Latest update – July 2022
The five cents per kilometre increase in worker’s mileage rate from 58.5 cents per kilometre to 63.5 cents per kilometre between by 15 March 2022 and 30 June 2022 will continue on an ongoing basis after 30 June 2022.
Why did the In-Between Travel Agreement happen?
The PSA took a case to the Employment Relations Authority on behalf of a home support worker to argue that time spent traveling between clients is work, and they should therefore be paid at least the minimum wage rate for that time. As a result of the pending case, the Minister of Health established discussions with the Ministry of Health, home and community support providers, the unions and the district health boards to see if they could reach agreement on how to solve this issue.
In August 2014 these parties signed the In-Between Travel Agreement. As part of the agreement the unions and employers asked all home and community support workers to vote on whether they supported the agreement.
Find more information on the In-between Travel Settlement page.
In-Between Travel History
Between October 2014 and March 2015 support workers were given the opportunity to vote on the In-Between Travel Agreement settlement which was negotiated between providers, unions, funders and government.
The result of the vote was to pay support workers the following:
- a new travel time payment to cover
- travel between clients effective from 1 July 2015.
- a new national minimum mileage rate of 50 cents per km effective from 1 March 2016.
Other parts of the agreement include:
- provided there is enough funding, the intent is to increase the 50 cents per km funding for travel costs to a minimum of 60 cents per km at a later date
- the rate increased to 58.5 cents per km on 24 August 2020
- work by a wide group of experts to look at a way support workers can be guaranteed hours, fair and safe workloads, and wages that recognise qualifications.
In August 2020, the In-Between travel per kilometre rate was raised from 50 cents per km to 58.5 cents per km.
In Budget 2021 the Government approved funding to increase Home and Community Support Service (HCSS) workers’ travel time payments from the minimum wage to workers’ ordinary wage rates. This rate increase comes into effect on 1 July 2021. While this came into effect 1 July 2021 payments at the ordinary wage rate weren't paid until March 2022 when the updated IBT claim portal was deployed.
Read more about Budget 2021.
Financial disadvantage and exceptional travel
- Providers, unions and funders are committed to ensuring there will be no financial disadvantage as a result of moving to the new system.
- Payment is non-taxable allowance of $0.585 per kilometre (with the exception being the first trip of the day – travel to the first visit is not included). The $0.585 payment is based on average travel distance across the sector (not actual travel distance).
- The criteria for exceptional travel have been jointly developed by employers, unions, and funders. This can be found on the Information for providers and funders about in-between travel payments page.