Thursday, 27 March 2014

New minimum wage rates

New minimum wage rates take effect from 1 April 2014

The new adult minimum wage rates (before tax) that apply to employees aged 16 or over will be:

  • $14.25 per hour, which is
  • $114.00 for an 8-hour day,
  • $570.00 for a 40-hour week.

The Starting-out wage  rates and the training minimum wage rates (before tax) will increase to:

  • $11.40 an hour, which is
  • $91.20 for an 8-hour day or
  • $456.00 for a 40-hour week.

The Starting-out wage  applies to:

  • 16 and 17 year olds in their first six months of work with a new employer (or until they are training or supervising others)
  • 18 and 19 year olds who have been paid a benefit for six months or longer, and who have not completed six months of continuous work with any employer since starting on benefit (or until they are training or supervising others)
  • 16 to 19 year old workers in a recognised industry training course involving at least 40 credits a year.
The training minimum wage applies to employees aged 20 years or over who are doing recognised industry training involving at least 60 credits a year as part of their employment agreement, in order to become qualified.

For more information on minimum wage rates, go to the Ministry of Business, Innovation and Employment's website (dol.govt.nz / Minimum Wage/) or call 0800 20 90 20.

Thursday, 6 March 2014

Minimum Employment Rights and Obligations

If you're employer and looking to hire new staff, then it’s important you know your employment rights and obligations.

All employees have the same minimum employment rights no matter if they are working full-time, part-time or on a casual basis.

Employers have an obligation to ensure all their employees are receiving at least their minimum employment rights.

Minimum employment rights include:

  • Four weeks' paid annual holidays at the end of each year of employment.
  • One 10 minute paid rest break for every four hours worked plus one unpaid 30 minute meal break when working more than four hours. 
  • A signed employment agreement. 
  • Employees aged 16 years and over must be paid at least the adult minimum wage rate. 

Employers must:

  • Keep an accurate record of an employee’s time worked, payments, and holiday & leave entitlements 
  • Keep a signed copy of the employment agreement 
  • Pay employees their daily pay or average daily pay (if applicable) for public holidays
  • Ensure that the person they’re employing has the legal right to work in New Zealand 

More information

More information about minimum employment rights is available from the Ministry of Business, Innovation and Employment’s labour website.