Author: David Jenkins, NZPPA CEO

One of the main issues from a very long list of issues with the Holidays Act is the incorrect use of terms when referring to an agreed leave type when it is actually in regard to a leave entitlement provided under the Act.

An alternative holiday received under the Holidays Act should not be called “a day in lieu” as there are two totally different leave types, one being provided by law and the other by agreement.

An alternative holiday is a reward for working on a public holiday that is an otherwise working day for an employee. This is a leave entitlement provided by law.

A day in lieu is an agreed leave entitlement for the purpose of not paying for additional hours worked but accumulating and then taking that time later.

A day in lieu is not linked to a public holiday unless it is agreed as such. A day in lieu and an alternative holiday are two totally different leave types and SHOULD NOT be referred to as being the same thing.  If you need further clarification, please do not hesitate to contact us.