New Zealand criminalises wage theft

It is now a criminal offence for employers to intentionally withhold pay

New Zealand criminalises wage theft

The bill criminalising wage theft in New Zealand has officially passed as law. 

The Crimes (Theft by Employer) Amendment Bill passed the third reading in Parliament last week, inserting a new section into the Crimes Act 1961. 

"What does this mean? It means that now it will be a criminal offence for an employer to intentionally fail to pay money that an employee is owed," said Labour MP Camilla Belich, who advocated for the legislation. 

According to the Labour Party, the law's passing also means employees can go to the police and report their employer if they withhold wages, salaries, and other monetary entitlements. 

"We are sending a strong message that exploiting workers will not be tolerated and that we must create a labour market where all workers receive the pay they deserve and are entitled to for their hard work," Belich said in a video statement

'It's a good day for workers'  

Former Labour MP Ibrahim Omer first introduced the bill in 2023, following his experience of not getting paid by his employer when he worked at a farm after arriving in New Zealand. 

"So, when I became an MP, I introduced the wage theft legislation," he said in a statement on Facebook.  

"New Zealand workers now have more rights, and employers who steal from them will be held criminally accountable. It's a good day for workers." 

Meanwhile, the New Zealand Council of Trade Unions also welcomed the passing of the legislation

"Theft by employer has always been every bit as serious as any other type of theft, and now our legal system recognises this," the NZCTU said in a statement. "At a time when workers' rights in Aotearoa are under attack, we welcome this win for working people."