Employment Hero is urging New Zealand employers to act now as pay transparency legislation progresses through Parliament.
The Employment Relations (Employee Remuneration Disclosure) Amendment Bill would ban pay secrecy clauses and allow employees to discuss salaries openly. The platform describes the reform as a strategic opportunity for business.
Pay Transparency Legislation Gains Business-Relevant Momentum
The Employment Relations (Employee Remuneration Disclosure) Amendment Bill continues to progress through Parliament. The National Party has supported the bill at both its first and second readings. “
The legislation is designed to promote greater pay transparency and equality, helping to identify and address unjustified pay disparities,” said Sanam Ahmadzadeh Salmani, Employment Counsel at Employment Hero.
“While it’s a welcome change… employers should take proactive steps now to prepare for if the Bill passes.”
Compliance Planning Recommended for Employers
Ahmadzadeh Salmani is urging employers to respond to the proposed legislation by reviewing internal practices now. “This is an opportunity for employers to drive better pay transparency and better outcomes for both businesses and employees,” she said. The approach aligns with a centre-right perspective, favouring voluntary compliance supported by private sector solutions.
“Aligning with the legislation will not only ensure compliance if and when required but can also improve employee satisfaction and retention,” said Ahmadzadeh Salmani.
“Employees want to know they’re being treated fairly and businesses that embrace this change will likely see stronger engagement and loyalty.”
Legal Resources Available to Support Business Readiness
Employment Hero is making legal guidance available to help businesses prepare for the proposed changes to pay transparency law. The resources are free and accessible via the company’s website.
They include specific guidance on the Employee Remuneration Disclosure Bill. The approach supports employers through legal education and avoids dependence on regulatory enforcement.
Advance Preparation Encouraged to Mitigate Legal Risk
Ahmadzadeh Salmani is encouraging employers to get ahead of potential legal changes. “By preparing and making any changes before the Bill passes, employers will be on the front foot and can avoid being caught out later down the track,” she said.