The adult minimum wage is $18.90 an hour before tax if you’re 16 years or older. Job category Median pay Pay range: Accounting $65,000 $48,000 to $125,000: Agriculture, fishing and forestry: $55,000: $40,000 to $95,000 Employees become entitled to annual holidays, public holidays, sick leave, bereavement leave, parental leave and other types of leave as long as they meet certain conditions. New Zealand's minimum wage will rise to $18.90 an hour from April 1, the Government has confirmed. under their employment agreement, have to do at least 60 credits a year of industry training. When you turn 16 you must be paid minimum wage, either adult, starting-out or training. New Zealand's Minimum Wage is the lowest amount a worker can be legally paid for his work. The training minimum wage: applies to employees aged 20 years or over whose employment agreement states that they have to do at least 60 credits a year of an industry training programme to become qualified in the area they are working in. On Wednesday, the Government announced it will raise the minimum wage by $1.20, making it the biggest boost in its history. The minimum wage applies to all hours worked. The current minimum wage rates (before tax) are as at 1 April 2020 and apply to employees aged 16 years or over: Employees have to be paid at least the minimum hourly wage rate for every hour worked. 40 hour week. 2021 minimum wage The 2021 minimum wage will be $20 per hour. The Workplace Relations and Safety Minister has announced that the adult minimum wage will be rising to $20.00 per hour from 1 April 2021. The minimum wage will take a step closer to $20 an hour. This equates to an extra $48 per week before tax for employees working 40 hours per week on the current minimum wage. different types of minimum wage rates: adult, starting-out and training. Adult. Home and Community Support (Payment for Travel Between Clients) Settlement Act 2016. Currently, the minimum wage is $15.75 and the living wage is $20.20 There are several ways in which employment relationships may be ended, such as resignation, retirement, dismissal or redundancy. Minimum wage rates are set by the government and are reviewed each year. There’ s a lot of concern amongst employers, with the announcement that Government’s increasing the NZ minimum wage to $20 an hour on 1 April 2021. The minimum wage rate in New Zealand is increasing to $20.00 per hour from 1 April 2021. Minimum wage rates (external link) — Employment New Zealand. Commons 4.0 International Licence, Your browser currently has JavaScript turned off, The current minimum wage rates (before tax) are as at 1 April 2020 and apply to employees aged 16 years or over: Type of minimum wage. Clear workplace policies and procedures support employment agreements and mean everyone knows how things are meant to be done. Minimum wage laws have been modified over time to provide equal pay and fairness in the workplace, while aiming to increase the standard of living and reduce poverty. Applying for employment relations education course approval, Wage subsidy and Leave Support: Complaints about employers, Calculating payments for holidays and leave, Employer's approach to assuring ethical and sustainable work practices, Franchisor's approach to assuring ethical and sustainable work practices, Recruiters and employment brokers approach to assuring ethical and sustainable work practices, apprentices under: the Maori Housing Amendment Act 1938, the, inmates of any charitable institution (who aren’t living there just because they’re employees) who do any work as inmates, prisoners working while in custody under the Corrections Act 2004. You must enable JavaScript to submit this form. This may have a big impact on your business, particularly considering the current alert level situation in New Zealand. When an employee turns 16, they must be paid the relevant minimum wage (even if they were paid less than the minimum wage when they were 15). Established by provincial and district authorities, which vary by province, district, and … The Government also set indicative rates of $18.90 from 1 April 2020 and to $20 from 1 April 2021. The starting-out and training hourly minimum wages rates increase from $13.20 to $14.16 per hour – remaining at 80 per cent of the adult minimum wage. Minimum wage will increase to $20 per hour on April 1 with the Government following through on its commitment from last term. Different types of minimum wage rates has more information on the different types of minimum wage rates: adult, starting-out and training. The minimum wage is increasing on 1 April 2021. Here’s what you’ll need to know for your business. The minimum wage will go up to $16.50 starting April 2018 before rising in steps to $20 by 2021. Agricultural industry (external link) — Employment New Zealand. The Minister for Workplace Relations and Safety is required by law to review the minimum wages annually, to take effect 1 April each year. "The rise in minimum wage is estimated to boost wages by $306 million a year across the economy. Many of these employees will be apprentices (external link). The Minimum Wage can be calculated on an hourly, weekly or fortnightly minimum wage rate. Still haven't found what you're looking for? This adds up to $708 for a 40-hour week. From 1 April 2020, salaried workers are entitled to the minimum weekly wage of $756 per week for a 40 hour week, plus the minimum hourly wage of $18.90 for each hour thereafter. This section provides help in some key areas. Minimum Wages in New Zealand averaged 14.14 NZD/Hour from 2006 until 2020, reaching an all time high of 18.90 NZD/Hour in 2020 and a record low of 10.25 NZD/Hour in 2006. 8 hour day. The adult minimum wage is $18.90 an hour before tax if you’re 16 years or older. When: 1 April 2018 Minimum wage review, December 2020 [PDF, 1.5 MB] The adult minimum wage rate for employees aged 16 years or older: Your employer must pay you at least the minimum wage for every hour you work. If you have adult employees earning less than minimum wage, you are legally required to increase their wage rate from 1 April. From 1 April 2021, the minimum wage will rise to $20 - up from $18.90. This is an increase of $1.10 per hour from the current rate of $18.90 per hour. If you’re under 16 there’s no minimum wage. The Government's decision to push ahead with a large minimum wage hike in April flouts bureaucrats' advice to both delay and severely temper the increase. Minimum wage rises by 75c on 1 April 2018 The minimum wage is going up from $15.75 to $16.50 per hour. It’s important for employers to use good hiring processes, and for everyone to follow minimum rights and responsibilities. 80 hour fortnight. There is no minimum wage for employees under 16 but all the other minimum standards and employment rights and obligations apply. Minimum wage exemption for people with disability has information about exemption permits to employees who have a disability that limits them carrying out the requirements of their work. This is up from $18.90 per hour. Per hour. New Zealand workers on the minimum wage are set for a significant pay rise. The country's minimum wage is set to soar to $20 within four years under a new coalition deal. Training minimum wage. For everything you need to know about COVID-19, go to covid19.govt.nz. 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There are some exceptions to the application of the Minimum Wage Act 1983 and a small number of people with a disability hold an exemption permit from the minimum wage. There are 3 types of minimum wage — adult, starting-out and training. There is no minimum hours requirement. which means that Govt.nz might not display properly on your device. Minimum wage exemptions for people with disabilities (external link) — Employment New Zealand. Workplace Relations and Safety Minister Iain Lees-Galloway said the new $18.90 rate will mean an extra $48 a week for those minimum wage earners who work 40 hours a week. Today the adult minimum wage becomes $17.70 per hour, up $1.20 from $16.50. New Zealand was the first country in the world to establish a Minimum Wage Policy in 1894, although the idea of a minimum wage has been around a lot longer. ® Ministry of Business Innovation and Employment, Calculating payments for holidays & leave. The Government has confirmed the minimum wage will increase to $20 an hour from April 1, 2021. Commons 4.0 International Licence, after you have worked for them for 6 months, have been paid a benefit for 6 months or more, have been with their current employer for less than 6 months. Your current employer must pay you the adult minimum wage: The minimum wage rate for starting-out workers is: The minimum wage rate for training workers is: Unless indicated otherwise, all content on Govt.nz is licensed for re-use under a Creative Most countries have a nation-wide minimum wage that all workers must be paid. They may be paid at a rate approved by the Minister of Corrections, in relation to travel only, employees who travel between clients are covered by the. New Zealand's minimum wage rate increased to $18.90 from April 1, 2020. It's easy to turn JavaScript on -, New Zealand Government | Te Kawanatanga o Aotearoa, find out how to enable JavaScript in your browser, Your options when you have a problem at work, Creative In the same year independent research by the Family Centre Social Policy Unit established the first Living Wage rate for New Zealand, $18.40 per hour. For example, an employee who works only 2 hours at a time must still get the minimum wage for each of these hours, unless the employee and employer … Starting a new job is an exciting and challenging time. From 1 April 2008, the youth minimum wage was replaced with a minimum wage for new entrants, which applies to some employees aged 16 or 17 years. Anyone who thinks they are being paid less than the minimum wage should contact us. 16 to 19-year-olds whose employment agreement requires them to do at least 40 credits a year of industry training. All about pay, hours at work, record keeping and what breaks employees are entitled to. When you turn 16 you must be paid minimum wage, either adult, starting-out or training. Please note that this content will change over time and may be out of date. The minimum wage in New Zealand is set to go up to $20 an hour from April. An accounting company has been ordered to pay $20,000 and its director $13,000 after failing to pay minimum wage and holiday pay entitlements. The youth minimum wage applied to employees aged 16 and 17 years. The best way to prevent and resolve relationship problems between employers and employees. COVID-19 and the workplace — Employment NZ. The Government has confirmed it will raise the minimum wage to $20 per hour from April 1 next year. For someone working 40 hours on minimum wage, the boost means $44 extra in the bank each week. The current (2019) adult minimum wage rates (before tax) that apply for employees aged 16 is: $17.70 per hour, which is $141.60 for an 8-hour day or $708.00 for a 40-hour week. Minimum Wage Rates 2019. The boost is expected to lift the incomes of almost 200,000 people. The Minimum Wage Act 1983 doesn’t apply to: Receive news and updates each month from Employment New Zealand. Minimum Wages in New Zealand increased to 18.90 NZD/Hour in 2020 from 17.70 NZD/Hour in 2019. source: Ministry of Business, Innovation and Employment. Currently the minimum wage is $17.70, but this will increase from 1 April . The training minimum wage was introduced in June 2003. Labour campaigned ahead of the October election on making this change, further to it being stipulated in its coalition agreement with New Zealand First under the previous government. The New Zealand government has announced that it will raise the minimum wage to NZ$20 (US$14.27) per hour from April 1 next year, in a bid to support its citizens as the nation recovers from the pandemic. This is an increase of $1.20 from the current rate (see the details here). 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