By Ahvee Ram

Prime Minister Jacinda Ardern has announced New Zealand will mark the passing of Queen Elizabeth II with a State Memorial Service and one-off public holiday called ‘Queen Elizabeth II Memorial Day’ on Monday 26 September.

The public holiday is in line with similar holidays in the UK and Australia, Ardern noted.

In summary, this article will address:

  • One instance of this holiday only.
  • An employee can only be made to work if their employment agreement says they have to work on the public holiday.
  • How to determine pay rate for any employees required to work.
  • Normal Public Holiday requirements under the Holidays Act will apply.
  • Employees working will be entitled to 1.5 times their pay rate and may get an alternative day off.
  • Note overlap of two public holidays for South Canterbury employers.

How will this public holiday impact trading?

At this time, there are no trading restrictions which have been imposed as a result of the public holiday. Businesses are still able to operate during usual trading hours if they wish to do so.

Note that employees are entitled to a public holiday without loss of pay if the day of the public holiday is an “Otherwise Working Day” – something employers should consider if they choose to remain in operation on this public holiday.

Are employees expected to come to work if the business remains open?

Any request for an employee to work on a public holiday must be provided for in one’s employment contract.

Are employees entitled to special pay or compensation?

Employees get a paid day off on public holidays if it’s what is defined as an ‘Otherwise Working Day’ for them. An ‘Otherwise Working Day’ is a day an employee would have been working had the day not been a public holiday.

Under the Otherwise Working Day rules, if an employee works on a public holiday they’re paid time and a half (1.5 times their pay rate) and can get an alternative day off.

How an employee is entitled to be compensated for any public holiday depends on:

  • Whether or not they actually work on the holiday (or on the day the public holiday has been transferred to); and
  • Whether or not the day is a day they would otherwise have worked were it not for the fact that it was a public holiday.

An employee can only be made to work on a public holiday if:

  • It falls on a day that they would have otherwise worked on; and
  • Their employment agreement says they have to work on the public holiday.

If an employee is required to be available to work on a public holiday that doesn’t fall within their agreed and guaranteed hours, this must be covered by an availability clause in their employment agreement.

In all other circumstances, an employee only works on a public holiday if they agree to.

Working out public holiday entitlements – a summary of the above in an easy go-to guide

If an employee does not work on a public holiday, and this is an ‘Otherwise Working Day’ then the employee is paid a normal stat day.

If an employee does work on a public holiday, and this is not an ‘Otherwise Working Day’ then the employee is paid time and a half.

If an employee does work on a public holiday, and this is an ‘Otherwise Working Day’ then:

  • The employee is paid time and a half; and
  • The employee is given an alternative holiday (day in lieu).

If an employee does not work on a public holiday, and this is not an ‘Otherwise Working Day’ then the employee does not receive the benefits of the public holiday.

South Canterbury employers, please note overlapping public holidays

For employers with employees located in South Canterbury, take extra care as 26 September 2022 also marks the regional anniversary date, therefore resulting in an overlapping of two public holidays.

The current legal position is that only one public holiday can be observed at a time. Therefore, local leaders in the South Canterbury regions will need to decide whether the region misses out on an additional public holiday. Local leaders in the region do have the ability, should they choose, to move or celebrate their anniversary day on another day.

We’re a phone call away if you need clarification

Our 24/7 Telephone Advisory Service has a wealth of knowledge about new and unanticipated public holidays and days off work and how these affect employees’ pay and Awards. If you’re a client of HR Assured, please contact us for guidance on The National Day of Mourning for Her Majesty the Queen.

Not an HR Assured client and have questions about how to handle HR compliance on public holidays? Contact the team at HR Assured for a confidential, no-obligation phone call.

Ahvee Ram is an Employment Relations and Safety Consultant at HR Assured New Zealand. He regularly advises and supports our clients with a wide range of workplace and employment issues.