{"id":549446,"date":"2026-07-29T11:02:09","date_gmt":"2026-07-29T11:02:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/549446\/"},"modified":"2026-07-29T11:02:09","modified_gmt":"2026-07-29T11:02:09","slug":"government-repeals-holidays-act-simpler-leave-bill-becomes-law","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/549446\/","title":{"rendered":"Government repeals Holidays Act, &#8216;simpler&#8217; leave bill becomes law"},"content":{"rendered":"<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">A major change to how leave is calculated in workplaces has become law.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">The Employment Leave Bill passed its third and final reading in Parliament on Wednesday evening.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">The legislation repeals the Holidays Act 2003, attempting to simplify the regime for both workers and employers.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">Speaking at the third reading, Workplace Relations and Safety Minister Brooke van Velden said the bill delivered long-overdue reform to &#8220;one of the most complex and problematic areas of our employment law&#8221;.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">It means annual and sick leave will now be accrued in hours, rather than days.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">Additional and casual hours will not accrue annual or sick leave, with employers having to pay a 12.5 percent leave compensation payment for these hours instead.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">All employers, including casuals, will be able to access annual, sick, bereavement, and family violence leave from the first day of work.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">Workers will also be able to cash in up to 25 percent of their total annual leave balance every year.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">Van Velden said the bill removed the need for &#8220;confusing conversions&#8221; between hours, days, and weeks, and its passing was an &#8220;important milestone&#8221; for New Zealand&#8217;s workplaces.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">&#8220;This bill delivers a simpler, fairer, and more workable system,&#8221; she said.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">All three opposition parties opposed the legislation, with Labour saying it would mean part-time workers would have to choose between going to work sick or losing pay, and people who worked extra hours would not have it reflected in the leave they earn.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">In his contribution to the debate, Labour MP Phil Twyford said the legislation took from those who could least afford it.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">&#8220;From all of the documents, from all of the debates we&#8217;ve had in the House, all the submissions we heard at Select Committee, all of the exchanges with the minister in the Committee Stage, it&#8217;s clear that she and this government have chosen to prioritise administrative efficiency for employers at the expense of part-time and casual workers, who lose money and lose time off as a result of this law.&#8221;<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">The Public Service Association had campaigned heavily against the bill, with national secretary Fleur Fitzsimons saying 200,000 workers faced a pay cut if the bill passed.<\/p>\n<p class=\"[&amp;_em]:font-serif-text-italic [&amp;_cite]:font-serif-text-italic\">The changes will have a 24-month lead-in time to give businesses and payroll providers time to prepare. There will also be an additional year after the legislation comes into force to update leave terms in employment agreements.<\/p>\n","protected":false},"excerpt":{"rendered":"A major change to how leave is calculated in workplaces has become law. The Employment Leave Bill passed&hellip;\n","protected":false},"author":2,"featured_media":549447,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[111,43,139,69],"class_list":["post-549446","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-zealand","tag-new-zealand","tag-news","tag-newzealand","tag-nz"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/549446","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=549446"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/549446\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/549447"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=549446"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=549446"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=549446"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}