Q: We’ve got a client who consistently pays their wages after 5pm on payday. Most recently the wages were paid at 9pm at night. They are still being paid on Pay Day but after business hours.

Due to this, employees have complained.

I’ve been looking and I can’t find any guidelines around the time-of-day wages need to be paid by on Pay Day. Is there anything on this?

Has the client breached their obligation by paying the wages after 5pm, or are they allowed to keep paying them late like this?

A: Pay day is an agreed term what is stated in the employee’s employment agreement?

Q: Unfortunately, nothing specified- I first hoped to find an answer here for the client.

This is all it says about payment:

My understanding is the employees are advised verbally that their payday is Monday.

Do you have to legally state what day wages will be paid on in the employment agreement or is that recommended?

Everything I’ve read, I can’t see that you have to have the pay day in here.

A: Here is the only reference, so there is not a requirement to state the day in an employment agreement.

Pay day
Employees are usually paid on a regular day each week, fortnight or month. For example your pay day might be every Thursday, or every second Wednesday. The law doesn’t say how often an employee should be paid or what day they should be paid on but this is included in most employment agreements. If your pay day isn’t included in the employment agreement that your employer offers you, you should ask your employer how often and when you will be paid before you sign it and ask for it to be included so that there is no confusion. Employers need to consider their good faith obligations and be reasonable when deciding how often their employees will be paid.

MBIE: https://www.employment.govt.nz/hours-and-wages/pay/pay-day/