Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Staff Notice Requirements Before the Christmas Shutdown

Friday 8 November 2019
For Immediate Release


Are you planning to shut down your business over the Christmas and New Year period? It's never too early (or too late) to start planning.


According to Senior Employment Relations Adviser from Employsure, Ashlea Maley, businesses planning to close down across the festive season, “Need to check the conditions relating to their rights to enforce an annual closedown and notify staff in accordance with the Holidays Act 2003.”

Ms Maley says, “Employers can only have one closedown per year, any more and they need their employee’s consent. During a closedown an employer can require employees to take annual leave, even where this requires employees to take time off for which they are not fully reimbursed. The employer is required to provide employees with at least 14 days’ advance notice of the closedown.”

“Employees who have been employed for less than 12 months at the date of closedown will not have worked long enough to be entitled to annual holidays. In this situation the employer must pay the employee 8% of gross earnings since their start of employment less any payment for annual holidays taken in advance. The employee’s anniversary date for annual holidays entitlement must move to the date of the start of the closedown (or another date close to the start of the closedown) and they will not be entitled to any annual holidays for another 12 months.

“In addition to the payment of the 8%, the employer and employee may agree to the employee taking paid annual holidays in advance of their entitlement (these holidays will be deducted from the next year’s entitlement). If the employer is happy to allow this, they should take care to protect themselves from bearing the cost of this should the employee leave before they have accumulated sufficient leave to repay the deficit.”

For all employees whose work is subject to a regular annual closedown, “To make things more convenient, the employer can nominate a date that will be treated as the date that the closedown begins, and on which the employees become entitled to annual holidays. This date must be reasonably connected to the timing of the regular annual closedown,” says Ms Maley.

For example, where there is a Christmas closedown, the date could be set at 15 December to ensure that it always comes before the annual closedown commences. Other than in this situation, an employer cannot nominate a particular date for annual holiday entitlement calculations, apart from to make adjustments for any leave without pay for more than one week. An employer who wants to implement more than one closedown in any year can if their employees agree but can’t make them take annual holidays using the above provisions. The date of entitlement to annual holiday is not adjusted by a second closedown.

“It’s is important that employers comply with the notice period, we advise this is in writing either via email or hard copy to be able to prove that notice was provided in time.”

Ms Maley says the end of year festive season can be a quiet period for many businesses however, for those in the hospitality, restaurant, and retail industry, “This is the key season for fixed term and casual work and some industries are looking to bolster their workforce and fill specific jobs and meet the increased customer demand.”

For those businesses planning to stay open, Ms Maley says, “During busy seasons, engaging employees on a fixed term basis will usually provide employers with the most flexibility in relation to fulfilling their resource requirements. Alternatively, casuals can be used however employers should be aware of the risks of engaging casual employees.”

However, she warns employers to, “Be extra aware of the requirements and obligations to all employees over this key period such as extra pay, an extra day off or extra alternative leave.”

“If you aren’t one of the businesses open over the Christmas period – it’s important to check the conditions relating to your right to send employees on an annual closedown. Seek professional workplace relations advice.”

-ends-


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Transport: International Arrivals In May Lowest In 61 Years

The number of people that arrived in New Zealand in May 2020 was the lowest for any month since May 1959, because of COVID-19-related border and travel restrictions, Stats NZ said today. There were 5,600 arrivals in May 2020 compared with 4,700 in ... More>>

ALSO:

It’s All In The Genomes: New Study Reveals Scale Of Havelock North Campylobacteriosis Outbreak

When the campylobacteria outbreak hit Havelock North in 2016, no-one fully understood how widely it affected the local communities. Gene-sequencing technology used by scientists has shown the true scale of the outbreak. The joint study from ESR, Massey ... More>>

ALSO:

Tiwai Point: Rio Tinto Announces Plans To Close Tiwai Point Smelter

Rio Tinto has just announced that it will wind down New Zealand Aluminium Smelters - the Tiwai Point smelter - saying the business is no longer viable. More>>

ALSO:

Freight: New Report On Auckland Port Relocation

The Government has released a major new report on the options for relocating the Port of Auckland’s freight operations while deferring any decision on the issue. More>>

ALSO:

Energy Sector: Meridian Spilled Water To Hike Electricity Prices - Authority Ruling

The Electricity Authority has found that generator Meridian Energy manipulated the power market, costing consumers about $80 million. More>>

ALSO:

XE Data Update: RBNZ Official Cash Rate Decision

The RBNZ will keep the Official Cash Rate (OCR) at 0.25%. T he key points in the RBNZ statement are: RBNZ keeps the OCR unchanged at 0.25% Maintain the LSAP (large scale asset purchase) at NZD$60 billion. Committee prepared to use additional monetary ... More>>

ALSO:

Electricity: Kiwis Ignore Promise Of Cheaper Power

Electric Kiwi and Flick Electric Co are joint winners of Canstar Blue’s award for Most Satisfied Customers | Electricity Providers From putting on an extra layer – rather than turning on a heater – to turning off lights and choosing the energy-saving ... More>>

ALSO:


ASB: Regional Economic Scoreboard Q1 2020

ASB NZ Regional Economic Scoreboard Gisborne still the place to be It has been Gisborne’s year, and the region comes out tops on our regional rankings for the fourth successive quarter. Like everywhere, question marks are about the COVID-19 impact on the future. ... More>>

RNZ: Economic Activity And Business Confidence Bouncing Back

Two surveys from ANZ show business confidence and economic activity have rebounded, but uncertainty about the future remains extreme. More>>

ALSO:

NIWA: The Climate Record That Keeps Getting Broken

Among the multitude of New Zealand climate statistics there is one record that continues to be broken month after month. Since January 2017 there has not been one month that recorded a below average nationwide temperature, according to NIWA’s seven station ... More>>

ALSO:

Govt: Extended Loan Scheme Keeps Business Afloat

Small businesses are getting greater certainty about access to finance with an extension to the interest-free cashflow loan scheme to the end of the year. The Small Business Cashflow Loan Scheme has already been extended once, to 24 July. Revenue and Small ... More>>

ALSO:

Science: 2019 Prime Minister’s Science Prizes Announced

The 2019 Prime Minister’s Science Prizes have been announced in a digital livestream event today. The Prizes recognise the impact of science on New Zealanders’ lives, celebrate the achievements of current scientists and encourage scientists of the ... More>>

ALSO:

Stardome Observatory: Young Kiwi Astro-Photographer Shoots For The Stars

Matariki by Josh Kirkley. The stars are aligning for up-and-coming Auckland-based astro-photographer Josh Kirkley (Kāi Tahu). During lockdown, one of his images was picked up by NASA and shared on the space agency’s Instagram to its 59.2 million ... More>>


DCANZ: Time For EU To Commit To A Level Playing Field For Trade

The Dairy Companies Association of New Zealand (DCANZ) has welcomed New Zealand Trade Minister David Parker’s statement that it is unacceptable for New Zealand exporters to continue facing an ‘unlevel playing field’ in the EU. Details leaked ... More>>

ALSO:

New Zealand Government: Supporting Kiwi Businesses To Resolve Rent Disputes

The Government will legislate to ensure businesses that suffered as a result of the COVID-19 response will get help to resolve disputes over commercial rent issues, Justice Minister Andrew Little announced today. More>>

ALSO: