As we approach October 1st, 2023, the RSE scheme is set to undergo significant amendments aimed at enhancing the financial security and overall well-being of RSE workers.
Here are the key updates:
Minimum Wage Increase
The minimum hourly wage for RSE workers will see a 10% increase, raising it from $22.70 to $24.97. Consequently, the minimum weekly wage (based on a 30-hour work week) will now be $749.10, up from the previous $681.00. If a worker’s earnings from piece rate work (income based on quantity produced rather than hours worked) fall below this minimum wage threshold, employers are required to top up their wages to meet the minimum requirement. Conversely, if workers earn more through piece rate work, they will be paid accordingly without any top-up. To learn more about why minimum wage top ups matter and how to automate them to guarantee compliance, check out our guide on piece rate.
More Flexible Sick Leave Entitlements
A notable change is coming to the sick leave entitlements for RSE workers. Previously, workers would receive 10 days of sick leave after six months of employment, with an additional 10 days after a year. But gone are the days of waiting six months for sick leave days. Now, workers will receive two sick leave days right from the get-go, with an additional two days accrued each month thereafter, until they reach the 10-day mark at four months of employment.
Here is a table from that shows the new RSE worker sick leave accumulation:
For more detailed information, visit Immigration NZ for the official update documentation.
These updates are a stride towards creating a brighter, fairer work environment for RSE workers, keeping in step with New Zealand’s commitment to fair employment practices and nurturing the well-being of all workers on its land.