In brief – Summer 2014

Gambling Amendment Bill (No 3)

Of interest to our clients with gaming machines, the Gambling Amendment Bill (No 3) completed its first reading on 6 November 2014 and is now being considered by the Government Administration Committee.

The bill proposes amendments to the Gambling Act to increase transparency of grant-making from the proceeds of Class 4 gambling; reducing potential conflicts of interest situations between Class 4 gambling operators (societies), venues, and grant recipients; improving transparency surrounding management companies that provide societies with services; simplifying compliance and reducing costs for societies and venue owners; and ensuring the efficiency of the appeals process is not undermined.

We will keep you updated in future issues of Audit News as this progresses.

Employment Relations Amendment Act 2014

The Employment Relations Amendment Act 2014 will come into effect on 6 March 2015.

According to the MBIE: Labour website, changes are to the following six main areas of employment law:

  • the collective bargaining framework (including strikes and lockouts)
  • flexible working arrangements
  • Part 6A (continuity of employment for specified employees)
  • the duty of good faith
  • rest and meal break rules
  • provisions for the Employment Relations Authority (the Authority).

As this legislation affects all employee arrangements in NZ, we recommend all who have employees read more into the changes and how it affects them on the MBIE: Labour information website at www.dol.govt.nz

Introducing… Disclose

The Companies Office is setting up an online register that will provide the market with information about investment products and will be set up for financial products (split into debt, equity, managed investment and derivative products) and managed investment schemes. It is called ‘Disclose’.

Disclose will replace a number of registers currently administered by the Companies Office (superannuation schemes, participatory securities, unit trusts) and the Financial Markets Authority (KiwiSaver, superannuation schemes). These will not be available from 1 December 2016.

Companies Amendment Act 2014

The aim of the Act is to assist with the prevention of misuse of New Zealand companies and provides the Registrar with additional powers. It received royal assent in July 2014, and resulted in changes to the Companies Act 1993.

These changes included:

a) Criminalisation of breaches of certain directors’ duties – including making it an offence for serious breach of a director’s duty to act in good faith and in the best interests of the company

b) Companies will be required to have one or more directors that live in New Zealand or who live in and are directors of a company registered in an “enforcement country”, such as Australia

c) All directors are required to provide their place of birth and date of birth.

Changes b) and c) will be in place from 1 May 2015, when new registration requirements will be introduced. Change a) is already in place.

Summer 2014

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