Uniforms and Dress Codes: Who Pays in New Zealand Employment?
Employers often require their employees to adhere to specific standards of appearance, which may include a dress code or a uniform. This article outlines the legal requirements in New Zealand regarding who is responsible for the costs associated with uniforms and other work-related attire.
Defining Uniforms and Dress Codes
A dress code refers to a set of rules specifying the clothing appropriate for a particular situation or workplace. It typically sets general standards (e.g., 'business casual') and does not usually involve specific branded items.
A uniform, by contrast, refers to specific clothing items or a specific style of dress that an employer requires an employee to wear while working. These often include branded items or specific types of clothing unique to the workplace.
General Principle: Employer Responsibility for Uniform Costs
Generally, if an employer requires an employee to wear a uniform, the employer is expected to bear the cost. New Zealand law restricts an employer's ability to make deductions from an employee's wages.
The Wages Protection Act 1983 states that an employer cannot deduct money from an employee's wages unless the deduction is:
- authorised by a specific Act of Parliament [Source: Wages Protection Act 1983, s 4(1)(a)], or
- authorised in writing by the employee [Source: Wages Protection Act 1983, s 4(1)(b)].
Even with written authorisation, a deduction for uniform costs cannot reduce the employee's gross remuneration (total pay before deductions) below the applicable minimum wage rate for the hours worked [Source: Wages Protection Act 1983, s 5(1)]. The Minimum Wage Act 1983 sets the minimum hourly rate an employee must be paid [Source: Minimum Wage Act 1983, s 3]. Therefore, if the cost of a uniform effectively brings an employee's pay below the minimum wage, the deduction is unlawful.
Uniforms as Personal Protective Equipment (PPE)
If the required uniform also serves as Personal Protective Equipment (PPE) (equipment designed to protect workers from health and safety risks at work), different rules apply. The Health and Safety at Work Act 2015 (HSWA) places duties on a Person Conducting a Business or Undertaking (PCBU) (an organisation or individual conducting a business or undertaking) to ensure, so far as is reasonably practicable, the health and safety of workers [Source: Health and Safety at Work Act 2015, s 36(1)].
Specifically, a PCBU must ensure the provision and maintenance of PPE to workers if it is required to minimise risks to health and safety [Source: Health and Safety at Work Act 2015, s 21]. This generally means the employer must provide, maintain, and pay for any PPE, including uniforms that function as PPE, and employees cannot be charged for it.
Return of Uniforms
An employer may have a policy requiring employees to return uniforms upon termination of employment. If an employee fails to return a uniform that was provided by the employer, the Wages Protection Act 1983 allows for a deduction from the employee's final pay, provided certain conditions are met.
The Act permits a deduction if the employee fails to return an item of the employer's property, and the employment agreement or a separate written agreement authorises such a deduction for the specific item [Source: Wages Protection Act 1983, s 6]. As with other deductions, this cannot reduce the employee's final pay below the minimum wage threshold [Source: Wages Protection Act 1983, s 5(1)].
Employment Agreements and Good Faith
The requirement to wear a uniform or adhere to a dress code, and who pays for it, should ideally be clearly set out in the employee's employment agreement (a legally binding contract between an employer and an employee outlining the terms and conditions of employment) [Source: Employment Relations Act 2000, s 56].
Any changes to an employment agreement, including those related to uniforms or dress codes, must be made in accordance with the principles of good faith [Source: Employment Relations Act 2000, s 4]. Good faith requires parties to an employment relationship to be active and constructive in establishing and maintaining a productive relationship, and to be honest, open, and transparent with each other. This generally means an employer should consult with employees about proposed changes to uniform or dress code policies before implementing them.
When to Seek Independent Legal Advice
Individuals seeking to understand their specific rights and obligations regarding uniforms, dress codes, or wage deductions in an employment context should consult independent legal advice. Information on employment rights can be obtained from official government sources like Employment New Zealand or by contacting Community Law Centres for free advice and assistance, which can be found at https://communitylaw.org.nz/.