All text must be copied without modification and all pages must be included.
This document must not be distributed for profit.
McLEAN AND CO.
IRD Tax Refund Phishing Scams
Employment Agreements for all Employees- A Requirement from 1 July 2011
What to put in Employment Agreements
IRD monitors fuel prices and publishes a motor vehicle mileage rate at least once a year. The mileage rate is for expenditure incurred for the business use of a motor vehicle, it doesn't apply in respect of motorcycles.
The current mileage rate has been amended to 74 cents per kilometre for the 2011 income year. This rate applies to both petrol and diesel fuel vehicles.
As the Commissioner's mileage rate may not reflect their true costs, actual costs or the logbook method can be used instead. Employers may use the motor vehicle running cost data published by other reputable sources, eg, the New Zealand Automobile Association Incorporated, as an alternative reasonable estimate for reimbursement to employees
IRD TAX REFUND PHISHING SCAMS
There has been a recent prevalence of IRD related phishing scams.
Criminals use online phishing scams to get your personal information, money, and identity. They send out fraudulent emails to thousands of customers every day. Many promise a tax refund to customers. Phishing scams range from the sophisticated, convincing, and professional to those with poor English and obvious spelling and grammar mistakes.
Unfortunately, some people fall victim to these scams providing information, money, and even their identity to these online criminals.
If you receive an email notifying you of a tax refund or asking for your tax information, here's some tips to determine if it is genuine:
If you answered "Yes" to any of those questions, delete the email from your Inbox and Trash folder.
The Department of Labour is reminding all employers that from 1 July 2011, employers must keep copies of employment agreements or terms and conditions of employment for all employees signed by both parties.
“Employment agreements have been required by law since the introduction of the Employment Relations Act 2000. There is evidence that many workplaces still don’t have employment agreements in place, and this 1 July deadline will put responsibility on all employers to ensure agreements are in place, or they may face penalties,” says the Department of Labour’s Chief Adviser – Employment Relations, Craig Smith.
“It’s the employer’s responsibility to maintain and keep an up to date copy of each employee’s employment agreement that reflects the current terms and conditions of the employment relationship. Employers must also provide a copy of the agreement if an employee requests it,” says Mr Smith.
“Recent changes to the Employment Relations Act give labour inspectors the ability to seek a penalty against an employer who is in breach of employment agreement requirements,” he says.
“There are penalties of up to $10,000 for individuals and $20,000 for companies for failure to comply with the legislation,” says Mr Smith.
“If a 90-day trial period is agreed between the employer and the employee it must be in the written employment agreement before the employment begins, otherwise the trial period doesn’t comply with the law,” he says.
There are some provisions that must be included in employment agreements by law, and there are also a number of minimum conditions that must be met regardless of whether they are included in agreements.
Under the Employment Relations Act 2000, where there is no collective agreement the individual employment agreement must be in writing and must include:
The requirements for collective agreements are set out in the collective bargaining section of the Department of Labour website. Employers must not undermine collective bargaining or collective agreements by automatically passing on collectively bargained terms and conditions to employees not covered by that collective bargaining or agreement.
Some minimum terms and conditions of employment are imposed by legislation. These terms still apply, even if they have not been written into the collective or individual employment agreement. Employers and employees cannot agree to do away with any of these entitlements. They can, however, agree to better provisions if they wish.
The minimum legislative requirements cover the following:
See www.ers.dol.govt.nz/relationships/minimum for more detailed information about minimum employment rights.
There are a number of optional matters that are often found in employment agreements. These are issues that employers and employees may wish to include in the agreement or bargain about. The Department of Labour’s website offers an Employment Agreement Builder that enables you to develop your own agreement.
For information on holidays and leave please see the holidays and leave section of the Department of Labour website.
Employees are entitled by law to a minimum of four weeks' paid annual holidays after being in the job for a year, or to holiday pay for periods of employment less than one year.
The 11 public holidays in the Holidays Act apply.
If employees work on public holidays they must be paid at least time-and-a-half for hours worked on a public holiday. If it is a day on which they would otherwise have worked they are also entitled to another day off as an alternative holiday (a day in lieu).
Employees are entitled by law to five days' sick leave a year after being in the job for six months. If the leave is not taken, it can accumulate up to a maximum of 20 days.
Employees are entitled by law to three days' bereavement leave after being in the job for six months, on the death of an immediate family member.
Additionally, the employee is entitled to one days' bereavement leave where the employer accepts that the employee has suffered a bereavement.
|McLEAN AND CO KNOWLEDGE CENTRE AND ARTICLES ABOUT TAXATION AND BUSINESS IN GENERAL PRESS HERE||FOR BUSINESS STARTUP KNOWLEDGE CENTRE PRESS HERE|
|FOR INFORMATION ABOUT COMPANY INCORPORATION PRESS HERE||FOR PREVIOUS MONTH EMAIL NEWSLETTERS PRESS HERE|
If we can assist further, please email McLean and Co as follows: