LEGAL ADVICE FOR AFFECTED MEMBERS

Members were notified on the 28th June that FENZ had self-reported to IRD its failure to pay the 3% compulsory contribution to employees who have complying Kiwisaver and other non-complying superannuation schemes such as FireSuper. The NZPFU were informed that 592 members were affected.

The NZPFU undertook to obtain advice for members to assist them with the considerations of the options provided by FENZ. Please see attached that advice.

Please do not contact the Barrister direct as he has not been instructed by the Union to provide individual advice as each individual’s circumstances will be different and decisions will need to be made on those circumstances.  Members are reminded that the NZPFU does not administer FireSuper so any queries about any consequential impacts on that scheme or any other superannuation scheme should be directed to the provider.

The outstanding issue is whether there is any liability for the period that FENZ did not comply with the compulsory contribution.  The NZPFU Barrister will continue to act for the union on that issue.

For more background information on the issue please see previous national notices here.

The NZPFU notified FENZ of a breach of good faith as Workplace Relations Manager Mr Stevenson deliberately withheld from the Union that he was writing to members on the issue requiring them to make a decision to address the ongoing issue and within a timeframe.  This is one of three allegations of breach of good faith in which Mr Stevenson was directly involved.   

It turned out that Mr Stevenson’s email had various issues so to clear those up a new email of instructions was issued by FENZ.   The NZPFU advocated for an extension of time given we had to seek advice with FENZ refusing to provide any legal foundation for its position and that this is an area of tax law.  

The deadline now for members to notify FENZ of their preferred option has been extended to 13 August so that any resulting changes will be made in the 21 August pay run.

In unity,
Wattie Watson
National Secretary

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