Minimum entitlements are a long-established feature of the employment landscape in New Zealand and cannot be unknown to employers. Although calculating and paying bereavement, alternative days, public holidays and sick leave sounds simple enough, it is actually quite easy to get wrong – as has been demonstrated in multiple Authority and Employment Court cases.

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Labour Inspectors make sure that employers operate within the law in relation minimum entitlements – that is things like minimum wages, annual leave, and public holidays.  They can take action to enforce minimum standards through the Employment Relations Authority.

Record Keeping Requirements

The introduction of the new Employment Standards Legislation from 1 April 2016 places greater emphasis on the requirement for employers to keep clearer records for pay, time, leave and public holidays. The purpose of these changes are to make it easier to assess if employees are receiving their minimum entitlements as set out in legislation.

A Cashing Week Annual Leave

An employee is entitled to four weeks of annual leave. The employee has a large amount of annual leave owing. Both the employer and the employee have agreed that the employee can cash up any portion of the annual leave entitlement.

Cashing Annual Leave

The Holidays Act 2003 provides that on one or more separate occasions an employee can request that his or her employer pay out a portion of the employee’s annual leave entitlement. There are conditions and restrictions to this cashing up provision (sections 28A-F), the main ones of which are outlined below:

Were Hiring Join Our Talented Team Of Er Specialists

We have positions available in both our Conflict Resolution and ER Support Teams, for which we are looking for people with a strong understanding of the New Zealand employment relations jurisdiction and best practice ER/HR advice.  Depending on your level of experience and expertise, your work could involve a variety of things from employment agreements, policies, health and safety, disciplinary and performance matters, recruitment, restructuring and redundancies through to high level employment relations strategy, collective bargaining, dispute resolution, conflict management, mediations, investigations and change management.

Collective Agreement Defining Otherwise Working Day Binding

A collective agreement (CA) between Holcim (NZ) Ltd (the employer) and the New Zealand Merchant Service Guild IUOW Inc (the union) which covered masters, deck officers and engineering officers on two named vessels defined what would be an “otherwise working day” for the purposes of the Holidays Act 2003.

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