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Employment update: Fair Pay Agreements

Employment update: Fair Pay Agreements

The government established a Fair Pay Agreement Working Group in June 2018 to make recommendations relating to sector-level bargaining for minimum terms and conditions in certain sectors.  The working group includes the Chief Executive of Hospitality NZ, and the Chief Executive of BusinessNZ.

In December 2018 this working group released a report which includes a number of recommendations for the government to consider about the process and objectives.  You can find a copy of the report at Fair Pay Agreement Working Group Report.

Annex 2 of the report contains some interesting tables on income levels of workers in specific sectors, including numbers of workers in the sector in New Zealand, and % of those earning below $20 per hour.  These may be indicators of sectors for potential sector-level bargaining.

We can expect a response to the working group’s report later this year.

For any employment law queries please contact our employment law expert, Catherine Pendleton.

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