The minimum wage rates increased on 1 April 2024 and apply to all employees working in New Zealand aged 16 and over as follows:
- $23.15 per hour for the adult minimum wage for employees aged 16 years or older who work full-time, part-time, fixed-term, casual, and from home (and are not starting-out or a trainee)
- $18.52 per hour for the training and start-out minimum wage
The Starting-Out Minimum Wage
This applies to 16 or 17 year old employees if the have not worked for their current employer for 6 continuous months. After 6 months with one employer, the employee is due the adult minimum wage. Or if their employment agreement states they have to undertake industry training for at least 40 credits a year to become qualified in the area they are working in.
It also applies to 18 or 19 years old if they are paid one or more specified social security benefits for 6 months or more continuously. Plus have not worked for one employer for 6 continuous months since they started being paid a benefit.
The Training Minimum Wage
This applies if the employee is 20 years old or over, and their employment agreement states that they have to do at least 60 credits a year of an industry training programme to become qualified in the area they are working in. It usually applies to apprentices.
The training wage does not apply if the employee is being trained at work, e.g., if they are trained by their employer at the start of their employment. For the training wage to apply, the employee must be doing an approved industry training programme.
For advice on employee pay rates , get in touch.