Minimum pay

There are three minimum wage rates:

the adult minimum wage applies to all employees aged 16 and over who are not new entrants or trainees
the new entrants minimum wage applies to employees aged 16 and 17 except for those who have completed 200 hours or three months of employment, whichever is shorter; or who are supervising or training other workers; or who are trainees
the training minimum wage applies to employees aged 16 and over who are doing recognised industry training involving at least 60 credits a year.

There is no statutory minimum wage for employees who are under 16 years old.

Minimum wage rates as of 1 April 2010

The adult minimum wage is $12.75 an hour. That’s $102 for an eight hour day, and $510 for a 40 hour week.

The new entrants minimum wage and the training minimum wage are $10.20 an hour. That’s $81.60 for an eight hour day, and $408 for a 40 hour week.

By law, employers must pay at least the minimum wage - even if an employee is paid by commission or by piece rate. The minimum wage applies to all workers aged 16 years or older, including home workers, casuals, temporary and part-time workers.

The only exception is when an employee holds an exemption permit.

Holiday pay must be paid in addition to the minimum wage. If an employee receives “pay-as-you-go” holiday pay, this payment must be a separate and identifiable part of their pay.

An increase in the minimum wage will not affect an employee’s other conditions of employment, unless they agree to the changes.

An employee being paid less than the minimum wage can complain to a Labour Inspector, who may investigate and act to recover any money owed. Employees can also get help from our mediators.

Related fact sheets:

When “pay as you go” provisions can be used (http://www.ers.dol.govt.nz/holidays_act_2003/pay_as_you_go.html)

Going to mediation (http://www.ers.dol.govt.nz/problem/index.html)

Minimum Wage for New Entrants (http://www.ers.dol.govt.nz/pay/newentrant.html)

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This page was last updated on: 08-Apr-2010 and is current.

Further information & guidance

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