What Happens When You Mishandle Pregnancy at Work? A Helpful but Costly Lesson for Employers

I wonder where the babies are coming from in NZ – RARELY do our clients come to us for advice about managing parental leave! But I spotted an enormous outcome for an employee who was managed poorly by a business owner who should have at least Googled what to do when a staff member advises they are expecting. Two weeks after sharing this happy news, the staff member was told she needed to start maternity leave. No discussion. No medical advice. Just… out.

So this was a report on a recent Human Rights Review Tribunal (HRRT) case in New Zealand. And it cost the employer nearly $100,000.

Let’s unpack what went wrong, why it matters for small business owners, and what you should do if someone on your team becomes pregnant. First of all, though, why was the HRRT involved in this, and not the normal mediation service or employment court?

Mediation vs. the Human Rights Review Tribunal: Where Do You Go?

In New Zealand, most employment disputes start with mediation, which is a free, confidential service offered by the Ministry of Business, Innovation and Employment (MBIE). Mediation is designed to help employers and employees talk through issues and reach a resolution with the help of an independent mediator. It’s informal (believe it or not), fast (when it’s not clogged up with bungled restructures), and often effective – especially for misunderstandings or breakdowns in communication.

But if mediation doesn’t resolve the issue, and the complaint involves unlawful discrimination (like pregnancy discrimination), the next step may be the Human Rights Commission, which also offers a dispute resolution process. In some cases, a complainant may instead elect to pursue a discrimination claim through the Employment Relations Authority under the Employment Relations Act 2000, rather than proceeding under the Human Rights Act. If that still doesn’t lead to a resolution, the matter can be escalated to the Human Rights Review Tribunal (HRRT). The HRRT is a formal legal body that hears claims under the Human Rights Act, Privacy Act, and Health and Disability Commissioner Act. It can award damages for things like humiliation, loss of dignity, and financial loss – up to $350,000. 

So, in short:

• Start with mediation for most employment issues.
• Go to the Human Rights Commission if it involves discrimination.
• Escalate to the HRRT if the issue remains unresolved and involves a breach of human rights.

The Case: Zelinda Doria v Diamond Laser Medispa

Here’s what happened:

• Zelinda Doria, a beauty therapist, told her employer she was pregnant in November 2016.
• Just 15 days later, she was told to start her parental leave – at only seven weeks pregnant.
• She was banned from the premises and later resigned, losing her eligibility for paid parental leave.
• Despite providing a letter from her midwife confirming she was fit to work, her employer refused to reconsider.
• The HRRT found the employer:
  • Failed to consult or consider alternatives like special leave or adjusted duties.
  • Acted without medical evidence or a health and safety risk assessment.
  • Caused Doria’s resignation through unjustified actions.

The recent outcome (nearly 10 years later)?

• $75,000 for humiliation, loss of dignity, and injury to feelings.
• $15,467 for lost income.
• $9,303 for lost parental leave benefits.
• A total of $99,770 in damages

Why This Matters to you (NZ Small Business Owner)

If you’re running a small business, you might not have an HR team or FixHR on speed dial. But that doesn’t mean you’re off the hook.

Here’s why this case should make you sit up:

• Pregnancy is protected under both the Human Rights Act and the Parental Leave and Employment Protection Act (PLEPA).
• You can’t force someone onto parental leave unless very specific legal and medical conditions are met.
• Consultation is key – you must talk with your employee, consider alternatives, and document everything.
• Getting it wrong is expensive – not just financially, but reputationally too. And these things are always protracted. Who wants 10 years of something like this hanging over them?

What To Do When Someone Gets Pregnant at Work

Here’s a simple flowchart to help you navigate the right steps:

Employee tells you they’re pregnant
        ↓
Congratulate them and ask how they’re feeling
        ↓
Discuss their role and any adjustments they might need
        ↓
Ask for medical input if there are health or safety concerns
        ↓
Consider options: adjusted duties, special leave, or annual leave
        ↓
Document all discussions and decisions
        ↓
Agree on a parental leave plan together
        ↓
Support them through the transition

Final Thoughts

This case is a reminder that good intentions are not enough – you need to follow the law, engage with empathy, and document your process. If you’re unsure, get advice early. It’s far cheaper than a Tribunal ruling.

Want help reviewing your parental leave policies or training your managers? Let’s talk. Click connect and have a chat with Ainsley.