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Annual Leave Rates

When I pay out the annual leave for staff I have 3 options of which hourly rate I can give them:

Employee Pay

Ordinary Pay

Average Pay

In which case should I be using which hourly rate for annual leave? 

New Zealand Fine Touring - Kerry Kettle Answered

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Generally you should pay the higher of the Ordinary, Average or Normal pay rate. The Ordinary is the average over the last four weeks and normally this is the highest, the Average is the average over the last 12 months.

The exception to this is the 12 months after an employee returns from parental leave you pay the Average rate.

For more information on Annual Leave payments see

Robert Owen 0 votes
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