There’s no doubt that some employers have an excellent payroll set up. They have spent the time understanding the legal requirements: The Holidays Act 2003, the KiwiSaver Act 2006, the Minimum Wages Act 1983, the Wages Protection Act1983, Employment Relations Act 2000, and, the Parental Leave and Employment Protection Act1987. They have also been trained in the use of their software so that they make the correct calculations.They also have a backup person in case their payroll administrator is on leave.

However, for many employers this is a big ask.


A recent media release by the EMA also questions the ability of many employers to process pays correctly. It states; “A survey of employers on their Holidays Act practices has shown the current law is so complicated and confusing that most employers appear to find aspects of it unworkable and are not complying with all of it.”

That’s certainly why many companies are outsourcing their payroll. A competent specialist brings a peace of mind in what is surely one of the most important functions within a company…just ask an employee whose pay is incorrect!