"The level of non-compliance is disappointing, with most of the breaches relating to insufficient record keeping.
"Farmers need to keep accurate time and wage records to ensure they are meeting their obligations for minimum wage and holiday payments.
"The Labour Inspectorate has taken enforcement action in response to the identified breaches, which has resulted in 22 enforceable undertakings and one improvement notice being issued.
"These farmers have been given 28 days to comply and the Labour Inspectorate is now actively following up compliance," Mr Metcalf said.
The Labour Inspectorate recovered arrears in one case, with a farmer paying an employee $6000 for breaching the Minimum Wage Act 1983.
Several cases are still open with the possibility of more serious enforcement action pending.
Mr Metcalf warned the next phase in the national dairy strategy will be focused on farms employing migrant workers.
"Farmers need to lift their game in complying with minimum employment rights and can expect a strong enforcement response from the next phase.
"There are financial penalties for not complying with employment laws of up to $10,000 for individuals and $20,000 for companies."
Mr Metcalf said examples of sufficient wage and time records can be found on the IRD and Dairy NZ websites.
Anyone concerned about their employment situation can call the MBIE on 0800 20 90 20.