The Holidays Act 2003 covers pay and entitlements surrounding all types of leave and public holidays for employees in New Zealand.
While it’s easy to follow for those working standard hours and on standard salaries, the act has proved complicated for employees on shift work, commission based roles, variable days and hours, or with flexible work patterns. This means employers have difficulty interpreting and applying the rules.
Flight Centre has a very complicated remuneration structure which led to issues in incorrectly calculating leave entitlements during the period from 2011 to 2018.
We have worked with Deloitte, Ministry of Business, Innovation and Employment (MBIE) and our Payroll to ensure that calculations are now correct under the current legislation.
Additionally, there is a review of the Act underway by the Government to try and make it simpler and easier for all companies to comply with, avoiding future confusion and error.
To facilitate payment to any former employees that may be impacted by holiday pay compliance issues, we’ll make attempts to contact everyone who is entitled to a remedial payment based on the last known contact details we have and ask they go through an registration process.
If you believe that you are entitled to a remediation payment but have not received a communication from us, please contact us by sending an email to payrollnz@flightcentre.co.nz or call on 09 301 9340.