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Do you want to make it into the HRtoolkit Memoirs?

Don’t worry I am not writing my memoirs, but I certainly have some amazing work stories about the stupid things people do, and often from Christmas parties 

😉

.  So, why is this, and how can you avoid getting a mention in dispatches?

The Christmas party

If you spend nearly 2,000 hours a year in the company of the same people there are bound to be gripes and niggles, and sometimes out and out conflict.  Adding “truth serum” (AKA Alcohol) can often bring those niggles out in the worst possible way.  Add to that the people who decide “the boss is paying, so I better drink as much as possible” and you can have a recipe for disaster.  So, how do you minimise the risk:

  1. Provide food, and make sure it is available from early on in the party.  If food doesn’t come out until people are 3 to 4 drinks down, the damage is already done
  2. Limit the amount of alcohol being provided by the company, i.e. don’t just have a never-ending supply
  3. Limit the timeframe of the party (e.g. 5pm to 8pm).  If they want to carry on partying after then that is fine, but by their own choice, and at location of their choosing (not in your workshop)
  4. Consider activity-based parties, rather than the only “entertainment” being how much food and alcohol they can consume
  5. Do you lay on transport?  From the viewpoint of preventing drunk driving, this is a good idea, however, it can also increase alcohol consumption because they don’t have to worry about drunk driving
  6. Consider what everyone in the team will enjoy doing.  Not everyone will want an alcohol-based party, and some may feel ostracised if they don’t want to join in

The end-of-year lethargy

The sun is shining, it’s warming up, and many of us are thinking of the Christmas holidays.  And that end-of-year lethargy seems to start earlier each year.  So, how do we keep the team motivated to stay on top of their game:

  1. Keep the pressure on as per BAU – i.e. don’t accept the “nobody is making buying decisions at this time of year” excuse, keep them focused on getting a head start on 2025 by booking in prospects for the new year
  2. If things are getting quiet, look at projects that they can get ticked off, many of which will have been on the back burner since last year.  Focus on how great it will be once X is done so you don’t have to work around it anymore
  3. Give some additional paid leave (e.g. for Christmas shopping, attending school prize giving, recovering from a hangover after another party etc).  We all have additional time pressures at this time of year, but managing planned absences is far easier than managing the unplanned “sickies”

The end-of-year mad rush

For some, particularly retail and hospitality, this is the busiest time of year, so how do you prevent burnout?

  1. Keep shifts to manageable lengths – people often want extra money at this time of year, but no one can do a regular 12-hour day and still be on top form by the end of the week
  2. Celebrate wins regularly – “Yippee, the biggest turnover day this year”, “Yippee great customer feedback yesterday” etc
  3. Hold people accountable – if someone isn’t pulling their weight, this puts pressure on the rest of the team, pull them up quickly for this.

Christmas Shut down notification

And last, but by no means least, don’t forget to give 14 days notice of any Christmas shut down.  The HRtoolkit template letter can be found at this link – Annual shutdown letter

Free Webinar

This months free webinar is on Managing the festive season on Friday 29th November at 10am.  Click her to register, and, if you can’t make that time, register and the recording will be sent out later.

Here to help

We are here to help with any staff queries, so feel free to call me on 021 741 544 or 0800 HRtoolkit (0800 47 8665).  Or sign up for our DIY document library for only $399 + GST per annum, or our DIY expert package which gives you access to the document library and unlimited phone and e-mail support for only $129 + GST per month (minimum 12-month term)
Cheers

Lisa Mackay
Founder HRtoolkit

Labour inspectors are on the hunt!

In March, MBIE announced that it was undertaking a major compliance clampdown.

The primary objective is to identify non-compliance with minimum employment standards such as:

  • Payment of minimum wage
  • Record keeping
  • Holiday and leave pay
  • Leave entitlements

They have been running these inspections since the start of the year, and have already identified several business sectors which they are putting under the spotlight:

  • Retail
  • Hospitality
  • Construction
  • Security
  • Horticulture
  • Viticulture
  • Dairy

Link to full article – https://www.employment.govt.nz/news-and-updates/labour-inspectorate-in-nationwide-employer-compliance-clampdown

Make sure your house is in order

The labour inspectors are there to help and guide you, but also have the power to take enforcement action.  So:

  1. Check you have written employment agreements in place
  2. Check you are meeting minimum wage (rising to $23.50 from 1 April)
  3. Make sure you are complying with the terms of your employment agreements – NB in particular check the hours of work clause, are you paying them in accordance with what you have in writing?

If in doubt, give us a call

Even if only for peace of mind, call Lisa on 021 741 544 or 0800 HRTOOLKIT to talk over your concerns.  And, if there are issues, being proactive about fixing those issues will get a far better result if the labour inspector does come a knocking.

Free Webinar

Click here to register for this month’s free webinar which is the Courageous Conversation.  This is any conversation we don’t want to have, whether it be delivering a bad message, giving feedback on performance, or even with our nearest and dearest. This webinar will give you tips and tricks on how to have an effective courageous conversation without a negative response.

Its on Friday  28th March, at 10am, and if you can’t make that time, register and we will send the recording to you later.

Last few days to beat the price rise

If you have been thinking about signing up for the DIY expert, then get in quick before 1 April  to lock in the 2024 price for at least 12 months.

Here to help

We are here to help with any staff queries, so feel free to call me on 021 741 544 or 0800 HRtoolkit (0800 47 8665).  Or sign up for our DIY document library for only $399 + GST per annum, or our DIY expert package which gives you access to the document library and unlimited phone and e-mail support for only $129 + GST per month (minimum 12-month term)

Cheers

Lisa Mackay

Founder HRtoolkit

How to Write a Compliant Employment Contract in NZ

Creating a compliant employment contract is essential for both employers and employees in New Zealand. Further, in New Zealand, every employee must have a written employment agreement.  A well-drafted contract not only protects both parties legally but also sets clear expectations and responsibilities.

HRtoolkit has all the NZ employment contract templates you need, we’ve done the hard work for you, and are continually reviewing them to ensure they remain legally complaint.   Which is particularly important at the moment as there are number of employment legislation changes currently being considered.

1. Choose the Type of Employment Agreement

There are several types of employment arrangements in NZ:

Each type requires different provisions. For example, fixed-term agreements must clearly state the reason for the fixed term and the expected end date.

2. Include Mandatory Clauses

The following clauses are legally required in all employment contracts in NZ:

  • Names of the employer and employee
  • Job title and description
  • Place of work
  • Agreed hours or an indication of hours
  • Wages or salary and how they’ll be paid
  • Employment type (permanent, fixed-term, or casual)
  • Public holiday pay entitlements
  • Agreed rest and meal breaks
  • Dispute resolution process
  • A statement that services are available to resolve employment relationship problems

3. Ensure Compliance with Minimum Rights

Your contract cannot undercut the minimum rights guaranteed by law, such as:

  • The minimum wage
  • Annual leave (four weeks per year)
  • Sick leave (minimum of 10 days after six months of continuous employment, NB this entitlement is not Pro-rata, so it is 10 days even if someone only works 2 days per week)
  • Bereavement leave
  • Public holiday entitlements
  • Protection against unjustified dismissal

4. Consult and Negotiate

Employment contracts must be negotiated in good faith. Employees should be given a reasonable opportunity to seek independent advice before signing the agreement. This is not just best practice—it’s a legal requirement.

Conclusion

A compliant and well-structured employment contract sets the tone for a healthy employment relationship. It’s not just a legal requirement—it’s a tool to protect your business and support your employees.

If in doubt, HRtoolkit are here to help, just call us on 0800 47 86 65, or visit our website www.hrtoolkit.co.nz for our sample employment agreements NZ complaint.

The kiwisaver “pay increase” and what you need to consider (May 25)

Hi Guys

Well the government announced that compulsory employer contributions to Kiwisaver will increase to 4% over the next 2 years.  This no great surprise, and actually about 15 years later than expected.  When Kiwisaver was launched in 2007 the employer contribution was to increase to 4% by 2011.

Add to this the fact that the current equivalent compulsory contribution in Australia is 12%, and my expectation is that we will see further increases in the compulsory contribution over coming years. 

What do I need to consider?

Obviously, this needs to be factored into your budgeting, costings etc.  The actual cost of an employee now increases to 22.5% over and above their hourly rate:

Holiday pay                                8%

Sick leave                                    4%

Kiwisaver                                     4%

ACC                                            2% (or higher depending on your industry)

Public holidays    4.5%

                    Total                             22.5%

NB as sick leave is not pro-rata, and public holiday entitlements are fixed according to the days of work, this percentage can be higher or lower for part-time employees.

KiwiSaver inclusive packages

If you have salaries/hourly rates which are “inclusive of KiwiSaver”, you will need to:

  1. Check your contracts, is the wording “inclusive of any government legislated KiwiSaver contribution” or, is it “inclusive of the 3% government legislated KiwiSaver contribution”?  If you cite a specific percentage, then the additional 0.5% will be in addition to the current remuneration.
  2. If there is no percentage cited in your contract then, technically, you could reduce how much you are paying the employee via PAYE by the 0.5%, however, how are employees going to react to this?  My recommendation is that you synchronise any pay reviews with the KiwiSaver increase on 1 April 2026, and 1 April 2027, and reflect the increased KiwiSaver contribution in the pay increase you are offering.  I.e. if you were intended a 3% pay increase, communicate this as a 2.5% pay increase plus 0.5% additional going into your KiwiSaver
  3. Remember to talk to your employees about whether they want to opt out of the increased contribution.

Overall, my advice is to move away from “KiwiSaver inclusive” packages unless you are contributing to a different pension scheme for that employee.

KiwiSaver on-top

Obviously, this will be administratively easier (your payroll system will most likely do it automatically).  However, you need to:

  1. Talk to your employees about whether they want to opt out of the increased employee contribution
  2. Again, I would recommend that you synchronise pay reviews with the KiwiSaver increase

16 and 17 year olds now covered too

And, don’t forget your younger workers who will also be covered by the compulsory contributions from 1 April 2026. 

Here to help

We are here to help with any staff queries, so feel free to call me on 021 741 544 or 0800 HRtoolkit (0800 47 8665).  Or sign up for our DIY document library for only $399 + GST per annum, or our DIY expert package which gives you access to the document library and unlimited phone and e-mail support for only $139 + GST per month (minimum 12-month term)

Cheers

Lisa Mackay

Founder HRtoolkit

How to spot a rat? How to confirm or allay your suspicions

We all want to believe the best about our team, but even great workplaces can face dishonesty.  Whether it’s cutting corners, misusing company resources, or outright theft. Detecting early warning signs isn’t about becoming suspicious of everyone; it’s about staying alert, protecting your investment, and ensuring fair play for the honest employees who make your business thrive.

1. Watch for Lifestyle Mismatches
If an employee’s lifestyle suddenly leaps ahead of their known income — flashy purchases, expensive travel, or unexplained cash flow — it might be coincidence… or it might not.

2. Pay Attention to “Overhelpfulness”
Someone who insists on handling tasks alone, resists sharing responsibilities, or works odd hours when no one is around may not just be “dedicated.” They could be creating opportunities to hide irregularities. Transparency and shared accountability are your best safeguards.

3. Check the Books for Tiny Anomalies
The big frauds often start small. Look for:

  • Unleaded fuel on the company fuel cards when all your vehicles are diesel
  • Disproportionate spend by one person on company charge accounts (e.g. fuel cards, Bunnings trade accounts, etc)
  • Frequent voids, credits, or refunds processed by the same person

Most issues, by the time they get to me, have been going on from a long-time, and the losses found can be astronomical.

4. Beware of Defensive Behaviour
When questioned about irregularities, an honest employee will typically help clear things up. A dishonest one may become unusually defensive, evasive, or quick to blame others. Trust your instincts if the reaction feels disproportionate.

5. Use Systems, Not Suspicion
The best way to protect your business isn’t by distrusting your staff — it’s by having clear systems that make wrongdoing difficult. This includes:

  • Segregating duties (no single person controls both payments and records)
  • Conducting random audits/spot checks
  • Installing proper stock control and point-of-sale systems

When the rules are clear and the processes transparent, there’s far less room for things to go wrong.