Minimum Wage by law
As from 1 April 2012
New Entrants Rate and Training Rate:
$10.80 per hour -
Adult Rate:
$13.50 per hour - |
As from 1 April 2011
New Entrants Rate and Training Rate:
$10.40 per hour -
Adult Rate:
$13.00 per hour - |
The adult rate applies to those aged 16 or over who are not new entrants or trainees.
The training rate employees aged 16 or over who are required by their employment agreements to undertake at least 60 credits a year in a registered training programme. year.
New entrants are 16 and 17 year olds who have been employed for less than 200 hours or three months; who are not supervising or training other workers; and who are not trainees.
There is no statutory minimum wage for employees who are under 16 years old.
Minimum wage exemptions
An exemption from the minimum wage lets a person work for less than the minimum wage. Labour Inspectors can grant an exemption to a person with a recognised disability that significantly slows his or her work and makes him or her incapable of earning the minimum wage.
Holiday pay is on top of minimum wage
Holiday pay for annual holidays is not included in the minimum wage and must be added on top. If an employee is being paid pay-as-you-go holiday pay the payment must be a separate identifiable component of the employee's pay. Pay-as-you-go holiday pay is only allowed for short fixed term agreements and genuinely casual employment
Board and lodging
If an employee is provided with board and lodging, a deduction of 15% for board and 5% for lodging can be made.
Equal pay:
An employer cannot pay men and women different pay rates for doing the same or substantially similar work if the only difference is their sex.
Human Rights:
An employer cannot discriminate in hiring or firing, training or promoting because of the employee's colour, race, ethnic or national origins, sex (including pregnancy or childbirth status), marital or family status, age, disability, religious or ethical belief, political opinion, employment status, or sexual orientation.
Employers cannot discriminate:
On the grounds that a person has been involved in union activities, in relation to terms of employment, conditions of work, fringe benefits, opportunities for training, promotion or transfer, dismissal, retirement, or by subjecting an employee to detriment.
Collective agreement:
If there is no collective agreement that covers the situation, employers and employees aged 16 years or more can agree to any rate of pay in their employment agreement, as long as it is equal to, or better than, the statutory minimum wage.
Wages and time records
Employers must keep wages and time records for each employee, for six years. Employees and their representatives have the right to see these.
These records must include the following information:
the employee's name
the employee's age, if under 20 years
the employee's postal address
the type of work the employee undertakes
the type of employment agreement, individual or collective
the title, expiry date and employee classification in any applicable collective agreement
where payment is calculated by the hour, the hours and days of employment in each pay period
the wages paid each pay day
details of employment relations leave taken
details of annual leave taken
details of statutory holidays worked and days in lieu provided
details of salary deductions, such as PAYE and agreed superannuation contributions.
Employers have obligations to keep holiday records. These may be kept as part of the wages and time records.
Further information is available from the Department of Labour www.ers.dol.govt.nz.
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