Two New Zealand healthcare companies and their directors have been ordered by the Employment Relations Authority (ERA) to repay more than $147,000 in wage and leave arrears after admitting to widespread breaches of minimum employment standards.
ERA member Sarah Kennedy-Martin ordered SS Health Limited to pay $114,479.14 and LW Health Limited to pay $33,382.61, for a combined total of $147,861.75, following a Labour Inspectorate investigation into both companies.
The two matters were consolidated into a single proceeding given "the close relationship between SS Health Ltd and LW Health Ltd, the similarities of the breaches, and the fact employees worked across both stores."
The parties reached a partial settlement ahead of the hearing, submitting a joint memorandum to the ERA on 2 July. Penalties and costs are yet to be determined.
Admitting to employment breaches
Both companies admitted to violations spanning multiple pieces of legislation, including failing to keep adequate wages, time, and holiday records; failing to pay the minimum wage for all hours worked; incorrectly calculating annual holiday entitlements at the end of employment; failing to meet public holiday and sick leave obligations; and making unlawful wage deductions in breach of the Wages Protection Act.
SS Health Limited also faced two additional violations under the Holidays Act 2003 relating to annual holiday calculations.
Personal liability was extended to two individuals named in the determination....
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