Casual Employment

Q: I wanted to double check the pay rate in which a casual should be paid in NZ. Would this be a base rate + 8% Holiday Pay? In Australia we pay a 25% loading to all casuals but I’m not 100% certain of the rules in NZ for paying casuals.

A: The default is to accrue leave.  The 8% pay as you go (section 28 of the Holidays Act) it can only be used when agreed in the employee’s employment agreement.

Will this casual meet these requirements:

  • As and when required
  • No expectation to work
  • No pattern of continuous employment

If they won’t meet the above criteria then do not do the 8% pay as you go and just accrue leave.

Leave a Reply

ePayroll FREE Weekly Newsletter

Payroll News, Tips and Advice Delivered FREE to your inbox. Privacy Statement: your email address will never be revealed to third parties.
Click here to access the ePayroll Archive