Holiday pay a 'nightmare' for businesses struggling with confusing lawIAIN MCGREGOR/STUFF The NZ Payroll Practitioners Association says thousands of Kiwis are not receiving correct pay. There are two ways holiday pay can be calculated, either on the basis of ordinary weekly pay at the beginning of the holiday or the average weekly earnings over the previous 12 months. In 2016, about 3000 staff at the Ministry of Business, Innovation and Employment had been underpaid their holiday pay entitlement. Unite Union's national director Mike Treen said many businesses, especially in the fast food industry were failing to pay their staff the greater pay of ordinary weekly and average weekly pay. Jenkins said the Government could step in and standardise how payroll systems calculate holiday pay, so all of them calculate pay by weeks of accrued holiday leave rather than hours and days.

Source: Stuff April 01, 2018 00:00 UTC