Minimum wage increase took effect on 1 April 2020…

As of 1 April 2020 the minimum wage has been increased to $18.90 per hour (from $17.70). This rate applies to all adult wage earners and is to be applied to any hours worked as of the date of increase.

In total, this increase equates roughly to an additional $48 per week for a 40 hour week minimum wage earner (before tax).

Despite the current climate, with lockdown in full effect due to COVID-19, employers must pay this increased rate regardless of what their current business arrangements are.

The $1.20 per hour increase comes as a result of efforts by the Government to try and bring the New Zealand minimum wage closer to the “living wage”. The current living wage is $21.15 per hour.

You can learn more about Government assistance available to employers and businesses.

Leading law firms committed to helping clients cost-effectively will have a range of fixed-priced Initial Consultations to suit most people’s needs in quickly learning what their options are.  At Rainey Collins, we have an experienced employment law team, who can answer your questions and put you on the right track.