SevereArn
New Zealand · Mandatory minimum + contractual
US · UK · CA · AU · NZ · Updated October 19, 2026
SevereArn/New Zealand

New Zealand Redundancy Calculator

New Zealand has no statutory redundancy pay. This calculator computes the mandatory minimum you are always owed — outstanding wages, accrued and untaken annual leave (Holidays Act 2003), and notice pay — and lets you add any contractual redundancy from your employment agreement. Check your individual or collective agreement first: that is where any redundancy compensation lives.

🇳🇿 Tax year 2026/27

Your employment details

Estimated total payout🇳🇿 NZ
$10,096
Mandatory minimum only — NZ has no statutory redundancy pay
Mandatory min$10,096
Annual leave$4,327
Notice pay$5,769

Breakdown

Outstanding wages$0.00
Annual leave payout (15 days)$4,326.92
Notice pay (4 wks)$5,769.23
Mandatory minimum$10,096.15
Total payout$10,096.15
How we got there
daily pay = $1,442 ÷ 5 = $288
annual leave = 15 days × $288 = $4,327
notice = 4 wks × $1,442 = $5,769
mandatory minimum = $0 + $4,327 + $5,769 = $10,096
total = $10,096 + $0 = $10,096
New Zealand has NO statutory redundancy pay. Unlike Australia, the UK, and Ontario, an employer is NOT legally required to pay any redundancy compensation unless it is written into your individual or collective employment agreement.
What you are ALWAYS owed regardless of any agreement: outstanding wages, payment for accrued and untaken annual leave (Holidays Act 2003), and notice (or pay in lieu of notice — per your employment agreement, or "fair and reasonable" if the agreement is silent). The mandatory minimum above covers these.
You did not enter a contractual redundancy figure. If your employment agreement contains a redundancy clause (e.g. X weeks per year of service), enter it above to add it to your total. If your agreement is silent, only the mandatory minimum is owed.
Notice pay assumes your agreed notice period. If your employment agreement does not specify a notice period, a "fair and reasonable" period applies based on length of service, seniority, and role. Confirm with your employer or the MBIE Employment Relations team.
Not legal, tax, or financial advice. New Zealand has no statutory redundancy pay. The mandatory minimum (wages, annual leave, notice) is always owed; contractual redundancy applies only if your employment agreement contains a clause. Confirm with MBIE or an employment lawyer.

Severance & redundancy in New Zealand: a complete guide

This guide explains what New Zealand law requires when a role is made redundant, what you are always owed, and where contractual redundancy fits in.

No statutory redundancy pay

New Zealand is the outlier among the five countries this calculator covers: it has NO statutory redundancy pay. Unlike Australia, the UK, and Ontario, a New Zealand employer is not legally required to pay any redundancy compensation unless it is written into the employee's individual or collective employment agreement. If your agreement is silent on redundancy, no redundancy compensation is legally owed — full stop.

What you are always owed

What you ARE always owed, regardless of any redundancy clause: outstanding wages, payment for accrued and untaken annual leave (under the Holidays Act 2003), and notice (or pay in lieu of notice — per your employment agreement, or a "fair and reasonable" period if the agreement is silent). This calculator computes that mandatory minimum from your salary, accrued leave, and notice period.

Contractual redundancy

If your employment agreement contains a redundancy clause — for example, a set number of weeks' pay per year of service — enter the weeks-per-year figure in the calculator to add the contractual redundancy to your total. If your agreement is silent, only the mandatory minimum applies. Always check your individual or collective employment agreement first; that is the single most important document for understanding your redundancy entitlements in New Zealand.

Getting advice

Because there is no statutory floor, redundancy in New Zealand is almost entirely a matter of contract and negotiation. The MBIE Employment Relations team and the Employment Relations Authority handle disputes. If you are being made redundant, review your agreement carefully, seek advice, and negotiate — many employers will pay some redundancy even when not strictly required to, particularly for long-serving employees.

Frequently asked questions

Does New Zealand have statutory redundancy pay?

No. Unlike Australia, the UK, and Ontario, New Zealand has NO statutory redundancy pay. An employer is not legally required to pay any redundancy compensation unless it is written into the employee's individual or collective employment agreement. If your agreement is silent on redundancy, no redundancy compensation is legally owed.

What am I owed regardless of my agreement in New Zealand?

Three things are always owed regardless of any redundancy clause: outstanding wages, payment for accrued and untaken annual leave (under the Holidays Act 2003), and notice (or pay in lieu of notice — per your employment agreement, or a "fair and reasonable" period if the agreement is silent). This calculator computes that mandatory minimum.

How do I know if I am owed redundancy compensation in New Zealand?

Check your individual or collective employment agreement for a redundancy clause. Some agreements specify redundancy compensation, often expressed as a number of weeks per year of service. If your agreement contains such a clause, enter the weeks-per-year figure in the calculator to add it to your total. If your agreement is silent, only the mandatory minimum (wages, annual leave, notice) is owed.

What notice am I owed in New Zealand?

Notice is governed by your employment agreement. If it specifies a notice period, that applies. If your agreement is silent, a "fair and reasonable" notice period applies based on length of service, seniority, and role. You can be paid in lieu of working the notice. Enter your agreed notice period in the calculator to estimate the notice pay.

Is this calculator legal advice?

No. It provides estimates of the mandatory minimum and any contractual redundancy you enter. Your actual entitlements depend on your employment agreement and individual circumstances. Confirm with the MBIE Employment Relations team or an employment lawyer before relying on this.

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Sources & methodology

New Zealand has no statutory redundancy pay. This calculator computes the mandatory minimum you are always owed — outstanding wages, accrued and untaken annual leave (Holidays Act 2003), and notice pay — and lets you add any contractual redundancy from your employment agreement. Check your individual or collective agreement first: that is where any redundancy compensation lives.

Last updated: October 2026
Employment New Zealand: Redundancy