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Hiring employees and recruitment requirements in New Zealand

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Hiring employees and recruitment requirements in New Zealand

  1. 1. Recruitment & Hiring Requirements in New Zealand www.bizlatinhub.com
  2. 2. Key Considerations: Employment Find below some of the key considerations that should be taken into account before contracting staff in New Zealand. Max employer contribution is 3% Total cost of employment • Automatic pension enrolment • Health insurance social security • Unemployment insurance • Work related injures and/or illnesses coverage • Special leave (maternity, study, death of a relative, marriage, etc.) Employee benefits Yes, period recorded in employment agreement Is there an employee probation period? Yes, maximum of 4 weeks Vacation entitlement Employers – according to PAYE principle Who manages withholding tax? Yes Can expatriate staff be hired? Yes Do staff need a local employment contract?
  3. 3. Through a local legal entity Through a PEO solution: Professional Employer Organization Pathways to hiring staff
  4. 4. Advantages: • Greater control of your employees • Better knowledge of local market, laws and regulation • Viewed more positively than a PEO solution Disadvantages: • High set-up/ongoing costs • Administration involved in managing a local company • Accounting and tax obligations Forming a Legal Entity in New Zealand In New Zealand, there are (3) main types of legal entities: Sole Proprietorship, Partnership, and Limited Liability Company
  5. 5. Advantages: • You can operate without forming and maintaining a local entity • Limited legal responsibility • Cost-effective way to convert international contractors into employees Disadvantages: • The PEO becomes a co-employer • Loss of control • Costs involved with PEO services • Compromised company culture Professional Employer Organisation International PEO is a method to employ staff without having your own company
  6. 6. Biz Latin Hub is a market leader in helping individuals and companies to successfully do business globally and has multilingual services that are reliable, tailored and responsive. Our group is owned and managed by an experienced team of local and expat professionals, dedicated to assisting our clients to navigate their way through the complexities of the global business environment. We can help!
  7. 7. See how our services can support your global expansion. Legal Services Accounting & Taxation Immigration
  8. 8. Are you ready to expand globally? Contact us now. contact@bizlatinhub.com www.bizlatinhub.com