What is Pay Parity and where have we come from?
Pay Parity formally began in March 2023, with over 140 Whānau opting into the new system.
This was part of addressing the recommendations in Matua Rautia, the Waitangi Tribunal’s response to the Wai 2336 Claim taken by Te Kōhanga Reo National Trust on behalf of all Kōhanga Reo Whānau. The Crown agreed to increase funding to Kōhanga Reo to ensure Whānau who participate can pay their Kaimahi at levels similar to Kaimahi in other full immersion settings such as Kura.
Pay Parity has seen a shift in the nature of the relationship between Whānau, the National Trust and the Crown. The Crown guarantees sufficient funding (on top of Kaupapa funding) to meet the salary costs of Kaimahi based on their Tohu, experience and the number of mokopuna in their Whānau. The Trust administers a Centralised Payroll System, and like Kaupapa funding, co-ordinates the reporting requirements for Pay Parity funding and provides support to Whānau. Whānau, as the employers have several specific requirements under Pay Parity focused on supporting their mokopuna Kaimahi.
The introduction of Pay Parity brought several significant changes for participating Whānau, including a new Kaimahi Pay Scale that caters for the newest Kaiawhina all the way through to the most experienced Kaiako. The new Pay Scale also reinforced the mana of Te Tohu Whakapakari and now Te Tohu Paetahi with those who hold these qualifications sitting at the highest levels of the Pay Scale.
Pay Parity also saw the introduction of a Centralised Payroll System which guarantees that Kaimahi that are part of Pay Parity get paid at the appropriate level on the Pay Scale and that the additional top up funding received from the Crown is spent directly on Kaimahi pay. These changes have important implications for Kaimahi, Kaiwhakarite, Kaiako, Whānau and Whānau Committee members, particularly the Chair, which is explained further below. Whānau remain the employers of their Kaimahi.
There are several things that the National Trust does to support Whānau in Pay Parity including:
Collecting the relevant information for the Ministry of Education each funding drop (alongside Kaupapa funding) to generate the “top up” funding for each Whānau and Kaimahi in Pay Parity. This includes the number of mokopuna enrolled for each Whānau to establish their FTE allocation, the Kaimahi employed within their FTE allocation and their role within the Pay Scale along with the associated annual salary for these roles.
Administering and maintain the Centralised Payroll System (CPS) on behalf of Whānau including the collection of the 65% of Kaupapa funding and the Top Up funding to meet the Kaimahi salary costs. The CPS ensures that Kaimahi are paid their salary each week (or fortnightly for those on fortnightly pay cycles).
Paying the GST on behalf of participating Whānau for the 65% and 5% variable along with the “top up’ funding.
Providing adminstrative support to Whānau as the Employers to ensure that the Pay Parity system runs smoothly.
Pay Parity is one part of addressing the issues in the Wai 2336 Claim and the overall objectives of Matua Rautia. At the core of the claim is a focus on growing the number of mokopuna in Kōhanga Reo and strengthening Te Reo Māori within our Whānau and Whānau wellbeing.
The responsibility to grow the Kaupapa remains with Whānau, and Pay Parity aims to assist in this process by ensuring our Kaimahi are paid fairly. Pay Parity provides an opportunity to increase the skills of our Kaimahi and to raise our expectations of the quality of Reo and care they provide.
Whānau also have ongoing obligations to their Kaimahi and this includes several specific responsibilities in relation to Pay Parity.
In the Smartly HR Information System, all Kaimahi information is stored including:
Kaimahi experience and tohu (qualifications)
All of the relevant information from Ngā Tohu Hua Pūmau including Reo competency, and proficiency with Te Korowai, Te Whāriki and Te Ara Tūāpae
Whānau must also maintain accurate information about their mokopuna and Kaimahi and ensure that this is recorded in a timely way. This includes:
Mokopuna enrolments and attendance (just as they do for Kaupapa funding)
Kaimahi attendance (to meet ratio requirements)
The Trust aims to balance our commitments within Ngā Pau e Whā to Whānau responsibility and accountability with the requirements of running a centralised payroll system on behalf of Whānau. There are several aspects to the role of Whānau as the Employer of Kaimahi that have become clearer as Pay Parity has rolled out.
Whānau determine which Kaimahi are employed within their FTE allocation
The number of mokopuna and the funding type (Quality or Standard) determines the number of FTE hours (every FTE generates 40 hours). Whānau as the employer, determine which Kaimahi are allocated roles within these FTE hours, including which Kaimahi are fulltime (40 hours) and which are part-time.
Whānau can employ FTE beyond their FTE allocation if they have the funding available
While there is a cap on the number of FTE funded by the Crown based on Mokopuna numbers and funding type, if Whānau have sufficient funding they are able to employ additional Kaimahi on a fulltime or part-time basis. This will need to come out of the variable portion of the funding mechanism.
Whānau also determine the level of casual Kaimahi that are employed
Whānau also determine the number and level of funding for casual Kaimahi, and the level of pay for casual Kaimahi (above the minimum wage). This will also need to come out of the variable portion of the funding mechanism.
Whānau can set higher Salary Levels than those in the PayScale if they have the funding
The Kaimahi PayScale that is part of Pay Parity based on Kaimahi roles, experience, and their Tohu sets a minimum level of salary based on these criteria. The arrangement with the Crown is that Whānau contribute 65% of their Kaupapa funding and the Crown will top up the balance to meet the salary costs. If Whānau want to set higher salaries, and have the funds to do so, they are able to do this through the variable contribution of the centralised payroll system.
Whānau determine the level of the variable portion of funding and what it is spent on
While the Trust set an initial amount of 5% of Kaupapa funding for the variable portion to get Pay Parity underway, what has become clear is that some Whānau want to spend more than this and have the funding available to do so. As Pay Parity is bedded in, it is important for Whānau to determine the level and what is spent within the variable portion of funding. This includes:
The cost of casual Kaimahi
The cost of Kaimahi that are employed over and above the Whānau FTE hours entitlement
Any salary “top up” for Kaimahi employed within the FTE hours allocation
Any additional leave (beyond the legally required 4 weeks) Whānau want to fund
Employer KiwiSaver contributions
Whānau administer the Individual Employment Agreements/contracts with their Kaimahi
Whānau are required to have an employment contract with their Kaimahi and it should reflect the decisions Whānau have made on the above for their Kaimahi. The Trust has provided a template for this, but Whānau are able to modify these to their particular requirements. It is important that Whānau document all the employment conditions they have agreed with their Kaimahi.
The Trust will continue to work with Whānau to assist with the transition to Pay Parity including supporting Whānau as the employer.
What kaimahi need to know:
Expectations and responsibilities to maintain employment
Training and qualifications
Te Korowai, Te Whāriki, Te Ara Tūāpae
The whanau journey to Pay Parity:
Opt in
Prepare Kaimahi
Financial budget and accountabilities
Employee and Employer responsibilities:
Ngā Tohu Hua Pūmau
Contracts and Job Descriptions
Appraisals
Qualifications
Salary scales and how to determine salary steps:
Criteria
FTE
Appropriate paperwork.
Pay scales
Kaiako in management positions:
Kaiako Matua 7-9
Job Descriptions
Staff management
Important dates to remember:
Opt in Tranche dates
Kaupapa Funding
Opt out
Switch to CPS
Pay Reviews
Run a pay
Authorisations
Repaying overspends
Record keeping:
Contracts and Job Descriptions
Appraisals
Minutes
Qualifications/Tohu
Opt In/Out Form
Pay Parity 2023 Form
2023 | 2023/24 | |
Kaiawhina 1 | $49,200 | $54,080 |
Kaiawhina 2 | $52,000 | $57,000 |
Kaiawhina 3 | $54,000 | $59,000 |
Kaiawhina 4 | $57,000 | $62,500 |
Kaiwhakarite 1 | $54,000 | $59,000 |
Kaiwhakarite 2 | $56,500 | $62,000 |
Kaiako | $58,000 | $66,000 |
Kaiako 1 | $59,358 | $71,027 |
Kaiako 2 | $61,544 | $73,948 |
Kaiako 3 | $63,948 | $76,133 |
Kaiako 4 | $66,133 | $80,122 |
Kaiako 5 | $69,794 | $84,512 |
Kaiako 6 | $73,776 | $89,213 |
Kaiako 7 | $82,040 | $99,545 |
Kaiako 8 | $91,190 | $106,245 |
Kaiako 9 | $99,413 | $111,216 |
Process for New Contracts
A simple step by step guide to using the FTE calculator and Contract templates.
Kaimahi Calculator
An FTE calculator that you can use to work out how many kaimahi qualify for your Kōhanga Reo, how to allocate these hours, and how to fill in the contract.
Ngā Tohu Hua Pūmau
A form that Kōhanga Reo can use if you want to onboard new kaimahi and have a starting assessment of skills/knowledge.
Contract Templates
Permanent
Fixed
Casual
Variation Letter Template – Template to make additional provisions outside the base contracts
Job Descriptions
Kaiako Matua
Kaiako
Kaiāwhina
Kaiwhakarite
Videos
Video 1 - Papa Renata - Introduction
Video 2 - Whaea Ti – Role of Whanāu
Video 3 - Kōkā Mihi – Data collection with kaimahi
Pay Parity Calculations
Link to ‘What are the calculations that sit behind pay parity’ document.
If you have questions, please send them to [email protected]