Employment Relations Act 2000

Strikes and lockouts - Specified pay deductions in relation to partial strike

95C: Calculation of specified pay deduction

You could also call this:

"How your pay is worked out if you're on a partial strike"

When you are on a partial strike, your employer might deduct some of your pay. To work out how much to deduct, your employer must first find out how many hours you usually work on the day of the strike. They can look at your wages and time record, employment agreement, or roster to do this.

Your employer must then identify the work you will not be doing because of the strike, and estimate how much time you would have spent doing that work. They must calculate this time as a percentage of your usual hours of work. This percentage is the amount of your salary or wages that can be deducted.

However, your employer can choose to deduct 10% of your pay instead, regardless of what the calculation says. They can only deduct pay from a group of employees if they all do similar work. The details of the strike, including the dates and times, are usually found in the strike notice, and your employer must use this information to work out your pay deduction, as amended by the Employment Relations (Pay Deductions for Partial Strikes) Amendment Act 2025.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS1455434.


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95B: Notice of specified pay deduction, or

"Telling you when pay will be deducted during a strike"


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95D: Relationship between specified pay deduction and minimum wage, or

"When pay deductions mean you earn less than the minimum wage"

Part 8Strikes and lockouts
Specified pay deductions in relation to partial strike

95CCalculation of specified pay deduction

  1. An employer must calculate the amount of a specified pay deduction by—

  2. ascertaining, for the employee or group of employees, the usual hours of work for the day of the partial strike (which may be by reference to information contained in the wages and time record, the employment agreement, or a roster or any other document or record used in the normal course of the employee’s employment); and
    1. identifying the work that the employee or employees will not be performing because of that strike (which must be by reference to the information contained in the relevant strike notice); and
      1. estimating how much time the employee or employees would, but for the strike, have spent performing the work referred to in paragraph (b) on the day of the strike; and
        1. calculating the time referred to in paragraph (c) as a percentage of the employee’s or employees’ usual hours of work (as ascertained for the purposes of paragraph (a)).
          1. The percentage referred to in subsection (1)(d) is the percentage of the employee’s or employees’ salary or wages that may be deducted.

          2. However, despite subsections (1) and (2), an employer may, instead of calculating and applying a deduction in accordance with those provisions, impose a 10% deduction on the salary or wages that are payable to the employee or employees for the period of the partial strike (which must be ascertained by reference to the information contained in the relevant strike notice), regardless of whether the amount of deduction calculated in accordance with subsection (1) would have been more or less than 10%.

          3. An employer may calculate and apply a specified pay deduction in respect of a group of employees only if each member of the group performs work of the same, or a similar, nature.

          Notes
          • Section 95C: inserted, on , by section 9 of the Employment Relations (Pay Deductions for Partial Strikes) Amendment Act 2025 (2025 No 35).