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Home / New Zealand

Alanah Eriksen: Why are women punished for taking a holiday after having a baby?

Alanah Eriksen
By Alanah Eriksen
Managing Editor - Live News·NZ Herald·
17 Dec, 2022 04:59 PM4 mins to read

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When parents come back from parental leave, they are not entitled to their full holiday pay. Photo / File

When parents come back from parental leave, they are not entitled to their full holiday pay. Photo / File

Alanah Eriksen
Editorial by Alanah Eriksen
Alanah Eriksen is the New Zealand Herald's Managing Editor for Live News.
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EDITORIAL:

Today’s edition of the Herald on Sunday is the last for the year and, like many working parents, I’m heading away for an extended summer break.

It’s not a given to put out the “gone fishing” sign over the silly season in the media industry — the news doesn’t stop — but I’ve had to wait a year to take a decent chunk of leave following maternity leave last year and my kind colleagues will be carrying your favourite Sunday newspaper through most of January.

Many new parents return from parental leave to discover their holiday pay is calculated on what they’d been earning over the past year. In many cases, that is practically nothing.

So, if you don’t want to slip behind on your mortgage, rent or other bills, big holidays are not an option.

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Luckily, my employer has a policy granting two weeks’ leave on full pay when staff return from maternity leave. But many won’t be so fortunate.

This is yet another example of the challenges for families and, particularly, women in the workplace. We are disproportionately affected by the law, since we are more often than not the ones who stay home with the baby.

It all contributes to the gender pay gap. Time on parental leave is essentially a pay-freeze and leads to working for a long period just to earn a holiday.

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In 2022, research has shown men earn on average 10 per cent more than women in New Zealand.

Across the country, women are under-represented in higher-level jobs. Again, I am fortunate to be with a company that encourages and promotes women — I know not all are so enlightened.

It’s time to take another look at our nearly 20-year-old Holidays Act.

For instance, the act stipulates that, after the end of each completed 12 months of continuous employment, an employee is entitled to not less than four weeks’ paid annual holidays. People probably don’t know that under this provision, an employer can legally insist a worker toils for an entire year before being eligible for a single holiday.

The Parental Leave and Employment Protection Act is even longer in the tooth, at 35 years old.

National has drafted an amendment bill to enable both parents to take parental leave at the same time, or to split parental leave between both spouses or carers. This change, drawn from the ballot of private members’ bills and to be debated by Parliament, would be an improvement. But we can do more, particularly for parents returning to work.

Amendments have been made, such as the Holidays (Increasing Sick Leave) Amendment Act 2021 which increased sick leave entitlements from five days to 10 days per year after six months’ of employment; and Te Kahui o Matariki Public Holiday Act 2022 introduced Matariki as a public holiday.

But Covid-enforced provisions such as working from home, especially when having a cough or a sniffle have only accelerated changes to the way we work.

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In 2003 when our holiday law was implemented, the average two-year fixed mortgage rate was 6.13 per cent, about the same as it is now. But the average New Zealand house price was $212,000, while the current average is $987,887.

I’m in a family of two full-time working parents with decent jobs and we are feeling the pinch. I can only imagine what it’s like for a couple on the minimum wage. Or a single-income family, or a solo parent.

Our daycare fees have just gone up to $315 a week — and my son’s only there four days — and our mortgage has just gone up by $600 a month because of rising interest rates. Christmas is looking pretty tight.

I know many will be pressing on in tougher conditions; we’re in a recession.

Hopefully your holidays will be happy ones. Stay safe on the roads and fingers crossed that Covid doesn’t interfere with your plans.

And for those not getting a break, like our emergency heroes and hospitality gurus — we thank you for your service. Thanks to our loyal readers for staying with us through our big makeover in August; we hope you’ve enjoyed it.

I can’t wait to crack into a New Year with lots more great content planned. The Herald on Sunday will be back on January 1.

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