"On three and a half days each year almost all shops must close under the Shop Trading Hours Act 1990. These are Christmas Day, Good Friday, Easter Sunday, and until 1pm on ANZAC Day,” says Labour Inspectorate Head of Compliance and Enforcement Jeanie Borsboom.
“It is important for business owners and their staff to understand the regulations around restricted trading days like Christmas Day,” she adds.
Which shops can open
There are 3 circumstances where shops can open on restricted days in New Zealand:
- If they are classed as an essential shop or business permitted to trade
- If they have an area exemption
- If councils have local policies in place (for Easter Sunday trading only).
Shops are responsible for determining if they meet the criteria to trade.
Businesses permitted to trade include dairies, petrol stations, pharmacies, restaurants or cafes, hairdressers, and barbers. Farmers and crafts markets also fall into this category, provided they meet certain conditions.
Some shops can open because they have an area exemption, which is generally granted in tourist destinations such as Taupō or Queenstown.
“Most businesses and employers follow the rules, however shops that do not fit into any of the exemption categories are committing an offence if they open and trade on restricted shop trading days,” says Ms. Borsboom.
Restricted trading days for shops
Employee rights
Employees should know that they can only be required to work on a public holiday if:
- It is stated in their employment agreement
- The public holiday falls on a day they would normally work.
Those working on any of the four public holidays over the Christmas/New Year period must:
- Be paid at least time-and-a-half for the hours worked
- Receive an alternative holiday (a paid day off), provided the public holiday falls on a day the employee would normally be working.
If an employee does not work on the public holiday but it is a day they would normally work, they are entitled to their normal daily pay.
Closedown periods
Employers can require staff to take annual leave during a Christmas/New Year closedown but must give at least 14 days’ written notice.
There are special rules for how annual leave is to be paid during a closedown.
Annual closedowns and holidays
Public holidays during a closedown still need to be paid if they fall on days that would otherwise be working days.