Paid parental leave extended to 26 weeks

From 1 July 2020 paid parental leave has been extended to from 22 to 26 weeks.  The current rate of these payments for eligible employees are a maximum of up to $606.46 per week before tax, or a minimum payment of $189 per week before tax.

The ‘keeping in touch’ allowance has also increased to 64 hours. These hours allow an employee to work a limited amount of time during the paid parental leave period, without losing their entitlement for payments. This arrangement needs to be agreed to by the employer and employee.

Need help understanding your obligations or entitlements regarding parental leave?

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Please do not substitute this article for professional advice.

Minimum wage goes one step closer to $20 target

On 1 April 2020 the adult minimum wage rate is going up to $18.90 per hour.  This is the last step in a series of significant incremental increases that have been rolled out since the new Government announced (back in 2017) that the minimum wage would reach $20 per hour by 2021.

The minimum wage will go up to $20 per hour on 1 April 2021, which is in line with the Government’s original intention.

Continue reading → Minimum wage goes one step closer to $20 target

New ‘triangular’ personal grievance law passed

The Employment Relations (Triangular Employment) Amendment Act 2019 has been passed into legislation, making changes which may cause significant implications for the labour hire/temp industry as we know it.

From 27 June 2020, the new law will allow a labour hire worker (commonly referred to as a “temp”) to potentially add a host company to a personal grievance proceeding which the labour hire worker takes against their employer (the “labour hire agency” or “temp agency”). This is enabled by the newly introduced concept of a “controlling third party”, which has been defined in the Act as a person:

  • who has a contract or other arrangement with an employer under which an employee of the employer performs work for the benefit of the person, and
  • who exercises, or is entitled to exercise, control or direction over the employee that is similar or substantially similar to the control or direction that an employer exercises, or is entitled to exercise, in relation to the employee.

Continue reading → New ‘triangular’ personal grievance law passed

Equal Pay Bill making progress

The Education and Workforce Committee has reported back on the Equal Pay Amendment Bill, recommending that the Bill be passed with some amendments.  The long-awaited Bill aims to address gender pay equity arising from the historical and systemic undervaluation of ‘women’s work’ in our society.

Key changes to the Bill recommended by the Select Committee include the following:

  • Providing a benchmark for determining a “predominantly female” workforce as being one that is, or historically was, approximately 60% or more female.
  • Removing the requirement to undergo facilitation before seeking a determination in disputes, to maintain a low threshold to commence bargaining and provide the Courts with greater discretion.

Continue reading → Equal Pay Bill making progress

What you need to know about the Domestic Violence—Victims’ Protection Act

The Domestic Violence—Victims’ Protection Act 2018 came into effect on 1 April this year.  This enactment makes a number of amendments to the legislation that governs our workplaces including the Employment Relations Act, Holidays Act and Human Rights Act.

The key changes to be aware of are:

  • Employees with over 6 months’ continuous employment are entitled to 10 days per year paid family violence leave
    • Any untaken leave is not carried forward
    • Untaken leave is not paid out on termination of employment
    • The domestic violence does not have to occurred during the term of the employment

Continue reading → What you need to know about the Domestic Violence—Victims’ Protection Act

New rules for rest and meal breaks from 6 May 2019

As a result of the Employment Relations Amendment Act 2018 and from 6 May 2019, there are new rules employers need to follow for providing employees with rest and meal breaks.

Previously, the legislation allowed employers to determine the times employees were able to take breaks and for how long (within reason).  Under the new legislation, employees will be entitled to prescribed breaks based on the length of their work period such as:

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Careful considerations for employment agreements

Whether you’re hiring someone new or an employee considering a new job offer, there are a few key clauses of the employment agreement that need careful thought and consideration.  Obviously, the rate of pay will be very important but there’s more to it than that.  We recommend you pay particular attention to the following key provisions: Hours of Work, Restraint of Trade and Trial periods.

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Fair pay agreements

The Government is considering the establishment of a sector-level bargaining system. This would enable unions and employers to develop Fair Pay Agreements that set minimum terms and conditions for all workers in an entire industry or occupation.

In June 2018, the government established the Fair Pay Agreement Working Group, chaired by Rt Hon Jim Bolger ONZ, to make recommendations on the design of this system.

Continue reading → Fair pay agreements