u/rux616

Employment contract allows for summary termination in case of employee bankruptcy

Hi all. I've just received a job offer contract for a permanent position, and while reading through it, I came across what seems to me to be a bit of a weird clause that appears to allow the hiring company to terminate me in the event I have to declare bankruptcy. The exact text is as follows:

> X. TERMINATION
> [...]
> X.Y Nothing in this clause will prevent summary dismissal in the event of:
> [...]
> X.Y.Z You being adjudicated bankrupt, committing any act of bankruptcy or entering into any scheme or arrangement with or for the benefit of your creditors;

I don't remember seeing this clause in any prior work contract I've ever had, and was wondering if this is normal. (This is my first in-person job in NZ - I've only previously worked remotely.) I could see this being a thing if it was a supplier contract or somesuch, but it strikes me as odd on a contract for a permanent position.

I'm happy to answer any questions that would provide more clarity.

Edit: The job is NOT financial, it is a sort-of-subset of IT (specifically something called "OT" - Operational Technology, working with sensors and control systems that interact with the real world), so I won't have admin access to everything, e.g. HR documents, financial statements, etc.

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u/rux616 — 1 day ago