You may have missed it, but from 27 August 2025, The Employment Relations Act 2000 was amended. Employees can now discuss their own pay, allowances, bonus or incentive payments and employer contribution to superannuation, if they choose to. They can also ask another employee about his or her pay. It should be noted that employees can decline to discuss their pay if they wish.
The Amendment Act establishes a new ground for raising a personal grievance if their employer engages in adverse conduct for discussing/disclosing their pay or asking about another’s pay. Any clauses in employment agreements that restrict employees from discussing remuneration will likely be unenforceable under this new legislation and going forward such clauses should not be included in new employment agreements.
The purpose of this change being to create greater transparency in pay and allow any pay discrimination to be more easily identified and remedied.
If you require further information, please contact us.
Wage Deductions Now A Criminal Offence
The Crimes (Theft by Employer) Amendment Act inserts section 220AA into the Crimes Act 1961, creating a new offence, where any employer who intentionally fails to pay an employee any money owed under an employment agreement or statutory entitlement is committing theft, with severe penalties.
This includes wages, holiday pay, KiwiSaver contributions and other minimum entitlements under laws such as the Holidays Act 2003, Minimum Wages Act 1983 and Wages Protection Act 1983.
Administrative errors or genuine payroll mistakes are not criminalized, provided the employer has a reasonable excuse which has yet to be clarified by the Courts.
It is very important that you mitigate your risk and if you would like to discuss this further, please contact us.
DISCLAIMER: This article provides general guidance only and is not a substitute for individual professional advice. You should seek professional advice before taking any action in relation to the matters dealt with in this publication.