Lost holiday pay could affect polytechnic staff

Posted By TEU on Mar 31, 2016 | 6 comments

Payroll problems plaguing a number of government ministries may also affect Manukau Institute of Technology and the Open Polytechnic.

Radio New Zealand reports Labour Inspectorate investigations have revealed about 24,000 public and private sector workers have been underpaid due to breaches of the Holidays Act.

This morning Steven Joyce, who is the minister for the Ministry of Business, Innovation and Employment (MBIE), and for Novopay, confirmed to Radio New Zealand that AMS, the payroll company behind holiday pay breaches at MBIE, also contracts to two public tertiary education institutions.

AMS’s website lists the Open Polytechnic and Manukau Institute of Technology as its clients.

Joyce also told Radio New Zealand that he believes underpaying holiday pay is a problem that is wider than just one payroll company and people working at other institutions and ministries may also be missing holiday pay.

Yesterday, the Labour Inspectorate confirmed it had completed 20 investigations.

So far, wages for about 24,000 employees have been found to be underpaid, ranging from $70 per person to $1800 per person.

Joyce told Radio New Zealand that government ministries are checking for potential problems.

“Every agency, I understand, is reviewing its holiday pay calculations in light of what MBIE and police, prior to that, found,” he said.

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