Generally fixed-term (temporary) employees employment ends on a specified date or when a particular event occurs. A fixed-term employee might be someone who is brought in to replace another employee on parental leave, to cover a seasonal peak or to complete a project.
There must be a genuine reason based on reasonable grounds for the fixed term and the employee must be told about this reason.
For further details on entitlements for a fixed term/casual employee please refer to Employment New Zealand.
To set up the correct leave method for, go to the employee's profile and then the leave tab.
- Select the method 'a % of gross earnings (temp and irregular scenario)'.
- Select 'Leave as 8% of gross earnings'.
- Select either 'Paid into each pay' or 'Accumulate and pay later' depending on the employment agreement.
How to pay out accumulated holiday pay
If the holiday pay is accumulated to pay later then it will accrue in their leave liability. When the employee wishes to take leave, it gets paid out using the 'Holiday Pay ($)' pay type in a timesheet. For the day they are taking off put in the dollar value you wish to pay out from their holiday pay.
If the holiday pay is set to be paid into each pay, 8% of the total gross wages will be calculated and shown in the pay summary as being included in the gross.