Regulatory Impact Statement - Minimum Wage Review 2009
Implementation
The Department recommends implementing any changes to the minimum wage rates on 1 April 2010. Historically, any change in the minimum wage occurs on or before 1 April, thus providing consistency for employees and employers. The 1 April is also the same date that the adjustments to Accommodation Supplement, Minimum Family Tax Credit and ACC levies for the Work Account become effective.
The Minister of Labour intends to make a media statement following Cabinet confirmation. The Regulatory Impact Statement and the Officials' report will be made publicly available through the Department of Labour's website. If the minimum wage is increased, the Department of Labour will provide information through its website, call centre and other customer services to give employers warning of the changes.
Monitoring, evaluation and review
It is a statutory obligation under Section 5 of the Minimum Wage Act 1983 for the Minister of Labour to review the minimum wage rates by 31 December each year.
There is no specific review planned of the decisions from the 2009 minimum wage review. The Department undertakes informal monitoring of the minimum wage during the year, including media reports, New Zealand empirical research and evidence from submitters to the following minimum wage review.
