Where is Labour’s holiday spirit?

People out for a coffee or a meal on Labour Day will pay extra because Labour has no holiday spirit, says National’s Industrial Relations spokesman, Wayne Mapp.

Under the Holidays Act, staff who work on a public holiday will be paid time-and-a-half for hours worked, as well as receiving a day off in lieu.

Dr Mapp says this effectively means that labour costs are 250% higher on a public holiday than on a normal working day.

In the hospitality industry where wages typically account for one third of costs, this simply means that many businesses that open will run at a loss on public holidays.

Many cafes and restaurants have introduced a public holiday surcharge of up to 15% to account for the additional costs of opening on these days.

“Labour said they wanted to fix the Holidays Act in time for Labour weekend. An amendment was passed last Tuesday but this ignored the big issues around the cost of public holidays to businesses,” says Dr Mapp.

“When the Holiday’s Act was originally introduced, Labour said it was to give proper recompense to people that had to work on public holidays. They should try telling that to people who can’t afford to go out for lunch with their families on Labour Day”.

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