KEY POINTS:
Supermarket retailer Progressive Enterprises has made a commitment to support its staff aged under 18 in saving for their future through KiwiSaver by offering contributions beyond what is required of employers by law.
Catherine Flynn, general manager of human resources said, "Last year we made a commitment to advance youth workers to our adult rates of pay which exceed the legislated minimum wage rate. This year we are continuing to raise the bar for the under 18s by offering KiwiSaver contributions to participating younger members of staff at our own expense."
Progressive will also contribute an additional one per cent above the minimum required employer contribution in the first year, thereby doubling the contributions that all participating employees will receive during that period.
To further assist employees as they adjust to making contributions, Progressive is also offering a '2 + 2' transitional arrangement. This enables employees to start making a two per cent contribution in the first year, rather than the four per cent usually required.
From 1 April 2008, all New Zealand employers will be required by law to make contributions of 1% on behalf of their employees over 18 and under 65 who are contributing to a KiwiSaver scheme.
