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September 22, 2025 3 mins

Businesses are hopeful an overhaul of the Holidays Act will give them clearer leave guidelines. 

The Workplace Minister will announcing a change to the 2003 Act today. 

Business Canterbury CEO Leeann Watson told Francesca Rudkin the current legislation is far too complex. 

She says businesses have almost needed an advanced calculus degree to meet their obligations. 

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Episode Transcript

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Speaker 1 (00:00):
Right.

Speaker 2 (00:00):
Major changes ahead for employers. The long awaited overhaul of
the Holidays Act will be announced today by the Workplace
Relations Minister. This will mean business owners will hopefully have
more certainty over their leave requirements of their staff. Leanne
Watson is a CEO of Business Canterbranch, is with me now,
Good morning, Lynne.

Speaker 1 (00:18):
Good morning.

Speaker 2 (00:19):
Okay, how long have you been waiting for this legislation
to be overhauled?

Speaker 1 (00:24):
Oh? Look, a very long time. We are very much
looking forward today's announcement and what we hope will replace
this long criticized Holidays Act. In fact, in my eight
years a CEO of Business Canterbury, I would say no
single piece of legislation has caused more frustration more confusion
than the Holidays Act. And there's been you know, significant

(00:44):
compliance nightmares, riddled with complexity, menual pay roll fixes and
interventions and you know some pretty serious under and overpayment
risks involved.

Speaker 2 (00:53):
It's been really tricky for casual employee. So how are
casual employees treated differently to full timers under the current
act and what are you hoping to see?

Speaker 1 (01:02):
Yeah? Look, I mean the first thing that we're hoping
to see is a regulation that is clearer, fairer and
just more practical for employers to implement and meet their obligations,
because that has been the single biggest concern that you know,
businesses have just simply almost needed an advanced calculus degree
to work out whether or not they are in fact
meeting those obligations. You and you're quite right when we

(01:24):
take into accounts some modern day work day practices. You know,
we do have many sectors who employ casual and part
time staff, manufacturers, hospitality, retail, and they have been I
guess the most impacted by mainly the pro rating of
leave based on the hour's work. That's been you know,
one of the biggest issues. So that's what we're hoping
to see today is just that particular issue, you know,

(01:48):
a lot farer for employers to work through.

Speaker 2 (01:50):
What else would you love to hear the curtain only en.

Speaker 1 (01:54):
Look, I think just going back to really reducing that
compliance burden on businesses and having them, you know, understand
how to navigate that legislation that you know, that has
been the single biggest issue has caused huge confusion, and
not only for you know, small businesses, many of whom
of course don't having sort of dedicated HR resources internally,
but also you know, we know for some other bigger businesses,

(02:16):
in fact, including some of the government departments, they've also
you know, been victim of not understanding this and getting
it wrong. So I think just you know, going back
to making it really clear, really fear and really practical
for businesses to molement is what we're hoping to see today.

Speaker 2 (02:31):
Are you confident, I mean, how was the consultation process.
Do you feel like your concerns were heard by the minister.

Speaker 1 (02:38):
Yes, we have had some good consultation and in fact,
you know, Minister van Walden has been very actively involved
in engaging with our members and Canterbury not only on
this but also on health and safety reform. So the
consultation has been good. I guess the announcement today will determine,
you know, how much she has listened. This is complex.

(02:59):
I suspect that will take quite some time to work through,
but you know this has been worked on since twenty eighteen,
you know, so there needs to be some urgency to
address this to get it right.

Speaker 2 (03:11):
Yeh, Watson, thank you so much for your time.

Speaker 1 (03:14):
For more from early edition with Ryan Bridge, listen live
to news talks it'd be from five am weekdays, or
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