Summary
New Zealand has a comprehensive social security system, which is largely non-contributory. Neither employers nor employees contribute to social security funds, as they are tax financed. However, employees and self-employed persons must contribute to the Accident Compensation Corporation (ACC) scheme, which provides benefits in the event of an accident, either at work or at elsewhere. New Zealand nationals, permanent residents and foreign workers temporarily employed in the country are all covered by social security. Work and Income New Zealand (WINZ) administer social security benefits in New Zealand. There is a subsidized retirement savings plan - KiwiSaver - that supplements the country's flat-rate universal pension, known as New Zealand Superannuation. Unemployment and sickness benefits are paid after a minimum period of residence (two years for unemployment benefit), irrespective of employment history. However, the country has reciprocal agreements with certain countries such as Australia, Canada, Denmark and the UK, under which nationals from these countries can apply for social security benefits as soon as they arrive to take up permanent residence. Social security benefits are offered at a flat rate (government transfers), irrespective of previous income. Benefits are subject to taxation, and the Department of Social Welfare deducts the tax before granting benefits.
The report provides in-depth industry analysis, information and insights of the employee benefits in New Zealand, including: overview of the state and compulsory benefits in New Zealand, detailed information about the private benefits in New Zealand, insights on various central institutions responsible for the administration of the different branches of social security and the regulatory framework of the employee benefits in New Zealand.
Key Highlights
- New Zealand has a comprehensive social security system, which is largely non-contributory.
- In New Zealand, private pension schemes (superannuation plans) only cover a small portion of employees.
- Employee benefits required by law are known as state and compulsory benefits.
- There is a subsidized retirement savings plan - KiwiSaver, which supplements the country's flat-rate universal pension, known as New Zealand Superannuation.
Scope
- This report provides a detailed analysis of employee benefits in New Zealand.
- It offers a detailed analysis of the key government-sponsored employee benefits, along with private benefits
- It covers an exhaustive list of employee benefits, including retirement benefits, death in service, long-term disability benefits, medical benefits, workmen's compensation insurance, maternity and paternity benefits, family benefits, unemployment, leave and private benefits
- It highlights the economic and regulatory situations relating to employee benefits in New Zealand.
Reasons to buy
- Make strategic decisions using in-depth information related to employee benefits in New Zealand.
- Assess New Zealand's employee benefits market, including state and compulsory benefits and private benefits.
- Gain insights into the key employee benefit schemes offered by private employers in New Zealand.
- Gain insights into key organizations governing New Zealand's employee benefits, and their impact on companies.
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Table of Contents
1 EXECUTIVE SUMMARY
2 INTRODUCTION
2.1 What is this Report About?
2.2 Definitions
3 COUNTRY STATISTICS
4 OVERVIEW OF EMPLOYEE BENEFITS IN NEW ZEALAND
5 REGULATIONS
6 STATE AND COMPULSORY BENEFITS
6.1 Retirement Benefits
6.1.1 Introduction
6.1.2 Types of Retirement Plan
6.1.3 Eligibility
6.1.4 Age
6.1.5 Benefits
6.1.6 Payment Options
6.1.7 Typical employer practice
6.1.8 Employee and employer contributions
6.1.9 Taxation
6.2 Death in Service
6.2.1 Introduction
6.2.2 Eligibility
6.2.3 Benefits
6.2.4 Payment Options
6.2.5 Typical employer practice
6.2.6 Employee and employer contributions
6.2.7 Taxation
6.3 Long-Term Disability Benefits
6.3.1 Introduction
6.3.2 Eligibility
6.3.3 Benefits
6.3.4 Payment Options
6.3.5 Employee and employer contributions
6.3.6 Taxation
6.4 Short-Term Sickness Benefits
6.4.1 Introduction
6.4.2 Eligibility
6.4.3 Benefits
6.4.4 Payment Options
6.4.5 Typical employer practice
6.4.6 Employee and employer contributions
6.4.7 Taxation
6.5 Medical Benefits
6.5.1 Introduction
6.5.2 Eligibility
6.5.3 Benefits
6.5.4 Typical employer practice
6.5.5 Employee and employer contributions
6.5.6 Taxation
6.6 Workmen’s Compensation Insurance
6.6.1 Introduction
6.6.2 Eligibility
6.6.3 Benefits
6.6.4 Payment options
6.6.5 Employee and employer contributions
6.6.6 Taxation
6.7 Maternity and Paternity Benefits
6.7.1 Introduction
6.7.2 Eligibility
6.7.3 Benefits
6.7.4 Payment Options
6.7.5 Employee and employer contributions
6.7.6 Taxation
6.8 Family Benefits
6.8.1 Introduction
6.8.2 Eligibility
6.8.3 Benefits
6.8.4 Payment Options
6.8.5 Employee and employer contributions
6.8.6 Taxation
6.9 Unemployment Benefits
6.9.1 Introduction
6.9.2 Eligibility
6.9.3 Benefits
6.9.4 Payment Options
6.9.5 Employee and employer contributions
6.9.6 Taxation
6.1 Leaves and Holidays
6.10.1 Introduction
6.10.2 Public Holidays
7 PRIVATE BENEFITS
7.1 Retirement Benefits
7.2 Disability Benefits
7.3 Death Benefits
7.4 Sickness Benefits
7.5 Medical and Health Benefits
7.6 Other Benefits
8 APPENDIX
8.1 Methodology
8.2 Contact GlobalData
8.3 About GlobalData
8.4 GlobalData’s Services
8.5 Disclaimer
List of Tables
Table 1: Insurance Industry Definitions
Table 2: New Zealand - Country Statistics
Table 3: New Zealand - Superannuation and Veteran’s Pension Benefits, April 2018
Table 4: New Zealand - Death-in-Service Benefits, April 2018
Table 5: New Zealand - Disability Allowance Income Limits, April 2018
Table 6: New Zealand - Long-Term Disability Benefits, April 2017
Table 7: New Zealand - Short-Term Sickness Benefits, April 2017
Table 8: New Zealand - Family Tax Credits, April 2018
Table 9 : New Zealand - Youth Payment, April 2018
Table 10: New Zealand - Young Parent Payment, April 2018
Table 11: New Zealand - Unemployment Benefits, April 2017
Table 12: Leave - Fixed National and Public Holidays
