New Entrants (Minimum wage)

This law came into force 1st April 2008. Many employers are under the impression the 'entitlement period' or 'qualifying period' (200 hours or 3 months whichever is the earlier) starts on 1st April 08. NOTE If the employee has already served the time prior to 1st April then he/she is entitled to be paid the adult rate (now $12.00 per hour) from the 1st April 08.

The difficulty employers will face if they don’t follow the rules is their exposure to a Personal Grievance based on 'disadvantage'. This will be costly.

Major Changes to Youth Rates
Until 1st April 2008, there are three classes of worker:-
1. 18 and over
2. 16 and 17 years (to whom the youth rate applies)
3. Employees under training. – 'who are employed under contracts of service under which they are required to undergo training, instruction, or examination for the purpose of becoming qualified for the occupation to which their contract of service relates' 'industry training' for at least 60 credits per year.


On and From 1st April 2008 the three classes will be
1. 18 and over
2. 'New entrants
Defined as workers who are 16 or 17years of age Except

• those who have completed 3 months or 200 hours of employment (whichever is the shorter),
• or who are supervising or training other workers.
• Or where the 16 / 17 is undergoing training

• 16 and 17 year olds will be paid the new entrants rate for the first 200 hours of their employment, or three months which ever is the sooner. The hours do not have to be for one employer - previous employment over the aged of 16 years will count.
• Service that pre dates 1st April 2008 (over the age of 16 years) will also count so that many 16 and 17year olds will already qualify for the 'adult rate'.
• Any 16 and 17 year old who undertakes a supervisor’s function will not be subject to the new entrant’s minimum wage - they will be entitled to the minimum wage.
• There is no change for the under 16 years
• Those over 18 who are 'new entrants' are not affected.

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