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Employment Relations Act 2000

Additional provisions relating to enforcement of employment standards - Liability of persons involved in breach, bodies corporate, and principals

142Y: When person involved in breach liable for default in payment of wages or other money due to employee

You could also call this:

“People who helped break work rules might have to pay money owed to workers if the boss can't pay.”

You can get money that is owed to you, even if it’s not from your employer. This can happen if someone else was involved in breaking the rules about paying workers. A Labour Inspector or you (the employee) can try to get this money.

For this to work, three things need to be true:

  1. The money you were supposed to get (like wages) wasn’t paid.
  2. This happened because someone broke the rules about how to treat workers (called employment standards).
  3. The person you’re trying to get money from was involved in breaking these rules. You can find out what “involved” means by looking at section 142W.

There are a couple of extra things to know:

  • If you’re trying to get money that’s late (called arrears), you need to ask the Authority or court for permission first.
  • You can only get money this way if your employer can’t pay you what they owe.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6803102.

Topics:
Work and jobs > Worker rights
Money and consumer rights > Consumer protection
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142X: Person involved in breach liable to penalty, or

“You could get in trouble if you help someone break the rules at work.”

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142Z: State of mind of directors, employees, or agents attributed to body corporate or other principal, or

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Part 9A Additional provisions relating to enforcement of employment standards
Liability of persons involved in breach, bodies corporate, and principals

142YWhen person involved in breach liable for default in payment of wages or other money due to employee

  1. A Labour Inspector or an employee may recover from a person who is not the employee’s employer any wages or other money payable to the employee if—

  2. there has been a default in the payment of wages or other money payable to the employee; and
    1. the default is due to a breach of employment standards; and
      1. the person is a person involved in the breach within the meaning of section 142W.

        1. However, arrears in wages or other money may be recovered under subsection (1) only,—

        2. in the case of recovery by an employee, with the prior leave of the Authority or the court; and
          1. to the extent that the employee’s employer is unable to pay the arrears in wages or other money.

            Notes
            • Section 142Y: inserted, on , by section 19 of the Employment Relations Amendment Act 2016 (2016 No 9).