1. Public Holiday Entitlements and Conditions
Employees are entitled to up to 12 public holidays annually. Key conditions include:
- Mondayisation: Employees can’t claim both the actual date and the Mondayised date if both are “otherwise working days.”
- Holiday Limits: No more than four public holidays can be taken over Christmas and New Year.
- Anniversary Day: Only one per year, based on the primary work location. If uncertain, employer and employee should agree on which location’s day to observe.
2. Otherwise working day
An “otherwise working day” is a day an employee would typically work if not for a holiday or leave. This designation affects entitlements like paid leave for holidays, sick days, and annual leave. Determining it involves reviewing the employment agreement, work patterns, rosters, and mutual expectations. When work patterns are variable, employers and employees should assess these factors collectively. Employers must not alter rosters to avoid holiday entitlements, as this violates employment laws.
3. When employees work on a public holiday
When an employee works on a public holiday, they are entitled to:
- Pay: At least time and a half for hours worked.
- Alternative Holiday: A day off (day in lieu) if it’s a regular working day, except for employees who only work public holidays.
Employers can require holiday work only if it’s a normal workday and specified in the employment agreement. If any part of a shift overlaps a holiday, the employee is eligible for both time and a half pay and an alternative holiday.
4. When employees are on call during a public holiday
If an employee is on call during a public holiday:
- Called Out: They receive time and a half plus an alternative holiday.
- Restricted But Not Called: If required to limit activities but not called, they receive regular pay and an alternative holiday.
- On Call Without Restriction: If they can reject calls, they only get an alternative holiday if called out, with time and a half for work done.
- No Alternative: Employees working only on holidays aren’t eligible for an alternative holiday.
5. Transferring a public holiday
A public holiday can be moved if both employer and employee agree in writing. The new date must be a regular workday and not reduce holiday entitlements or bypass holiday pay. For shift workers, a holiday can be moved to cover an entire shift within a 24-hour period starting or ending on the holiday.
6. If a public holiday falls while an employee is on leave
When a public holiday falls during leave, here’s how pay applies:
- Closedown or Annual Leave: Employees receive paid public holiday entitlement if they would’ve worked that day.
- Parental or Unpaid Leave: No holiday pay is required.
- Sick or Bereavement Leave: Employees receive regular public holiday pay but no extra holiday benefits.
- ACC Leave: Generally unpaid unless deemed an “otherwise working day.”
7. ACC payments
ACC payments may be impacted if an employee earns holiday pay while receiving weekly compensation. Employees must notify ACC of any extra income, including holiday pay, to prevent changes to their compensation. Employers managing weekly compensation on behalf of ACC are also required to report such payments, as they may affect the employee’s weekly compensation rate.
Source: Employment New Zealand
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