Minimum Wage Act 1983

1: Short Title and commencement
1: This Act may be cited as the Minimum Wage Act 1983.
2: This Act shall come into force on a date to be appointed by the Governor-General by Order in Council.
3: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 1(2) brought into force 2 September 1985 Minimum Wage Act Commencement Order 1985 Section 1(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
2: Interpretation
In this Act, unless the context otherwise requires,— employer Employment Relations Authority Employment Relations Act 2000 homeworker section 5 Labour Inspector section 223 worker section 6 Section 2 substituted 2 October 2000 section 240 Employment Relations Act 2000
2A: Provisions affecting application of amendments to this Act
Schedule 1AA Section 2A inserted 1 April 2016 section 4 Minimum Wage Amendment Act 2016
3: Act to bind the Crown
This Act shall bind the Crown. 1945 No 44 s 6
4: Prescribed minimum adult rate of wages
1: The Governor-General may, by Order in Council, prescribe a minimum adult rate of wages payable to workers—
a: who are aged 16 years or older; and
b: to whom any other minimum rate of wages prescribed under section 4A 4B
2: A rate prescribed under subsection (1) must be prescribed as a monetary amount.
3: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 4 replaced 1 May 2013 section 4 Minimum Wage (Starting-out Wage) Amendment Act 2013 Section 4(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
4A: Prescribed minimum starting-out rates of wages
1: The Governor-General may, by Order in Council, prescribe 1 or more minimum starting-out rates of wages payable to 1 or more classes of workers who—
a: are aged 16, 17, 18, or 19 years; and
b: are not involved in supervising or training other workers; and
c: are defined in the order by reference to the age (or range of ages) of the workers and 1 or more of the following factors:
i: the length of time, being a period of not less than 6 months, that the workers have been continuously paid 1 or more specified social security benefits (the continuous social assistance period
ii: the length of time, being a period of not more than 6 months, that the workers have been in continuous employment with—
A: any employer (excluding, if the order defines the class of workers by reference to the factor specified in subparagraph (i), any employment undertaken by the worker before the continuous social assistance period):
B: the worker's current employer:
iii: that the workers are employed under contracts of service that require the workers to undergo training, instruction, or examination (as specified in the order) for the purpose of becoming qualified for the occupation to which their contracts of service relate.
2: A rate prescribed under subsection (1) must not be less than 80% of the minimum adult rate prescribed under section 4
a: a monetary amount; or
b: a percentage of the minimum adult rate.
3: If a minimum starting-out rate is prescribed under subsection (1) by reference to a factor specified in subsection (1)﻿(c)﻿(i) or (ii) (or both), an employer of a worker to whom that rate applies—
a: may pay the worker in accordance with that rate only until the earlier of—
i: the date on which the worker has completed 6 months' continuous employment (or any shorter period of continuous employment specified in the order) with any employer or the worker's current employer (as the case requires):
ii: the day before the date on which the worker ceases to satisfy one or both of the criteria in subsection (1)﻿(a) and (b); and
b: then must pay the worker no less than the minimum adult rate prescribed under section 4
4: To avoid doubt, if more than 1 minimum starting-out rate prescribed under subsection (1) applies to a worker, only the higher or the highest rate applies.
5: For the purposes of subsection (1)﻿(c)﻿(i), a worker is to be treated as having been continuously paid a specified social security benefit—
a: whether or not the benefit has been reduced due to any sanction imposed under the Social Security Act 2018
b: during any period when the benefit was suspended under the Social Security Act 2018
6: In this section,— continuous employment
a: means a continuous period of employment starting on the worker's first day of work; and
b: includes any employment undertaken by the worker before—
i: the worker turns 16:
ii: the commencement of the Minimum Wage (Starting-out Wage) Amendment Act 2013 continuously paid 1 or more specified social security benefits specified social security benefit Social Security Act 1964 or the Social Security Act 2018
a: domestic purposes benefit:
b: emergency benefit:
c: independent youth benefit:
d: invalid's benefit:
da: jobseeker support:
e: sickness benefit:
ea: sole parent support:
eb: supported living payment:
f: unemployment benefit:
g: widow's benefit:
h: young parent payment:
i: youth payment.
7: An order under subsection (1) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 4A inserted 1 May 2013 section 4 Minimum Wage (Starting-out Wage) Amendment Act 2013 Section 4A(5)﻿(a) amended 26 November 2018 section 459 Social Security Act 2018 Section 4A(5)﻿(b) amended 26 November 2018 section 459 Social Security Act 2018 Section 4A(6) specified social security benefit amended 26 November 2018 section 459 Social Security Act 2018 Section 4A(6) specified social security benefit inserted 15 July 2013 section 129 Social Security (Benefit Categories and Work Focus) Amendment Act 2013 Section 4A(6) specified social security benefit inserted 15 July 2013 section 86 Social Security (Benefit Categories and Work Focus) Amendment Act 2013 Section 4A(6) specified social security benefit inserted 15 July 2013 section 97 Social Security (Benefit Categories and Work Focus) Amendment Act 2013 Section 4A(7) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
4B: Prescribed minimum training rate of wages
1: The Governor-General may, by Order in Council, prescribe a minimum training rate payable to 1 or more classes of workers who—
a: are aged 20 years or older; and
b: are not involved in supervising or training other workers; and
c: are employed under contracts of service under which they are required to undergo training, instruction, or examination (as specified in the order) for the purpose of becoming qualified for the occupation to which their contract of service relates.
2: A rate prescribed under subsection (1) must not be less than 80% of the minimum adult rate prescribed under section 4
a: a monetary amount; or
b: a percentage of the minimum adult rate.
3: An order under this section is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 4B inserted 1 May 2013 section 4 Minimum Wage (Starting-out Wage) Amendment Act 2013 Section 4B(3) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
5: Annual review of minimum wages
1: The Minister of Labour shall, in each year ending on 31 December, review any minimum rate prescribed pursuant to section 4 4A 4B
2: Following a review under subsection (1), the Minister may, whether in that year or subsequently, make recommendations to the Governor-General regarding the adjustments that should be made to that minimum rate. Section 5 substituted 1 August 1987 Minimum Wage Amendment Act 1987 Section 5(1) amended 1 May 2013 section 5 Minimum Wage (Starting-out Wage) Amendment Act 2013
6: Payment of minimum wages
1: Notwithstanding anything to the contrary in any enactment, award, collective agreement, determination, or contract of service, but subject to sections 7 to 9
2: However, if a worker is a covered employee in relation to a fair pay agreement under the Fair Pay Agreements Act 2022
a: the minimum rate to which the worker is entitled under this Act; and
b: the minimum rate to which the worker is entitled under the fair pay agreement.
3: In subsection (2), covered employee fair pay agreement section 5(1) 1945 No 44 s 2(1) 1970 No 137 s 6 1974 No 137 s 2 Section 6(2) inserted 1 December 2022 section 285 Fair Pay Agreements Act 2022 Section 6(3) inserted 1 December 2022 section 285 Fair Pay Agreements Act 2022
7: Deductions for board or lodging or time lost
1: In any case where a worker is provided with board or lodging by his employer, the deduction in respect thereof by the employer shall not exceed such amount as will reduce the worker's wage calculated at the appropriate minimum rate by more than the cash value thereof as fixed by or under any Act,
2: No deduction in respect of time lost by any worker shall be made from the wages payable to the worker under this Act except for time lost—
a: by reason of the default of the worker; or
b: by reason of the worker's illness or of any accident suffered by the worker. 1945 No 44 s 2(4), (5) 1974 No 106 s 3 Section 7(1) amended 15 May 1991 Minimum Wage Amendment Act 1991
8: Minimum wage exemption permit
1: A Labour Inspector may issue a minimum wage exemption permit to a worker if the Inspector is satisfied that—
a: the worker is significantly and demonstrably limited by a disability in carrying out the requirements of his or her work; and
b: any reasonable accommodations that could have been made to facilitate carrying out the requirements of the work have been considered by the employer and the worker; and
c: it is reasonable and appropriate to grant the permit.
2: To avoid doubt, nothing in subsection (1)﻿(b) limits or affects any legal obligations that the employer has towards a worker.
3: A permit—
a: comes into force on the date it is issued or any other date as stated in the permit; and
b: remains in force for the period stated in the permit.
4: While a permit remains in force, the rate of wages stated in the permit is taken to be,—
a: if the worker is a covered employee in relation to a fair pay agreement under the Fair Pay Agreements Act 2022
b: in all other cases, the minimum rate of wages prescribed under this Act for the worker.
5: A Labour Inspector may revoke a permit at any time if the Inspector considers it is no longer reasonable and appropriate for the permit to remain in force.
6: In this section,— covered employee section 5(1) disability section 21(1)﻿(h) Section 8 substituted 28 March 2007 section 4 Minimum Wage Amendment Act 2007 Section 8(4) replaced 1 December 2022 section 285 Fair Pay Agreements Act 2022 Section 8(6) replaced 1 December 2022 section 285 Fair Pay Agreements Act 2022
8A: Wages and time records
Section 8A repealed 1 April 2016 section 5 Minimum Wage Amendment Act 2016
8B: Offence of failing to keep records
Section 8B repealed 15 May 1991 Minimum Wage Amendment Act 1991
8C: Right of entry for enforcement purposes
Section 8C repealed 31 August 1990 Minimum Wage Amendment Act 1990
8D: Provisions as to summary proceedings
Section 8D repealed 15 May 1991 Minimum Wage Amendment Act 1991
9: Workers to whom Act does not apply
This Act shall not apply to—
a:
b: apprentices bound by an indenture of apprenticeship entered into under the Maori Housing Amendment Act 1938 New Zealand Railways Corporation Act 1981 Defence Act 1971 Post Office Act 1959 State Services Act 1962
c:
d: inmates of any charitable institution (not being persons residing on the premises by reason only of their being employed therein) who, as such inmates, do any work in or in connection with the institution:
e: employees to whom the Home and Community Support (Payment for Travel Between Clients) Settlement Act 2016 section 4 1945 No 44 s 3 1946 No 40 s 55 1968 No 94 s 2 1970 No 137 s 6 Section 9(a) repealed 23 April 2014 section 23 Industry Training and Apprenticeships Amendment Act 2014 Section 9(c) repealed 17 June 2003 section 4 Minimum Wage Amendment Act 2003 Section 9(e) inserted 25 February 2016 section 30 Home and Community Support (Payment for Travel Between Clients) Settlement Act 2016
10: Penalties
1: The persons specified in subsection (2) are liable to a penalty imposed by the Employment Relations Authority under the Employment Relations Act 2000
2: The persons are—
a: every person who makes default in the full payment of any wages payable by that person under this Act:
b: every person who is involved in that default:
c: every person who fails otherwise to comply with the requirements of this Act.
3: A worker or a Labour Inspector may recover a penalty under subsection (1), but the worker may recover a penalty only in relation to his or her employer.
4: For the purposes of subsection (2), a person is involved in a default section 142W Section 10 replaced 1 April 2016 section 6 Minimum Wage Amendment Act 2016
11: Recovery of wages
1: This section applies where, in relation to wages or other money payable by an employer to a worker whose wages are prescribed under this Act,—
a: there has been a default in payment; or
b: payment has been made at a lower rate than that prescribed under this Act or otherwise legally payable to the worker.
2: The whole or any part of wages or other money referred to in subsection (1)﻿(a) or (b) may be recovered by the worker or by a Labour Inspector on behalf of the worker by action commenced in the Employment Relations Authority in the same manner as an action under section 131
3: Subsection (2) applies despite—
a: acceptance by the worker of payment at the lower rate; or
b: any express or implied agreement to the contrary.
4: This section does not affect any other remedies for the recovery of wages or other money payable by an employer to any worker whose wages are prescribed under this Act. Section 11 replaced 1 April 2016 section 7 Minimum Wage Amendment Act 2016
11AA: Proceedings by Labour Inspector or worker to recover arrears of wages from person involved in failure to comply
1: A Labour Inspector or a worker may recover from a person who is not the worker’s employer any unpaid wages that the worker is entitled to if—
a: the worker is entitled to the wages under this Act; and
b: the wages are unpaid due to non-compliance with this Act; and
c: the person from whom the wages are sought to be recovered is a person involved in the non-compliance.
2: However, unpaid wages may be recovered under subsection (1) only,—
a: in the case of recovery by a worker, with the prior leave of the Authority or court; and
b: to the extent that the worker’s employer is unable to pay the wages.
3: For the purposes of subsection (1), a person is involved in the non-compliance section 142W Section 11AA inserted 1 April 2016 section 8 Minimum Wage Amendment Act 2016
11A: Compliance order
Sections 137 138 Parts 5 to 9 Section 11A substituted 2 October 2000 section 240 Employment Relations Act 2000
11B: 40-hour 5-day week
1: Subject to subsections (2) and (3), every employment agreement under the Employment Relations Act 2000
2: The maximum number of hours (exclusive of overtime) fixed by an employment agreement to be worked by any worker in any week may be fixed at a number greater than 40 if the parties to the agreement agree.
3: Where the maximum number of hours (exclusive of overtime) fixed by an employment agreement to be worked by any worker in any week is not more than 40, the parties to the agreement must endeavour to fix the daily working hours so that those hours are worked on not more than 5 days of the week. Section 11B substituted 2 October 2000 section 240 Employment Relations Act 2000
12: Regulations
1: The Governor-General may from time to time, by Order in Council, make all such regulations as may, in his opinion, be necessary or expedient for giving full effect to the provisions of this Act and for the due administration thereof.
2: Regulations under this section are secondary legislation ( see Part 3 1945 No 44 s 5 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 12(2) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
13: Saving
Nothing in this Act reduces or authorises any employer to reduce the wages being paid to any worker at the date of the commencement of this Act.
14: Repeals
The enactments specified in Schedule 1