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Discover global hiring strategies from leading recruitment platforms
Learn more
Speed up your global expansion! Expand smartly in 150+ countries with the #1 rated EOR globally.
Explore Multiplier EOR
Your guide to the employment landscape, working customs and local labor laws in New Zealand.
Capital
Wellington
Currency
New Zealand Dollar (NZD)
Languages
English (Official), Māori (Official), New Zealand Sign Language
GDP per Capita
$47,278
Employer Tax
4%
Payroll Frequency
Weekly, Bi-Monthly, Monthly
New Zealand is the 52nd largest economy in the world. The country is known to have a very active start-up community which has increased by 30% from 2020 to 2021 alone. Its rapid increase in developing its information sector has investors flocking to the country. New Zealand also has a sizable service industry making up 63% of its economy.
Major economic hubs:
Wellington, Auckland, Christchurch
Skills in demand:
Local: 1
World: 137
Local: 2
World: 325
Local: 3
World: 416
Local: 4
World: 432
Local: 5
World: 488
Seek, Indeed, Student Job Search
2,480,000
Hays Specialist Recruitment, Drake New Zealand Limited, Randstad Limited
Top Local Job Boards:
Top Local Job Boards
Number of LinkedIn users:
Number of LinkedIn users
Top Recruitment Agencies:
Below are average monthly salaries for jobs in New Zealand:
| Job Title | Average Monthly Salary (NZD) | Average Monthly Salary (USD) |
| Network Engineer | 6,730 | 4,283 |
| Database Administrator | 7,620 | 4,849 |
| Developer / Programmer | 7,920 | 5,040 |
| Project Manager | 8,820 | 5,613 |
| Information Technology Manager | 13,700 | 8,719 |
| General Manager | 14,100 | 8,974 |
Employers looking into expanding in New Zealand requires a strong grasp of the country’s employment laws, benefits, payroll, and taxes. Below are the basics to assist you when onboarding talents from New Zealand.
In New Zealand, it is required for you to provide your employee with a copy of their individual employment agreement. However, employment contracts can be written or oral whichever parties recognize as their agreement. English, being the dominant language in the country, is often used for these contracts.
The probationary period for employees starts at a minimum of 1 month to a maximum of 3 months.
| Date | Holiday | Type |
| 1 Jan | New Year’s Day | National Holiday |
| 2 Jan | New Year Holiday | National Holiday |
| 6 Feb | Waitangi day | National Holiday |
| 29 Mar | Good Friday | National Holiday |
| 1 Apr | Easter Monday | National Holiday |
| 25 Apr | ANZAC day | National Holiday |
| 3 Jun | King’s birthday | National Holiday |
| 28 Jun | Matariki | National Holiday |
| 28 Oct | Labour day | National Holiday |
| 25 Dec | Christmas day | National Holiday |
| 26 Dec | Boxing day | National Holiday |
| Type of leave | Time period | Mandatory |
| Annual leave/Earned Leave | 4 weeks | Yes |
| Sick Leave | 10 days | Yes |
| Maternity Leave | 52 weeks | Yes |
Leave Compliance
Payroll cycle
Employees are usually paid weekly, bi-monthly or monthly
Minimum wage
The minimum wage in New Zealand depends on what type of category employees fit in. Adults (16+) and regular employees have a higher minimum wage rate than those who are starting or in Effective April 1, 2023, the minimum wage rates are:
Read more
Overtime pay
There is no legal restriction regarding overtime pay. However, most employees are paid 1.5 times or 2 times their hourly wage depending on the agreement between the employer and employees. This payment is also called a penal rate, which is payment given aside from the standard rate.
| Tax Rate | Contribution |
| 3% | KiwiSaver |
| 1% | Earners’ Levy (Working Safer Levy) |
| Tax Rate | Contribution |
| 3%* | KiwiSaver |
| 1.46% per $100 (as of April 2022 to March 2023) | Earners’ Levy (Working Safer Levy) |
* Employees can opt to increase their contributions to 4%, 6%, 8% or 10%.
Employees’ working safer levy rate changes annually. Below are the rates beyond 2023:
Income tax is levied at a progressive rate on all annual income as follows:
| Annual Taxable Income (NZD, New Zealand Dollars) | Income Tax Rate (%) |
| 0 to 14,000 | 10.5% |
| 14,000 to 48,000 | 17.5% |
| 48,000 to 70,000 | 30% |
| 70,000 to 180,000 | 33% |
| Above 180,000 | 39% |
The standard VAT rate in New Zealand is 15% and 9% for the reduced VAT rate.
A 13th-month bonus is customary in New Zealand.
The New Zealand government has set a robust social welfare system, which provides benefits among their citizens and residents. Below are some of the benefits they offer to their employees:
The termination process in New Zealand is simple. It can be done through resignation, retirement, dismissal, or redundancy.
The notice period for employees during the probationary period is from one to two weeks, while for permanent employees, it ranges from two to four weeks.
There are no provisions for mandatory severance benefits in New Zealand. At the time of contract termination, employees are entitled to a ‘final pay’ that includes:
Foreigners have work visa options based on the purpose of their stay in the country. Below are the following:
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Overtime Pay
Minimum Wage
The minimum wage in New Zealand depends on what type of category employees fit in. Adults (16+) and regular employees have a higher minimum wage rate than those who are starting or in Effective April 1, 2023, the minimum wage rates are:
Overtime Pay
Visa and Immigration
| Types of Visa | Duration | Note |
| APEC Business Travel Card | Up to 3 months | Requires Passport and APEC Business Travel Card to travel
A work visa is needed if you’re planning to stay longer than 3 months |
| Business Visitor Visa | Up to 3 months | You must hold NZeTA before traveling to New Zealand |
| Global Impact Work Visa | 36 months | Apply for permanent residence after 30 months on the Edmund Hillary Fellowship |
| Entrepreneur Work Visa | Up to 3 years | You can set up your business in New Zealand
Work up to three years on your business You can include your partner and dependents or children under 19 years old First 12 months, start-up stage of visa, then another 24 months to show business set-up |
| Entrepreneur Resident Visa | Indefinite | Partners and any dependents 24 and under may be included
You must have applied less than 2 years of being self-employed, have at least NZ$ 500,000.00 in invested capital, and created 3 jobs for the application to succeed |
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New Zealand
