Employee Minimum Rights, ALL GONE, overnight
It’s ALL gone!
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GONE – Relevant minimum wage must be paid
GONE – Overtime paid at minimum wage per hour
GONE – Four weeks’ paid annual holiday per year
GONE – Eleven public holidays per year
GONE – Payment of time and a half for working on public holidays
GONE – Rest and meal breaks must be provided – Rest break must be paid
GONE – Five days’ paid sick leave per annum after first 6 months, and 15 days can be carried over to a maximum of 20 days
GONE – Three days’ paid bereavement leave for certain family members, one day for other people
GONE – Up to 52 weeks’ parental leave
GONE – KiwiSaver Employer Contribution (contracts don’t include KiwiSaver)
GONE – ACC employment claims are different for contractors.
GONE – Employment protection (you have to take the employee to court yourself)
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But WAIT, THERE’S MORE
In the process of it all vanishing, many, many, many New Zealanders, especially the younger and newer members to the workforce, landed in huge income tax, penalty and interest debt. Inland Revenue is encouraging employees on contract and owing to apply for bank loans to pay for the interest is much higher for tax.
- GST Penalty Interest – rate 9.21%
Income tax underpayment rate: 8.22%
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RETURN OF PAYE – pay (tax) as you earn
As of 1st April 2017, PAYE – ‘pay as you earn’ is back but re-branded as ‘Schedular Payments‘ – ‘scheduled pay as you earn’.
Many, many, many New Zealanders will have an added amount of tax to pay for they owe income tax, provisional tax, penalties and interest. Many of the many will not take a break during the year and many haven’t over the years of their employment redressed as contracts. Many are screwed when they get sick.
