Fair Pay Agreements

The design of the proposed Fair Pay Agreements was announced last week by Government. This is intended to introduce minimum pay and conditions for certain industry-wide sectors and to include employees who are not union members.


This has been introduced in response to declining union membership and what is said by Government to be “increasing evidence of a “race to the bottom” in some sectors where businesses are competing for contracts by reducing wages or employment conditions”.


Legislation is now being drafted and is expected to be passed into law in 2022. We will further update you on progress as it occurs. A more detailed overview can be found on the Ministry of Business, Innovation and Employment website here – https://www.mbie.govt.nz/business-and-employment/employment-and-skills/employment-legislation-reviews/fair-pay-agreements


If you have any questions about the proposed Fair Pay Agreements please feel free to contact a member of the Grow HR team on (06) 878 5454 or email team@growhr.co.nz