New Zealand

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Congratulations on your decision to hire employees in New Zealand! With a thriving, diverse economy spread across more than 600 islands, New Zealand offers fertile ground for nurturing your business growth. Plane simplifies the hiring process for you by offering automated tax document collection, payroll, benefits administration, and more, while ensuring compliance and maximum efficiency. Still, hiring in a new country can pose certain challenges, so we’ve put together the following guide on how to navigate the process of hiring in New Zealand.

Currency

NZD

 Onboarding

3 to 4 weeks minimum

Employer Cost

13.35%

Pay Frequency

Monthly

Public Holidays

11

4 Considerations Before Hiring in New Zealand

As an employer in New Zealand, it is important to have a comprehensive employment contract that outlines the terms and conditions of the employment relationship. The contract should include need-to-know info on compensation, benefits, vacation time, and sick leave policies. Before onboarding a new employee in New Zealand, take a moment to consider the following:

Does your employee have the right to work in New Zealand?

You must check that your employee has the right to work in New Zealand, either by being a citizen of New Zealand or Australia, or by having a foreign passport with a valid New Zealand work or residence visa. 

Plane Recommendation

Plane helps you conduct a Right to Work verification check for any employees before you onboard them. We can help you determine if you need to assist your new hire in obtaining any work permits or visas.

How does the KiwiSaver pension scheme work?
Will there be a probationary period? If so, for how long?
How many days of paid time off will be provided?

Getting Started with Hiring in New Zealand

Employment Contract

In New Zealand, it’s mandatory for all employees to have a written employment contract that spells out rights and obligations between an employer and an employee. Employment contracts must comply with New Zealand labor law, including minimum wage requirements, statutory working hours, leave entitlements, and termination procedures.

Most contracts in New Zealand are permanent, but you can hire employees on fixed-term contracts as well. However, there must be a genuine reason based on reasonable grounds to hire an employee on a fixed-term contract instead of a permanent one, like covering for an employee on leave, or working on a particular project. Fixed-term employees are entitled to all the same workplace rights as full-time employees.

Hire Calculator

Get an instant, free estimate of how much it will cost to employ your next hire, including taxes.

Once you have sorted out the details mentioned above, you can add the employee to the Plane platform. We provide a step-by-step workflow that shows what tasks need to be completed, as well as real-time updates and notifications. This way, you can stay on top of the hiring process at all times. With Plane, you can confidently hire, knowing that you have a powerful platform at your disposal to manage the entire process from start to finish. Here are the instructions for adding a new employee to the platform:

How to hire and onboard an employee

Plane offers a guided process for administrators and managers to hire and onboard their new employees.

Hiring an employee in a new country can be a complex process, but with the right guidance and resources, it can be a smooth and successful transition. At Plane, we're committed to helping you navigate this process step-by-step. We'll keep you informed and up-to-date with the latest regulations and employment laws.

Frequently Asked Questions

Here are answers to some common questions about hiring employees outside of the US with Plane:

What is the relationship between my company and Plane?

Pilot Platform Inc (Plane) provides the product and service by helping you manage HR, payroll, and statutory requirements. Plane has its own entities and partners that are the EOR/legal employer where the employee is legally hired in the country. Plane and our partner do not manage the performance of the employees since we do not monitor or work directly with them.

Can Plane withhold taxes for non-cash compensation (e.g. stocks, options)?
Will I be able to pay a bonus, commission, or any other additional payments?
Can Plane guarantee the employee’s start date?