When someone in your team loses a loved one, the legal requirements and the human side of running a business collide in a very real way.
As an employer, you want to support your employee, keep your workplace running, and make sure you’re meeting your minimum obligations. The good news is: bereavement leave in New Zealand is relatively straightforward once you know the rules under the Holidays Act 2003.
Below, we break down how bereavement leave works, how many days employees may be entitled to, what you can (and can’t) ask for, and practical steps to handle requests fairly and consistently in a small business.
What Is Bereavement Leave (And Why It Matters For Employers)?
Bereavement leave is paid leave that allows an employee to take time off work when someone close to them dies, or when they experience a loss that qualifies under New Zealand law (including certain pregnancy-loss situations).
From an employer’s perspective, bereavement leave matters for three big reasons:
- It’s a minimum legal entitlement under the Holidays Act 2003 (meaning you can’t contract out of it).
- It’s a high-risk area for grievances if handled insensitively or inconsistently (even when the business has the “right intentions”).
- It affects payroll and rostering quickly, especially if you run a lean team.
The key is to treat bereavement leave as both a compliance issue and a people issue. If you build the right process and set expectations upfront (including in your Employment Contract and internal policies), you’ll be in a much stronger position when a request comes in.
Who Is Entitled To Bereavement Leave In NZ?
Bereavement leave entitlements are set out in the Holidays Act 2003. Most employees become entitled to bereavement leave once they have worked for you for at least 6 months on one of these bases:
- an average of at least 10 hours a week, and at least 1 hour in every week, or
- at least 40 hours a month, and at least 1 hour in every month.
This entitlement can apply to:
- full-time employees
- part-time employees
- casual employees (if they meet the 6-month pattern above)
If you have casual staff, it’s worth double-checking how leave entitlements work in practice and ensuring your records line up with the Holidays Act. This is also why having the right contracts and documentation in place early matters (including for casual arrangements) - issues in this area often arise when an employee’s pattern of work changes over time. If you’re unsure, it may help to review how leave works for casuals generally in Casual Workers Leave Entitlements.
What Relationships Count For Bereavement Leave?
One common “grey area” for employers is working out whether the person who died counts for bereavement leave purposes.
Under the Holidays Act, an employee is entitled to 3 days’ bereavement leave if the person who died was the employee’s:
- spouse or partner
- parent
- child
- brother or sister
- grandparent
- grandchild
- spouse’s or partner’s parent
Employees can also be entitled to bereavement leave in other situations where the employer accepts the employee has suffered a bereavement. In deciding this, the Holidays Act allows you to consider factors such as:
- how close the employee’s relationship was with the deceased
- how involved the employee is in arranging or attending affairs (like a tangihanga/funeral)
- cultural responsibilities (including tikanga Māori considerations)
- any other relevant circumstances
Practically, this means you may need to make a judgement call. The safest approach is to apply a consistent, fair decision-making process and document your reasons (without being overly bureaucratic at a sensitive time).
How Many Days Bereavement Leave Are Employees Entitled To?
Employers often get asked: “How many days bereavement leave do you get in NZ?” The minimum entitlement depends on the situation.
3 Days’ Bereavement Leave (Minimum Entitlement)
An employee is entitled to up to 3 days’ paid bereavement leave if the bereavement relates to:
- the death of a person listed above (for 3 days’ entitlement), or
- a situation the law treats as a bereavement (including some pregnancy-loss scenarios).
New Zealand also provides bereavement leave for miscarriage or stillbirth in certain circumstances under the Holidays Act. This is a key update many employers miss, particularly if their internal policy hasn’t been refreshed for a while.
1 Day’s Bereavement Leave (Where It’s Not Close Family)
An employee is entitled to 1 day’s paid bereavement leave if:
- the employer accepts the employee has suffered a bereavement, and
- the person who died is not in the category that attracts 3 days.
This is where those “judgement factors” come in (closeness of relationship, cultural obligations, involvement in arrangements, etc.).
Can Employees Take More Than The Minimum?
Yes - and in practice, many businesses choose to be flexible where they can.
There are a few different ways this can happen:
- Your employment agreement provides more than the minimum entitlement (you can always offer better terms than the Holidays Act).
- You agree to additional paid leave on a discretionary basis (be careful to document this and keep it consistent).
- The employee uses other leave (for example, annual leave or unpaid leave) to extend their time away.
If you do offer extra support, it’s smart to set clear rules in a written Workplace Policy so managers know what they can approve, and employees understand what’s available.
Is Bereavement Leave Paid In NZ?
Yes - bereavement leave is paid at the employee’s relevant daily pay (or average daily pay, depending on the Holidays Act calculation rules), for the days they would otherwise have worked.
In other words, it’s not “extra money” if the employee wasn’t rostered to work. But if they were rostered and take bereavement leave, it’s generally paid as a normal working day.
How To Handle Bereavement Leave Requests In A Small Business
When someone calls in with bad news, your response sets the tone. The best approach is simple, respectful, and consistent.
Step 1: Confirm The Basics (Without Interrogating Them)
You generally only need enough information to understand:
- who has died (in broad terms, e.g. “my grandfather”)
- when the employee expects to be away
- whether the employee is rostered on during that time
- any immediate operational needs (e.g. handing over urgent work)
It’s usually not appropriate to ask for detailed personal information. If you do need to record or store any sensitive details, make sure you handle it carefully and limit access internally. This is where having a solid Employee Privacy Handbook (or at least a clear privacy process) can help you avoid accidental privacy missteps.
Step 2: Work Out The Correct Entitlement
As the employer, you should check:
- Has the employee met the 6-month eligibility threshold?
- Does the bereavement fall within the category that attracts 3 days?
- If not, do the circumstances justify 1 day (because you accept they’ve suffered a bereavement)?
- Is the employee asking for more time than the minimum - and if so, how will that be treated (annual leave, unpaid leave, discretionary paid leave, etc.)?
If you’re unsure, it’s better to pause and get advice than make a snap decision that creates risk later. A short call with an Employment Lawyer can be a practical step, especially if you anticipate disagreement about entitlement.
Step 3: Confirm It In Writing (Briefly And Kindly)
Even in small teams, confirm the arrangement in writing (email is fine). Keep it short. For example:
- dates approved as bereavement leave
- whether any additional time will be annual leave or unpaid leave
- who to contact if plans change
This protects both sides. It also prevents payroll confusion later.
Step 4: Update Payroll And Leave Records
The Holidays Act requires employers to keep proper wage, time, and leave records. From a practical standpoint, your payroll process should clearly show:
- bereavement leave taken
- payments made for those days
- how the “relevant daily pay” was calculated (where applicable)
This matters if you’re ever audited, if there’s a dispute, or if the employee later raises concerns about pay accuracy.
Step 5: Plan Coverage (Without Penalising The Employee)
In a small business, coverage is often the hardest part. You might:
- reassign urgent tasks
- bring in a casual shift
- delay non-urgent work
- step in yourself temporarily
What you should avoid is putting pressure on the employee to “work anyway”, check emails constantly, or feel guilty for taking their entitlement. Aside from being tough on morale, it can create legal risk if it looks like the employee has been disadvantaged for taking leave they’re entitled to.
Common Employer Mistakes With Bereavement Leave (And How To Avoid Them)
Most bereavement leave problems don’t come from “bad employers”. They come from rushed decisions, unclear policies, or inconsistent treatment between team members.
1. Treating Bereavement Leave Like “Discretionary Compassionate Leave”
Some employers mistakenly treat bereavement leave as something they can approve or decline based on business needs. But under the Holidays Act, the minimum bereavement leave entitlement is not optional.
Yes, you may need to assess whether the situation qualifies (especially outside the category that attracts 3 days). But if it qualifies, the entitlement applies.
2. Asking For Too Much Proof
Employers sometimes ask for evidence immediately (or in a way that feels accusatory). Under the Holidays Act, you can ask an employee for proof of their entitlement if you have reasonable grounds to do so.
In practice, it’s generally best to:
- use judgement based on the circumstances
- only request proof where there’s a genuine reason to do so
- keep requests respectful and proportionate
If you do collect documents (like a funeral notice), treat them as personal information and store them securely.
3. Not Understanding How Bereavement Leave Interacts With Other Leave
Bereavement leave is separate from sick leave and annual leave. If an employee is eligible for bereavement leave, you generally shouldn’t push them to use sick leave instead.
It can also be helpful to understand sick leave entitlements generally, especially if an employee is unwell due to grief and requests sick leave after bereavement leave has been used. If you need a refresher on minimum sick leave, How Many Sick Days A Year is a useful starting point.
4. Inconsistent Decisions Between Employees
Let’s say one employee is granted 3 paid days for the death of a close friend (because they were like family), but another employee later is only offered unpaid leave in a similar situation.
Even if there was no unfair intention, inconsistent treatment can lead to distrust and complaints. A clear internal policy and a consistent decision framework will help you avoid this.
5. Forgetting Cultural Responsibilities (Including Tangihanga)
Bereavement practices differ across cultures. In New Zealand, tikanga Māori can involve responsibilities that require time and travel (and may not fit neatly into a “one day off for a funeral” approach).
Employers don’t need to be experts in every custom, but you should be open to listening and flexible where you reasonably can. If you do need to limit leave for operational reasons, communicate that sensitively and explore options (annual leave, unpaid leave, roster changes, etc.).
How To Set Your Business Up To Manage Bereavement Leave Properly
The best time to prepare for bereavement leave isn’t when a request hits your inbox. It’s at the point you’re setting up your employment paperwork and people processes.
Here’s what we usually recommend small businesses put in place:
Have Clear Employment Agreements
Your employment agreement should correctly reflect minimum leave entitlements and payroll treatment. Even if you keep the wording simple, make sure it’s accurate and matches what you actually do in the business.
If you’re hiring or updating agreements, having a properly drafted Employment Contract is one of the most practical ways to reduce leave-related confusion (and disputes) later.
Maintain A Simple, Written Leave Policy
A good leave policy helps managers act consistently and quickly. In a small business, it doesn’t need to be complicated - but it should cover:
- how employees should notify you
- how bereavement leave is recorded in payroll
- how you assess “other bereavements” (outside the category that attracts 3 days)
- options for additional leave (annual leave/unpaid leave/discretionary leave)
- privacy and confidentiality expectations
This is often included as part of a broader Workplace Policy suite.
Train Your Front-Line Managers
If you have team leaders (even informal ones), make sure they know:
- bereavement leave is a legal entitlement
- what they should say (and not say) when someone calls
- when to escalate tricky situations to you or HR
A common risk in small businesses is that the “wrong” response happens in a quick phone call, and it’s hard to undo later.
Get Advice Early If A Situation Is Complex
Some bereavement leave situations are genuinely complicated - for example, when there’s disagreement about the relationship, repeated bereavements close together, blended families, or cultural obligations that require extended time away.
In these cases, it’s usually worth getting tailored advice so you can support your employee while also protecting the business. A quick check-in with an Employment Lawyer can help you handle it correctly from day one.
Key Takeaways
- Bereavement leave is a minimum paid entitlement in New Zealand under the Holidays Act 2003, and most employees qualify once they meet the 6-month eligibility threshold.
- Employees are generally entitled to 3 days’ bereavement leave where the person who died falls within the category that attracts 3 days (and in certain pregnancy-loss situations), and 1 day for other bereavements accepted by the employer.
- You should handle bereavement leave requests with a consistent process: confirm the basics, assess entitlement fairly, confirm in writing, and keep accurate payroll/leave records.
- Be cautious about requesting proof - only ask when you have reasonable grounds, and treat any documents or details as private information.
- A clear employment agreement and simple workplace policy make bereavement leave much easier to manage and reduce the risk of disputes.
- If the situation is complex or sensitive, getting tailored advice early can protect your business and help you support your team appropriately.
If you’d like help reviewing your bereavement leave approach, updating your employment documents, or putting practical workplace policies in place, you can reach us at 0800 002 184 or team@sprintlaw.co.nz for a free, no-obligations chat.
