Employer ordered to pay over $15,000 for compensation and unpaid wages when employee finishing up…

The Employment Relations Authority has ordered an employer to pay an employee after it failed to make any payment when the employee finished work.

The employees were told the business had been sold and informed they could either apply to work at the new business or accept 4 weeks’ pay instead of working out their notice period.

One employee decided to take the pay-out, but the final payment never came through. That pay should have included the notice period, her last week’s wages, and all holiday and annual leave owed to her when she finished.

The Authority held that the employee had been unjustifiably disadvantaged by not receiving her final pay, and because it also emerged the employer did not pay her for statutory rest breaks. The employer was ordered to pay the employee $6,000 compensation and $9,884 in wage arrears.

When an employee finishes employment with an employer, they must be paid all of their entitlements in their final pay.

If you think your employer has not paid you what you are entitled to, it is wise to speak with a professional experienced in the area.




Alan Knowsley
Employment Lawyer
Wellington