Is there a legal overtime rate in New Zealand?
No. New Zealand law does not set a mandatory overtime multiplier for extra weekday hours. There is no equivalent of the US "time-and-a-half after 40 hours" rule. Overtime pay — whether you get 1.5x, 2x, or just your ordinary rate for extra hours — is a matter for your employment agreement (individual or collective), negotiated between employer and employee. The Employment Relations Act 2000, s 11B requires every agreement to state the maximum hours (the default benchmark being 40 hours, excluding overtime) and, where hours are 40 or fewer, to try to fit them into no more than five days of the week. But it does not require any premium for hours beyond that maximum.
The one firm statutory premium is for public holidays. Under the Holidays Act 2003, s 50, an employee who works on a public holiday must be paid at least time-and-a-half — their relevant daily pay (or average daily pay) for the time actually worked, plus half that amount again. If the public holiday falls on a day the employee would otherwise have worked, s 56 also gives them a paid alternative holiday ("day in lieu").
Premium rates at a glance
| Situation | Minimum rate required by law | Source |
|---|---|---|
| Ordinary weekday overtime | No statutory minimum — your normal rate unless your agreement says more | Employment agreement (ERA 2000, s 11B) |
| Saturday / Sunday / night work | No statutory premium — set by agreement only | Employment agreement |
| Working on a public holiday | At least 1.5x (time-and-a-half) for hours worked | Holidays Act 2003, s 50 |
| Public holiday on an otherwise-working day | 1.5x pay plus a paid alternative holiday | Holidays Act 2003, ss 50 & 56 |
Worked example (public holiday — the only statutory case)
Sarah earns the adult minimum wage of $23.95 per hour (rate from 1 April 2026). She works 8 hours on Waitangi Day, a public holiday that is normally a working day for her.
- Time-and-a-half rate: $23.95 × 1.5 = $35.93 per hour
- Pay for the 8 hours worked: $35.93 × 8 = $287.40
- Plus one paid alternative holiday (day in lieu) to take later — worth roughly a normal day's pay, ~$191.60.
For ordinary overtime there is no formula in law: if Sarah's agreement is silent, those extra hours are simply paid at $23.95/hour. If her agreement promises time-and-a-half, then $35.93/hour applies — but only because the contract says so, not the statute.
Rest days, holidays and night premiums
New Zealand does not have statutory Saturday, Sunday, or night-shift premiums. Penal rates ("penal" = above-ordinary weekend/holiday pay) exist only where a collective or individual agreement provides them. Employees are entitled to 11 paid public holidays a year and a minimum of four weeks' paid annual leave (Holidays Act 2003). Rest and meal breaks are guaranteed under the Employment Relations Act 2000 (Part 6D), but the law does not attach a pay premium to working outside normal hours beyond the public-holiday rule above.
Caps, exemptions, and how to complain
The benchmark maximum is 40 hours per week excluding overtime (ERA 2000, s 11B), though parties can agree to more. There is no statutory daily hours cap, but employers owe a duty of good faith and health-and-safety obligations. Overtime pay rules apply equally to salaried and waged staff; "genuine" salary arrangements can absorb extra hours so long as overall pay never falls below the minimum wage for hours worked. The public-holiday entitlement under the Holidays Act applies to virtually all employees and cannot be contracted out of.
The enforcement body is the Labour Inspectorate, part of the Ministry of Business, Innovation and Employment (MBIE), operating the free Employment New Zealand service. To raise a problem, first ask your employer in writing; if unresolved, you can use free mediation services or lodge a claim with the Employment Relations Authority. Wage and holiday-pay breaches can be reported to the Labour Inspectorate at employment.govt.nz or on 0800 20 90 20.
- Does my employer have to pay me extra for overtime in New Zealand?
- Not unless your employment agreement says so. There is no statutory overtime rate for ordinary extra hours — only your normal pay rate is guaranteed, provided it stays at or above the minimum wage.
- What is the rate for working on a public holiday?
- At least time-and-a-half (relevant daily pay plus half again) under s 50 of the Holidays Act 2003, plus a paid alternative holiday if it was an otherwise-working day (s 56).
- Is there a maximum number of hours I can be required to work?
- Your agreement must state a maximum. The legal benchmark is 40 hours per week excluding overtime (ERA 2000, s 11B), but you and your employer can agree to more.
- What is the minimum wage in 2026?
- The adult minimum wage is $23.95 per hour from 1 April 2026. Starting-out and training rates are $19.16 per hour.
- Who do I contact if I'm not paid correctly?
- The Labour Inspectorate (part of MBIE), through Employment New Zealand at employment.govt.nz or 0800 20 90 20. Free mediation is also available before escalating to the Employment Relations Authority.