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Statement by Payroll System Functionality Group

Labour Inspectorate General Manager George Mason today issued this statement on behalf of a joint industry-government working group:

“The Payroll System Functionality Working Group met today. The group comprised participants from payroll providers, professional service providers, payroll practitioner body and Government, with representatives from AMS, Datacom, Deloitte, EY Law, iPayroll, Inland Revenue, KPMG, the Ministry of Business, Innovation and Employment (MBIE), MYOB, NZPPA and XERO.

“The Group agreed its objective is to help deliver “robust, well defined payroll that facilitates compliance”, with a particular focus on looking at problem areas around definition and interpretation as that concerns the application of the Holidays Act 2003.

“The Group considered the problems, generally agreed the issues presenting challenges for employers and payroll providers and had a constructive discussion about next steps.

“The Group determined there was potential scope to provide greater clarity across complex situations, including considering the practical application of the Act to a wide range of New Zealand businesses.

“The Group considered the broad range of stakeholders affected and how they might be involved and kept informed.

“The Group recognised it is not possible to resolve the issues quickly and has not decided timeframes but will do so at its next meeting as part of agreeing its work programme.

“Individual participants do not wish comment further but may provide an update after the next meeting.”