Since the wage subsidy became available
in early April, vast numbers of employers have taken up the scheme to help retain
staff when revenue has significantly declined due to coronavirus.
There are requirements which employers
must comply with in order to receive the subsidy, including using their best
endeavours to pay staff at least 80% of their normal pay during the 12 weeks of
the subsidy. A full list of the requirements can be accessed on Employment New
Zealand’s website.
Any employer that is granted the subsidy
is placed on a public register. Employers are searchable by name, and if they
have been granted the subsidy, the register will show the amount paid out and
how many employees this is in relation to. The register may be accessed on the
Ministry of Social Development’s website.
Making public information on employers
receiving the subsidy allows employees to determine if a subsidy has been
claimed on their behalf.
If, for example, an employer had claimed
the subsidy and subsequently made some of their workforce redundant, they would
not be entitled to the compensation for the redundant workers.
Employees can check the register to
determine how many employees had been claimed for, and if fraud is suspected,
notify the Ministry through their website.
It is important, during these uncertain
times, to ensure that employment law is being observed and neither employer nor
employee is unfairly taking advantage of the system.
If you are concerned about any of the
actions or employment practices of your employer during the lockdown, it is
wise to consult an experienced professional in the area.
Alan Knowsley
Employment Lawyer
Wellington
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