2022 will see a number of legislative changes in employment law take effect. As an employer, you need to be ready and have clearly communicated what these changes mean for your employees …
Minimum wage increases
On 1 April 2022 the minimum wage rates increase. Minimum wages rates apply to all employees aged16 and over. There are three different types of minimum wage rates: adult, starting-out and training. They include full-time, part-time, fixed term, casual and working from home employees. Employees must be paid at least the minimum hourly wage rate for every hour worked. The details of the changes are:
- The adult minimum wage will increase from $20.00 to $21.20 per hour
- The minimum wage for starting-out and training will go up from $16.00 to $16.96 per hour
- All rates are before tax and any lawful deductions for example PAYE tax, student loan repayment, child support
If you have employees on the minimum wage, then let them know about the increase they will be getting. It is good practice to record the change in writing (sometimes called a variation). It is also important to check that your payroll system is ready for the change.
Government Financial Support with Omicron in the Community
The COVID-19 Leave Support payment is a payment to help support businesses, including self-employed people to help pay employees who have been advised to self-isolate because of COVID-19 and cannot work at home during that period.
To be eligible for at least one payment under the Scheme the employee will have been required to self-isolate for at least 4 consecutive calendar days because they are in one of the affected groups and cannot work from home.
The COVID-19 Leave Support Scheme is paid at the rate of:
- $600 for fulltime workers who are working 20 hours or more a week
- $359 for part-time workers who are working less than 20 hours a week
The employer may be qualified for more than one Leave Support payment if the employee must keep isolating.
New Public Holiday
Employers need to be aware that this year will be the first inaugural Matariki public holiday which, this year, falls on Friday 24 June 2022.