Easter break is almost upon us, and if you are an employer here are some reminders regarding the treatment of public holidays when paying wages:
Most businesses are legally required to be closed on Good Friday, however if your business is allowed to trade and you are open, any employees who work (and Fridays are their usual working day) will be entitled to:
- be paid time and a half for the hours they work, and
- receive a day in lieu (alternative holiday)
If an employee comes in to work and Fridays are not a day they would normally work, they should be paid time and a half but will not receive an alternative paid day off.
If your business is operating in the Kaipara or Far North districts, your local district council has now given you the option of trading on Easter Sunday. In this instance you would pay employees who voluntarily opt to work this day their usual rates - they are not entitled to time and a half or an alternative holiday.
If you have chosen not to open, or your business is located in the Whangarei district where most businesses are legally not allowed to trade on Easter Sunday, any employees who normally work Sundays will not receive any pay for this day unless you have offered this in your employment agreements.
For further information regarding the recent changes to the Easter Trading Bill, read our blog posts:
"The Easter Trading Bill and what it means for retailers and retail staff" and the subsequent update to that article.
Normal public holiday rules apply:
If your business is open AND;
- you require your employee to work AND that day is one the employee would normally work - the employee must be paid for the hours they work at a rate of time and a half. They are also entitled to a day in lieu (alternative holiday), to be taken at a later date.
- you require your employee to work AND that day is one the employee would not normally work - the employee must be paid for the hours they work at a rate of time and a half. They are not entitled to a day in lieu (alternative holiday).
If your business is closed AND;
- that day is one the employee would normally work - the employee must be paid for the public holiday at their relevant daily pay (or average daily pay).
- that day is one the employee would not normally work - the employee is not entitled to any payment for this day.
Only Good Friday and Easter Monday are public holidays - Easter Sunday is not a public holiday
If you wish to discuss the above, or any other payroll and employment queries, contact our payroll and employment specialist Vicki.
Vicki Cozens | Chartered Accountant
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