New workers in small businesses can be sacked within 90 days of starting their jobs under a law passed today.
The probation period may be extended to larger firms in future.
Labour Minister Kate Wilkinson said the Employment Relations Amendment Act would encourage small businesses - with 20 or fewer workers - to take a risk and hire more staff knowing they would not be caught up in expensive and time consuming personal grievance processes if the person was not right for the job.
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