every medical-incapacity case. Reasonableness depends on factors such as prognosis, role requirements, service, absence, workplace impact and available alternatives.

Do I have to give my employer all my medical records?

Not automatically. The employer may reasonably need medical information relevant to work capacity and prognosis, but the scope and method of obtaining it should be proportionate to the employment issue.

DO NOT LET THE LABEL DISTRACT YOU

Dates, documents and sequence usually matter more than the employer's headline.

1 Preserve the record 2 Identify the legal issue 3 Protect the deadline 4 Decide whether to negotiate or escalate
SICK LEAVE & ACC

Want us to assess the actual documents?

Employee-side employment advocacy. No Win No Fee for suitable matters.