Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Fortnightly Minimum Wage Order made

Fortnightly Minimum Wage Order made

The Minimum Wage Order is changing to include a fortnightly minimum wage rate, Labour Minister Simon Bridges said today.

This is in response to a recent Court ruling that found a week is the longest period which salaried workers could be assessed for compliance with the Minimum Wage Act.

Mr Bridges says the ruling does not adequately reflect current work practices, such as salaried employees on fortnightly rosters.

“Before the Court ruling, salaried employees might work 30 hours in one week and 50 hours the next, and be paid 80 hours for the fortnight. However, following this ruling, employers would need to pay 90 hours at the minimum wage rate for the 80 hours worked. This is because the first week must be paid at a minimum of 40 hours and the second week for every hour over forty.

“A central concern is that the ruling could see an increase of casual working arrangements, for both current workers and new workers, to avoid the extra costs. This would create issues for workers around certainty of their income.

“By including a fortnightly minimum wage rate, employees will still be paid for every hour they work, and the expectation is that employers must continue to keep an accurate record of hours worked and wages paid. But employees will continue to benefit from the certainty and stability that a salary can offer.

“While some groups advocated for a monthly or longer pay period to be included, a fortnightly pay period balances the need for employers to have some flexibility in the hours their salaried employees work with the need for employees to be protected from being required to work long hours for long periods without appropriate remuneration.

“It also aligns with the most common pay period for employees who receive an annual salary,” Mr Bridges says.

Most employers and employees will be unaffected by the new Order. It affects primarily minimum wage earners who are paid salaries. Employer groups and unions were consulted prior to the decision.

The new Order will take effect from 26 June 2014.

Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Parliament Today:

The Kids: OECD Report Shows Huge Impact Of Poverty On Education

A new report from the OECD has again highlighted the negative effects of poverty, showing that disadvantaged children in New Zealand are more than six times more likely to underachieve in maths than children from wealthier homes. More>>

ALSO:

Pacific: NZ Pledges $500,000 To Help Address Zika

“With the Zika virus now confirmed in a number of Pacific countries, New Zealand is committed to helping limit the impact and spread of the virus in the region,” says Mr McCully. “New Zealand will provide $250,000 as a contribution to the WHO to implement the Pacific Zika Action Plan, and a further $250,000 to enable countries in the region to respond rapidly if required." More>>

ALSO:

Labour: Police Commissioner 'Doesn’t Get Force Needs'

The Police Commissioner has let down the public and his own force by insisting the police have what they need despite it taking a year to solve a burglary and overwhelming number of officers saying they are under-resourced, says Labour’s Police spokesman Stuart Nash. More>>

ALSO:

Gordon Campbell: On The US Pressure To Expand Our Role In Iraq

Foreign news services are being more forthcoming about what the “next 12 months” will entail – essentially, the defence ministers will be under US pressure to increase their “training” role preparatory to an assault on the city of Mosul in northern Iraq. More>>

ALSO:

Parliament Restarts: Prime Minister’s Statement

Our policy agenda and legislative programme will reflect the Government’s four priorities: • to responsibly manage the Government’s finances • to build a more competitive and productive economy • to deliver better public services to New Zealanders, an • to support the rebuilding of Christchurch. More>>

ALSO:

NZEI Survey Report: Special Needs Students Missing Out

The survey revealed that around 16 percent of students were on schools’ special needs registers, but nearly 90 percent of schools’ special needs coordinators did not believe there was adequate support for students and their learning... More>>

ALSO:

Interim Report: Waitangi Tribunal On Ture Whenua Legislation

Labour on Proposed changes to Maori land rules: “To have Treaty Negotiations Minister Chris Finlayson dismiss findings as ‘bizarre’ is totally disingenuous and disrespectful. What’s bizarre is Maori Development Minister Te Ururoa Flavell stubbornly pushing through this Bill before the Waitangi Tribunal has even completed its report..." More>>

ALSO:

Spy Update: Appointment Of GCSB Acting Director

GCSB Chief Legal Advisor Lisa Fong will become the Acting Director of the Government Communications Security Bureau (GCSB) from 15 February 2016, Minister Responsible for the GCSB Christopher Finlayson announced today. More>>

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news