News

A reminder that the Government Covid-19 scheme to assist businesses by allowing 100% depreciation on capital purchases up to $5000 finishes in 3 weeks’ time on the 16 March 2021.

According to the IRD website the legislation passed last year temporarily increases the low-value asset threshold for depreciation from $500 to $5,000. The intention is to allow businesses to deduct the full cost of asset purchases with a value of less than $5,000 in the year they purchased them, instead of having to spread the cost over the life of the asset. This threshold will drop back to $1000 per item (instead of $500 previously ) after the 16 March 2021.

According to an accountancy source, purchases should be in increments of less than $5000 per day per invoice. For example, purchasing two of the same items of $4000 each on the same day may not be 100% deductible and may need to be depreciated over its normal life.

Please refer to the IRD website https://www.ird.govt.nz/covid-19/business-and-organisations/specific-income-tax-issues/depreciation-and-low-value-assets or seek your own professional tax advice.

Make sure you support our group of Supplier members for the purchasing of these items!! I am sure they can assist you to maximise your spend.

AVAILABLE NOW THROUGH THE IRD

(Information kindly shared by Employment Assistance Ltd)

Auckland businesses, if you can demonstrate at least a 30% drop in revenue over a 7-day period at the raised alert level compared with a typical 7-day revenue period in the 6 weeks prior to the increase from alert level 1 (Prior to Mon 15th Feb 2021), you may be eligible for this subsidy to assist in paying your staff.

This is only available in areas which had an elevated COVID-19 art level (more than 1) for a period of at least 7 days. ie in this instance Auckland.

You have 1 month to apply (until 23rd March 2021).

If you are eligible you may qualify for the lesser of either:
• $1,500 plus $400 per fulltime-equivalent (FTE) employee, up to a maximum of 50 FTEs, or
• Four times (4x) the actual revenue drop experienced by the applicant.

For more information on eligibility and a subsidy calculator please see the following website:
www.ird.govt.nz/covid-19/business-and-organisations/resurgence-support-payment/eligibility-for-the-resurgence-support-payment

To apply for the RSP you need to login into MyIR on the inland revenue website:
www.ird.govt.nz/covid-19/business-and-organisations/resurgence-support-payment/applying-for-the-resurgence-support-payment

As usual, you need to pay staff their normal wages for this lockdown period regardless of this subsidy, unless you have their agreement to do something else, or clauses exempting you from this in your Employment Agreements.

A trailer was stolen overnight from Keith Hay Homes Carr Road, Mt Roskill Auckland site.

Please keep an eye out for it, should it turn up in your yards.

Similar Trailer photo of stolen.pdf

What are WorkSafe’s expectations about PECPR equipment with an expiring certificate of inspection?

Some equipment that falls within the Health and Safety in Employment (Pressure Equipment, Cranes and Passenger Ropeways) Regulations 1999 may have certificates of inspection due to expire during alert level four.

We expect that equipment due for certificate of inspection and not needed for delivery or support of essential services to be shut down for the duration of alert level four, if it is safe to do so. 

For equipment that’s due for a certificate of inspection and needed for delivery or support of essential services, we expect PCBUs to carry out a comprehensive risk assessment to see whether inspection is required. 

If inspection is required, we expect PCBUs to consider the following matters at a minimum:

• can the certifier attend and are they allowed on site?
• are maintenance personnel available and allowed on site?
• is maintenance up-to-date?
• are safety critical devices operational, and if so,

• • are control systems checked and verified and/or
  • are safety valves tested and operational?
• have there been any problems with the equipment during the certification period?
• what is the risk if the equipment fails?
• on balance, is the equipment safe for continued operation?

We expect clear, accurate and comprehensive documentation of these considerations to be started, maintained, and available for inspection by anyone in that workplace, including an equipment inspector or certifier. This documentation should also be available for a WorkSafe inspector. 

Where PCBUs are satisfied they have done all that’s reasonably practicable to obtain certification – but are unable to do so due to alert level four circumstances – the equipment may remain in service until inspection and re-certification services are available. This is on the basis that the equipment remains safe to use. We would like PCBUs in this situation to inform WorkSafe they are doing so at technicall@worksafe.govt.nz  

Certificates of inspection must not be issued by inspection bodies if physical inspections have not taken place.  

What does this approach mean for third-party audit regimes?

Some businesses may be required to have equipment or processes audited or approved by third parties.

The overriding principle is that if the equipment or procedure has been maintained and continues to meet substantive work health and safety requirements, work doesn’t need to stop simply because a certificate cannot be issued due to the constraints imposed by alert level 4. However, PCBUs must actively check to ensure that equipment is safe and compliant. Responsible PCBUs will have been doing this anyway, but they must be additionally vigilant if the regular third party approval cannot reasonably be obtained.

We are currently developing detailed guidance about what this means in practice and will update this page over the coming days with this information.

We have just received an update, this original post has been added to!

"Worksafe has just updated the bulletin detailing our expectations during level 4 lockdown times

https://worksafe.govt.nz/managing-health-and-safety/novel-coronavirus-covid-19/alert-level-4-whats-worksafes-approach/

Additional advice and detail on our expectations for PECPR equipment with an expiring certificate during the period is now available."

Worksafe has just released a bulletin detailing their expectations during level 4 lockdown times

https://worksafe.govt.nz/managing-health-and-safety/novel-coronavirus-covid-19/alert-level-4-whats-worksafes-approach/

The piece that most affects our industry and that of our association / clients;

 What does this approach mean for third party audit regimes?

Some businesses may be required to have equipment or processes audited or approved by third parties.

The overriding principle is that if the equipment or procedure has been maintained and continues to meet substantive work health and safety requirements, work doesn’t need to stop simply because a certificate cannot be issued due to the constraints imposed by alert level 4. However, PCBUs must actively check to ensure that equipment is safe and compliant. Responsible PCBUs will have been doing this anyway, but they must be additionally vigilant if the regular third party approval cannot reasonably be obtained.

We are currently developing detailed guidance about what this means in practice and will update this page over the coming days with this information.

In short currently regulatory regimes are maintained however WorkSafe understands there may be difficulties complying under level 4 conditions

Specific detail for PECPR equipment will be added to their website in the coming days

As you are all well aware by now of the changes affecting your business that have been released today and once again your in-box goes crazy with information relating to COVID-19, we are working hard in the background to keep you abreast of changes that affect you in the EWP Industry.
The status of level 3 and moving to level 4 within 48hrs, we are working with HIANZ, putting together information that matches our industry and will help you going forward.
We have sent an urgent request for clarification and a plead to government to establish the Hire and EWP Industry as an Essential Service so that you may continue to operate. This was sent earlier today, and I suspect we will not have an answer on this today. I will keep you informed as I know more.
We are putting together supporting information to help you in your businesses. Please see the HIANZ website (click here) for this information. This site will be continually updated and will post news/messages on the website to keep you informed and not fill your in-box with too much stuff. The HIANZ website will hold all the relevant information for you.
I have contacted Trudy and Danny at Employment Lawyers for urgent clarification on how to deal with staff as we move through the next levels of restriction placed on us by the Government.
I have also contacted David Chow for similar advice regarding your insurance.
RIGHT NOW, IT IS OF HIGHEST IMPORTANCE YOU ARE TALKING TO TWO GROUPS –
STAFF
YOUR BANKING CONTACT/ FINANCIAL SUPPORTERS.
Both groups are going to be very important to you as business owners over the next few weeks.
 
STAFF:
Get a conversation going asap with the team about how you are planning to comply with the requirement to shut down for the four-week period. (Note that we are asking for clarification that the industry is considered essential and that you may be able to operate- more on this on the website). There is some good information on dealing with staff in our supporting information that will be up on the website tonight.
 
BANKS AND FINANCIERS: 
Very important you are communicating with them as well. They are going to help you ride through this time. They are going to be the ones that will assist you in keeping costs to a minimum through the shutdown but be able to re-open and chase every opportunity when the time comes.
 
I can’t stress the importance of keeping an upbeat, positive mindset on all this. You will fight better with a level head and if you can look out to the end of this period and the regrowth opportunity that will come, you will be far better equipped to deal with the issues you have at hand.
 
We wish you all the best, please feel free to contact us if you need help with anything. Keep an eye on the HIANZ  for updates and all the supporting information we can gather for you.

This EWPA Bulletin covers the minimum requirement of personnel who are required to carry out six-monthly inspections and issue certifications on MEWP’s. It is the stance of the EWPA Board that only CBIP qualified inspectors, and Manufacturers Employees who have been formally trained to the same or higher level of competency as CBIP Level 1 for inspection, can inspect and certify MEWP’s.   Downlaod full bulletin below.

Six-Monthly Inspections - Minimum Standards.pdf

WorkSafe has received a number of enquiries about the acceptable standards of design, manufacture, testing and stability testing of new, and used machines imported into New Zealand after 22 October 2015.

To clarify the requirements stated in section 4.1 of the Best Practice Guidelines, it is WorkSafe’s expectation that all imported:

– new machines will comply to AS/NZS 1418.10 (current)
– used machines will comply to AS 1418.10 (applicable to year of manufacture).

Both standards above do not preclude the use of materials, designs, methods of assembly or procedures, and the like, that do not comply with the specific requirements of that standard, if they achieve equivalent or superior safety outcomes to those specified and as such these may also be utilised.

– For example crush protection, not currently specified in the standard but specified in other international standards, could be fitted as an upgrade.

Download Clarification Document 

Please note that the following draft is open for public comment:

Draft Number:	AS/NZS 1418.10:2011 Amd 1
Title:	Cranes Hoists and Winches – Part 10 Mobile Elevating Work Platforms
Project Committee:	ME-005 Cranes
Public Comment Closing Date:	08/02/2017 23:59

You can view the draft and any incoming comments here after entering your Standards Hub login details only if you are a member of standards. All comments are to be submitted on the Standards Hub. Follow the link above, login and select the “New Comment” button.

If you are not a standards member, please review the attached link and provide any feedback to me to be included in the Associations submission on members behalf. Close off for feedback to the EWPA is 20th January 2017.

DR AS NZS 1418.10-2011 Amd 1-2016 Cranes hoists and winches - Mobile elevating work platforms.pdf