Employers encouraged to file submissions to improve proposed legislation
The Employers and Manufacturers Association of New Zealand (EMA) has welcomed the introduction of the Employment Leave Bill to Parliament, calling it a meaningful step to fix the Holidays Act.
Alan McDonald, Head of Advocacy and Strategy at the EMA, said it is encouraging to see the reform progressing after previous failed attempts.
"Successive governments have acknowledged the problems, but this is the first time in years we've seen meaningful progress," McDonald said.
"It's good to see the reforms maintaining momentum as this overhaul has been needed for a very long time."
Under the proposed bill, annual leave will shift to a standard hours-based calculation, while sick leave entitlements will be under a pro-rated system for part-time workers.
"It significantly simplifies the system for both employers and employees, which is what everyone has been asking for," McDonald said.
But the EMA official also pointed out that the bill will introduce new systems that will require further attention from employers.
"There's still a bit for employers to get their heads around, particularly how standard hours apply to existing arrangements and how employment contracts may need to be updated," he said.
The new Leave Compensation Payment, where casual employees will see an increase in their pay by receiving an upfront payment for each hour worked, will also be another concept that employers need to manage,...
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