Did you know about the Holiday Season Leave rules?

Ensure Your Business Complies with the Holidays Act for Employee Leave This Holiday Season.

Kia ora,

Hooray, the holiday season is in the air! As we approach this festive time and the busy rush towards the end of the year, it’s crucial to ensure your business complies with the Holidays Act, especially regarding employee leave.

Here are some key points to keep in mind:

Closedown Periods

If your business has a complete shutdown over the December and January holiday period, remember:

• Notice:?You must give your employees at least 14 days’ notice of the shutdown period.
• Public Holidays:?If public holidays fall on days that would otherwise be workdays, you must pay your employees for those days. This year, the public holidays are as follows

1. Christmas Day:?Wednesday, 25 December 2024
2. Boxing Day:?Thursday, 26 December 2024
3. New Year’s Day:?Wednesday, 1 January 2025
4. Day after New Year’s Day:?Thursday, 2 January 2025

Casual/On-Call Workers

Casual or on-call workers are entitled to payment for a public holiday if it would otherwise have been a working day for them. For instance, if an employee typically works on Wednesdays, they should be paid for Christmas Day and the day after New Year’s Day.

Transferring Public Holidays

Employers and employees can agree to transfer the observance of public holidays to another working day. Any request must be considered in good faith and meet minimum statutory requirements.

Public Holiday Entitlement

• Working on a Public Holiday:?Employees must be paid at least time and a half and receive a full day’s alternative holiday if the day is an otherwise working day for them.
• Not Working on a Public Holiday:?Employees should be paid their relevant daily pay or average daily pay if the day is an otherwise working day for them.

Operating on a Public Holiday

An employee can only be required to work on a public holiday if it falls on a day they would otherwise work, and their employment agreement specifies this. If they agree to work, you must:

• Pay them at least time and a half.
• Give them another paid day off later (a day in lieu).

Scenarios

• Scenario 1:?Pete works on Christmas Day. He earns time and a half and he also gets an alternative holiday.
• Scenario 2:?Ella, a salaried employee, works on a public holiday. She is paid time and a half of her relevant daily pay and receives a full alternative holiday.

Resignation before Public Holidays

If an employee resigns during the holiday period, it’s important to calculate their final pay accurately. The final pay should include all outstanding wages, any accrued but unused annual leave, and payment for any public holidays that fall within their notice period if those days would have been working days for the employee.

Ensure all payments are made by the employee’s final day of employment or as soon as practicable thereafter.

For further information or any HR issues, please contact our HR Services team.?