Sarah Sherwin leaves Paul Diver Associates this week to have her second child.

On 18 April 2017 the Government reached a settlement with the unions in the long running caregiver pay equity case. This settlement impacts on 55,000 workers in the Aged Care Sector, who from 1 July 2017 will receive a pay increase of between 15 and 50 per cent, depending on their qualifications and/or service. This settlement will apply to all pay equity claims made prior to 1 July 2017 that fall within the settlement scope.

In Sanderson v South Canterbury District Health Board [2017] NZERA Christchurch 37, the Employment Relations Authority has determined that being “on-call” constitutes “work”, which means the Minimum Wage Act will apply.  As such, these employees must be paid at a rate no less than the minimum wage for every hour that they are on-call.

New employment standards legislation was introduced last year to give greater protection to employees on “zero-hour” contracts, with no guarenteed hours of work.  However, the changes have wider-reaching implications and in one way or another have an impact on almost all employment agreements, particularly regarding:

The Employment Relations (Allowing Higher Earners to Contract Out of Personal Grievance Provisions) Amendment Bill passed its first reading on 22 March 2017.

On 18th April 2017, Health Minister Jonathan Coleman announced that some of the health sector’s lowest paid workers will share in a $2 billion pay equity settlement over five years.

State Services Minister Paula Bennett has welcomed an agreement with unions which will see the Government’s new pay equity principles applied for the first time.

In accordance with the Wages Protection Act 1983, an employer may make deductions from wages payable to an employee for any lawful purpose with the employee’s written consent.  Written consent includes consent in a general deductions clause in the relevant employment agreement, or on the employee’s written request.  Under s 5A of the Act, an employer must not make a deduction, however, if that deduction is unreasonable.

As of 1 April 2017 the new minimum wage rates are:

“Migrant workers make a valuable contribution to our workforce and have the same rights as any other worker,” Mr Woodhouse says.