The Government's drafting legislation to change the Holidays Act 2003, and will put it out for consultation in September.

It'll include proposals to pro-rata sick leave and move annual leave from an entitlement system, to one using accrual.

Workplace Relations and Safety Minister Brooke van Velden says she aims to simplify the Act so businesses can spend less time on workplace admin.

"It hasn't really adapted to a modern, flexible work environment - which is what we're aiming to achieve."

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