The COVID-19 situation has highlighted the importance of your business complying with employees’ sick leave rights and knowing their legal obligations.
During all alert levels employment heath and safety laws still apply
Minimum rights and obligations for sick leave
All employees (including part-time and casual) have the right to 5 days' sick leave if they meet one of the conditions below:
6 months’ current continuous employment with the same employer, or
worked for the employer for 6 months for an average of 10 hours per week, and
at least one hour in every week or 40 hours in every month.
Sick leave can be used if your employee, members of their immediate family or dependants are sick or injured.
After the first 6 months, they get an extra 5 days for every year of employment. This can build up for up to 20 days. These rights are not pro-rated. For example, even if your employee work 3 days a week, they will be able to have 5 days’ sick leave after the first 6 months and so on.
You can offer more than the minimum 5 days. Giving more than the minimum sick leave can help attract skilled employees, and make sure that sick employees don’t come to work and spread an illness, therefore reducing your business overall productivity. Any extra entitlement should be written in the employment agreement.
Sick leave may not be cashed-up or be part of any final payment when an employee leaves, unless it is agreed as part of the employment agreement.
Breaches of health and safety or employment laws can result in serious penalties from labour or health and safety inspectors.
Leave for medical appointments and medical certificates
You do not have to give your employees paid time-off work to visit the doctor or dentist unless their employment agreement says so. Your employees can ask to use sick leave, annual leave, unpaid leave, special leave or time in lieu. Some businesses allow 2 or 3 paid (or unpaid) hours for these situations.
If your employee has been absent for 3 or more days (including weekends) you can ask for a medical certificate.
If you want a certificate for less than 3 days, you can ask for one but you must pay for the doctor's visit.
Sick leave payments
Payment for sick leave is only made when it is for a day your employee would have worked if they were not sick.
It's at the rate they would be paid on the day they were sick i.e. relevant daily pay (or their average daily pay where applicable).
More information
The Employment New Zealand website has comprehensive information about employment rights and obligations visit: employment.govt.nz
Source: IRD
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