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Coming Home

Peri Drysdale, Founder and CEO of sustainable New Zealand fashion brand Untouched World, was quick to pivot her business to try and help mitigate the severe shortage of PPE gear when the Covid crisis hit. An ex-registered nurse, Peri combined her deep understanding of infection control with her team’s extensive knowledge of fabrics, pattern making and production, working with the help of Callaghan Innovation and a team of scientists to research the best options for comfortable and high performing re-usable protective wear.

After a short but intense period of product development, and with full barrier control in place, Untouched World commenced production of their Ecoprotect™ range of masks in New Zealand. Peri explains “Our masks are unique in that they’re washable and reusable to help address supply issues and minimize waste to landfill. We’ve always considered people and the planet in everything we make, so designing and making masks was no different. We make all the masks in our own workrooms in New Zealand using natural materials, and they’re autoclaved after packing so they are sterile and ready for immediate use”. She is quick to point out that they are not for medical use and cannot guarantee prevention of infection. The move to making masks saw Untouched World divert their entire manufacturing capacity from clothing to protective wear in just a few short weeks. “It was like starting up a whole new business again” says Peri.

Launching with a simple double-layer surgical style pleat mask, Untouched World then teamed up with Lanaco, another New Zealand based company who supply technical HELIX.iso™ wool filters. This meant Untouched World was able to offer a highly effective filter mask that captures up to 80% of particles larger than 3 microns, and over 95% with the use of two filters at one time.

As the country emerges from lockdown, both businesses and communities look to navigate the new normal. “There’s no doubt there’ll be a lot of people hurting”, Peri says, “but Kiwi’s are great at pulling together in times of need, and this is one of those times that we’ll need each other to get through. We’ve had a lot of people shopping with us and supporting us at this time and we’re certainly looking to pay it forward where we can”. Untouched World is already working on a number of initiatives, from giving away beanies to those feeling the cold this winter to gifting beautiful handcrafted woollen toys to children in need.

If there’s ever been a time when the saying “it takes a village” rings true, it surely has to be now.


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Filed Under: Businesses growing at home, COVID-19 recovery Tagged With: Coming Home, Managed Isolation, Simon Adlam

Re-establishing New Zealand residence

For individuals who only intend to be in New Zealand for a short time, to sit out the global rolling lockdowns with the benefit of close family and New Zealand’s great outdoors nearby, the potential of inadvertently triggering tax residence needs to be considered. Residence in New Zealand is broadly based on two tests, one of which applies a threshold for the number of days spent in New Zealand in any 12-month period, (183 days).

For individuals who are returning permanently to New Zealand, if their last visit was less than six months ago (e.g. over Christmas), there is a risk that they may have inadvertently triggered residency at that earlier time. New Zealanders who intended to return temporarily but who are grounded here indefinitely due to extended lockdown and closed borders, are also at high risk of exceeding the days count threshold in New Zealand and becoming a tax resident.

Key tax considerations

Some of the tax issues which can arise when you are treated as a New Zealand tax resident are set out below:

  1. Tax on foreign employment income:
    We are aware of several Kiwis who returned to New Zealand just before the borders officially shut, and who are still working for their foreign employers, but in an extra remote working from home arrangement.
    Exceeding the 183 days count threshold can mean that these individuals are taxable in New Zealand on their employment income. The obligations for income tax in New Zealand could apply in these situations regardless of the location of the foreign employer.
  2. Unexpected tax and administration obligations for foreign employers:
    Having an employee who is a tax resident in New Zealand can also have implications for the foreign employer. The obligation to pay New Zealand pay as you earn income tax (PAYE) is based on where an employee is tax resident and physically present.
    Other corporate tax risks can also arise as a result of an employee’s extended presence here. As such, it is important the offshore employer is made aware of individual’s presence in New Zealand so that the risks can be appropriately assessed by the business.
  3. Triggering transitional residence early:
    Kiwis returning to New Zealand often do so with careful forethought to manage the timing of when New Zealand tax residency starts. This is because tax residents are taxed on their worldwide income; while non-residents are taxed only on their New Zealand-sourced income.
    Some lucky individuals may be able to take advantage of a special tax concession known as transitional residence. This is available to first time New Zealand residents and those who have been out of New Zealand for more than 10 years, and who have not had the benefit of transitional residence status previously.
    For individuals who are treated as transitionally resident, all their offshore investments and assets will be exempt from the New Zealand tax base for a limited period. This gives people time to think about how to structure affairs and manage the impact of New Zealand taxation.
    If an individual is returning to New Zealand temporarily before a permanent return in a few years’ time, they may end up using up their transitional residence status before they get the benefit of it.
    The status is available for up to four years but ceases to be available once an individual becomes non-resident again.
  4. Offshore investments:
    For returning Kiwis who don’t have the benefit of transitional residence, it will be important to consider the tax treatment in New Zealand of offshore investments including foreign shares and bank accounts.
    Foreign investments including foreign superannuation are subject to distinct tax regimes in New Zealand, which can result in actual tax payable on unrealised gains.
    Many foreign shares are taxed based on a fixed percentage of the market value of those shares at the beginning of each tax year (1 April). Foreign exchange gains and losses can equally have a significant impact.
    Take the example of Bridget, an expat Kiwi who purchased a house with a mortgage while she was living in London. Having returned to live in New Zealand, she rented the property out, but after a few years, decided to sell the property. Because the New Zealand dollar had strengthened against the pound over the time since she became resident in New Zealand, she made a taxable gain on the mortgage even though in New Zealand dollar terms she made a capital loss on the disposal of the property.
    Finally, if you have an existing offshore business that you intend to keep operating after you return to New Zealand, you will need specific advice on the complex tax implications involved.

Next steps:

KPMG has prepared two helpful Tax Guides – Beyond Borders for Individuals, and Beyond Borders for Business Owners, which you can download for free.

If you would like to seek advice or to arrange your KPMG Kea Global Repatriation Package, our People Services team would love to hear from you. Please call Rebecca Armour on +64 9 363 5926 or email her at [email protected]

CONTRIBUTOR

Rebecca Armour

Partner, Global Mobility Services (tax)

KPMG New Zealand

Kea member


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Filed Under: COVID-19 recovery, Kiwi coming home Tagged With: Coming Home, Covid-19, KPMG, Tax

Can you talk a bit to your background and how you came to a career in  opera? 

Kawiti Waetford: I grew up in Matapouri Bay on the beautiful Tutukaka Coast,  Northland. Raised by a solo mum with the support of a wide extended whānau,  having Te Reo Māori and Te Ao Māori central to my upbringing through full  immersion language schooling at Te Kura Kaupapa Māori o Te Rawhitiroa- music,  song and kapa haka was second nature. With a love of classical music instilled in me as a child by my first singing teacher, the late Joan Kennaway QSM, my passion for performance grew. Jesse and I met at Kamo High School for the last two years of my schooling where she actually asked me to be the “Othello” to her “Desdemona” in the Sheila Wynn Shakespeare Festival in Schools National  Competition – the beginning of our now 13-year relationship (thanks Shakespeare!).  Through pursuing my vocal training at tertiary level from an undergraduate degree in music majoring in classical voice performance from Otago University, to further overseas study finishing a Masters in Advanced Vocal Studies from the Wales  International Academy of Voice in the UK, I was mentored and supported by Dame Kiri Te Kanawa and her Foundation both her in NZ and in the UK. It’s not an easy  vocation to pursue, but the experiences and performances I’ve had to date in pursuit of the love of this artform have been simply amazing.  

To what extent do you believe living and learning overseas helped to shape your career?

Kawiti Waetford: For me, living and learning overseas serves to give one a broad and global perspective not only of one’s profession and craft but of where and how one fits as a global citizen. As a small country far removed from the rest of the world, New Zealand produces some incredible homegrown talent and innovators,  and it’s not until you’re able to move out into the “big wide world” that you get a  sense of where you are on a broader global stage – giving you the necessary expertise, training and experience you need to further develop and grow yourself and craft.  

What contributed to your decision to move back to Aotearoa?:  

Kawiti Waetford: The universe works in subtle and beautiful ways, especially when  the most important things to you in life are allowed to guide and lead you through  important decisions. For Jess and I, we both felt the pull of home for us at that time – factors including family, life priorities, and pure logistics played their part – with the universe ensuring that we were well setup when Covid-19 hit us all as a global community at the beginning of 2020. We now have a beautiful one-and-a-half year  old daughter, Rehutai, with our family being set up and secure based here in NZ  continuing to develop in our journeys, and also creating more ways to serve our  communities and higher purposes. 

You’ve recently co-founded your latest venture, Modern Rituals, with your wife Jesse. Tell us about it! 

Kawiti Waetford: Modern Rituals is the brainchild of my wife, Jesse – I am the supporting hands, head and feet to help carry the load. We are perfect opposites in a lot of ways – she the creative ideas person, me the pragmatic executor – and I think that’s both the beautiful (and sometimes difficult) aspect of working with your partner. Having the Robinsons Duo (Cecilia and James) as mentors who are also husband and wife themselves has provided much needed insight in how to manage roles both as life and business partners. And just like them, as a husband I couldn’t be prouder of the work and accomplishment that Jess has put into growing and developing this beautiful business. I love seeing the thought, heart and passion she has for helping others – especially women – imbued into the fabric and fibre of  every part of this business.  

Credit: Align Studio

Jesse Waetford: Kawiti has been a huge supporter of my vision from the very beginning. His help with the back-end financials, business training, networking, and as a soundboard for ideas has been phenomenal.  

One of the first things he did after I shared with him my ideas about Modern Rituals was enrolled us both in the Prince’s Trust NZ Business Program. Because of the level 4 lockdown in New Zealand, it was the first time they had rolled this course out online. Our experience with the Prince’s Trust has been life changing. The different speakers and overall course content were all things we learned at the beginning of  our business journey and therefore helped us structure our business plan and vision more clearly.  

Following the course, they connected us with an incredible power couple, James and Cecilia Robinson, who have continued to support us as business mentors.  Following the Prince’s Trust training we were lucky enough to take part in the Ka Hao i Te Ao E-commerce Programme, run by Te Whare Hukahuka. This 12-week  online course awarded those fortunate participants with a $7,000 scholarship which  covered the cost of the course. This was another incredible opportunity that taught  us the technical aspects of running an online store, and brought some inspiring  indigenous and non-indigenous entrepreneurs from around the world to speak  virtually to the students. Both the Prince’s Trust NZ and Te Whare Hukahuka gave  us skills that we didn’t have and helped get us to where we are today with our  business. 

How did Modern Rituals start?

Jesse Waetford: The Modern Rituals journey started at the beginning of 2020 when the name  tapped me on the shoulder one night before bed. I had previously been trying to dream up a name for another business idea, but when Modern Rituals came calling,  I knew I had to take her hand instead.  

When I first became a mum, I quickly found how easy it was to get caught up in the  busyness of life, struggling to find time for ‘self care’. Spending each day with a  newborn isn’t easy and any down time would come in the form of a nap or someone  else taking a blissful moment to hold our baby – even if it was just enough time for  me to shower and put on a fresh set of clothes. Over those first few months, my entire concept of self care shifted and I really saw how important it was to have that  time to love on yourself; not only does it make you feel more human and less robot,  but it nourishes you from the inside out.  

Credit: Align Studio

The intention behind Modern Rituals is to provide simple yet stunning self-care  products that help remind one of their magic and inspire people to honour themselves every single day. We hand make all of our products in small batches which are infused with different types of botanicals, essential oils and crystals. Our vision for Modern Rituals is to help people, especially women, to slow down and  take more meaningful moments of self care through the ritual aspect of our products. 

Now more than ever connections and community has been playing a  significant role in the growth of New Zealand businesses. Is there a particular  connection that you’ve made that has amplified your career or business?

Making connections with other business owners has been so important to us, especially in highlighting the importance of supporting other small NZ businesses.  As human beings our humanity comes to the fore in times of adversity, and NZers are especially known for banding together in times of need. We’ve made many  important connections – a lot of them highlighted above. Someone whose advice  we couldn’t have done without is another powerhouse of business woman  entrepreneurship, Rachael Negus from eKo NZ clothing and homeware, who also happens to be Jesse’s mum. Businesses like hers have helped kickstart us through wholesale orders that also provide valuable marketing promotion in different parts of  the country.  

What has been a surprising challenge?  

Jesse Waetford: The juggle of mum life and running a business has definitely meant that there  have been some challenges along the way. The toddler stage definitely requires your care and supervision 100% of the time, so working while she is home is almost impossible – plus I want to make sure I am always present when we are together and not working all of the time anyway.  

Credit: Rawhitiroa Photography

Our daughter currently attends a local daycare 3 days a week, which has helped to add structure to the work I can put into the business. However, I do still find I have  to work late at night when she is sleeping, especially if we can’t send her to daycare  because she has a cold or a tummy bug – each week is so different. 

Another challenge for me is doing (mostly) everything myself, including all of the  branding and labelling for products. I guess I wanted to prove I could do it all, but it certainly wasn’t as easy as I anticipated – alas I got it done, and I think I did a pretty  good job. 

What have been the most useful resources that have helped Modern Rituals achieve growth?  

Jesse Waetford: The use of Social Media, especially Instagram and our online shop platform,  Shopify have definitely been two resources that have helped with the growth of the  business. Our generation are all using Instagram to shop these days, so it was a no brainer to focus our marketing through the app.  

The other things that have helped us was creating automated emails for when  people place orders, or sign up to our newsletter. Having a welcome and nurture  sequence is a great way for people to get to know you and your brand. 

Goals for 2021 and what the future might hold for us?  

Our goal is to continue to bring forth different products that inspire empowered self  care to the people here in Aotearoa and eventually expand into other markets, such  as Australia. Now more than ever, with the global pandemic, self care is a crucial  step in maintaining ones mental, emotional and spiritual wellbeing. We aspire to do  this while also caring for the earth in a sustainable manner, ensuring our products  have little to no impact on the environment.

CONTRIBUTOR

Kawiti & Jesse Waetford

Founders

Modern Rituals

Kea member

COMING HOME?

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Filed Under: Businesses growing at home, Kiwi coming home Tagged With: Coming Home, kawiti waetford, modern rituals, new business

90-day trial periods

90-day trial periods are now restricted to businesses with fewer than 20 employees. However, businesses with 20 or more employees can still use probationary periods to assess the suitability of a new employee. “The key distinction,” says Laura, “is that a probationary period does not prevent an employee from raising a personal grievance for unjustified dismissal and an employer must still follow a fair process prior to dismissal.”

30-day rule

If there is a Collective Employment Agreement (CEA) in place, a new employee must be employed under its terms (or better) for the first 30 days of their employment. The employee must be informed: 

  • that the Collective Employment Agreement exists (and be provided with a copy along with an Active Choice Form);
  • that they are entitled to join the union, and how to contact the union;
  • that if they join the union they will be bound by the CEA;
  • that the terms and conditions for the first 30 days of their employment comprise those in the CEA and any more favourable terms; and
  • any information the union has requested that the employer provide.

After 30 days, an employer and employee can agree on an Individual Employment Agreement to replace the CEA.

Availability clauses

Many employment agreements contain clauses saying that staff may be required to work reasonable overtime. Many agreements for salaried employees have clauses like “the duties of your position may require you to work additional hours beyond the normal hours of work. Your salary compensates you for all hours worked”. Laura notes that “a recent decision of the Employment Court, Postal Workers Union of Aotearoa v New Zealand Post Limited [2019] NZEmpC 47 has found that employees may not be obliged to work these additional hours. That is unless there is compensation paid not only for the overtime hours worked but also for being available to work the overtime.” 

Employment agreements need to be updated for salaried workers now to explicitly note that the salary is agreed to cover all hours worked and also covers compensation for the employee making themselves available for work. If this isn’t included in an employment agreement, as the law currently stands, the employee is under no obligation to work the additional hours and can’t be penalised or disadvantaged for refusing to do so. 

Union rights

Union delegates are now entitled to reasonable paid time to represent employees. The delegates must have been appointed or elected as a union delegate by following the rules/procedures of the union. The time must relate to the representation of employees of the employer. The activity must also not unreasonably disrupt the business or performance of duties. If it does, then the employer is within its rights to refuse to pay the delegate. “There have been many other changes to employment law in New Zealand over the last twelve months,” says Laura; “we’re expecting more to follow in the coming year. They can be hard to keep up with from a distance, I know, so I hope you have found it useful for us to lay out the specifics.”

If you’re a business owner and ready to seek advice, the DLA Piper Employment Team would love to hear from you. 

COMING HOME?

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Filed Under: Businesses growing at home, Kiwi coming home Tagged With: Coming Home, DLA Piper, employment law, Law

Kea press release for the results of the Welcome Home Survey

When Kea revealed the potential number and calibre of returning Kiwi expats last year, it caused a sensation among commentators and journalists, who asked; “If that many talented Kiwis return, what could that mean for our nation?”

With the global landscape continuing to evolve, Kea is looking to build on this initial report with the Kea Future Aspirations Survey, intending to flesh out more important detail on our Kiwi explorers, and establish what may be changing for this valuable offshore network. 

The Kea Future Aspirations Survey seeks to: 

  • Understand how world events, including the vaccine roll out, are impacting exploring Kiwi. Are external influences altering their decision to return home, their timeline, and how they feel living away from New Zealand at this critical time
  • Provide an updated view on Kiwi talent around the world, including those looking to return home, what barriers they face and what they might need to thrive
  • Gather the ideas and aspirations exploring Kiwi have to help leverage the current positive global awareness of New Zealand, and how they feel they can best contribute to our nation’s recovery, wherever they choose to reside

“Last September we were delighted that 15,000 Kiwi from around the globe took the time to complete our ‘Welcome Home’ survey, giving New Zealand an essential dataset during a unique moment in time,” says Kea chief executive officer, Toni Truslove.

“This survey showed that a significant number of talented Kiwi were planning to come home in the next two years. 

“Six months on, we want to understand what might be changing for them. Will they still return and bring their talent, their families and their investment, or will they choose to stay offshore, and what factors could influence that decision.  If they do choose to stay offshore how can we still enable them to effectively contribute to New Zealand’s success as a united population? ” Truslove asks.

“The number of Kiwi expats residing offshore is roughly the same size as the population of the South Island. As border restrictions ease over the next 12 months, the decisions these New Zealanders make could have a huge impact on our workforce, our regional communities and our aspirations for the nation,” she said.

Founded in 2001, Kea nurtures a diverse and vibrant community of  Kiwis and friends of New Zealand, with members all across the globe and operations in Auckland, London, New York and Beijing. Kea’s mission is to enable better understanding of our exploring Kiwi through goodwill and connection for the benefit of New Zealand. 

“Kea is uniquely able to reach and connect with a very large and broad group of expats, including those planning to return to New Zealand,” says Truslove.

“All Kiwi, no matter where they are in the world, are important to New Zealand’s success. We are asking New Zealanders to forward the survey to Kiwi family and friends abroad and invite them to take a few minutes to complete the survey, and to get involved!” she said. 

The Kea Future Aspirations Survey has been commissioned by Kea, with research and analysis by leading research agency TRA. The initial report is expected before the end of June.  

If you’re a Kea community member, check your inbox for your exclusive link.
If you’re new to Kea, join to tell us where you’re at and to be first to hear the results.

#KeaCommunity #KeaFutureAspirations

Key findings from the Welcome Home Survey released 9th November, 2020

  • Over 15,000 people completed the survey, from regions including the UK, Australia, US and Canada 
  • 49% are planning to return, with half of those planning to arrive within the next two years
  • 75% of those intending to return plan to stay permanently
  • 75% of respondents have been away for 5+ years, and are primarily aged between 35 and 54

See the ‘Unleashing the Potential of our Returning Kiwis’ report here

For more information contact:

Kea Communications Representative: Ele Quigan 027 773 7779 [email protected] 

About Kea:

Kea is a Public/Private partnership, supported by NZTE, MFAT and MBIE

New Zealand has the second largest offshore community per capita in the OECD.  Kea was founded in 2001 to connect and engage our global people, for the benefit of Aotearoa.

Two decades on, Kea nurtures a vibrant and diverse community who share a strong passion for New Zealand and the success of its people and businesses.

Our mission to connect New Zealanders has never been more important.

Filed Under: Global Kiwi, Kiwi coming home Tagged With: Coming Home, Economic Recovery, economy, Future Aspirations Survey, Growth, opportunity

Paint

While working through Jess’s relocation plan with her prior to departure from the UK, she threw a question at us we’d never heard before. ‘Can I bring my watercolours through New Zealand’s strict border controls?’

Luckily the answer was yes, and we discovered painting was to be her answer to the long hours ahead in MIQ.  Here’s’ what Jess told us:

“Learning watercolour was my new hobby during the UK lockdowns. I can spend hours following YouTube tutorials designed for beginners without realising where the time has gone. Our MIQ facility has given us so much vibrant fresh fruit I couldn’t resist attempting a fruity still life! Watercolour is perfect as it takes up very little room in your suitcase, makes almost no mess, and all you need in the room is a glass or cup for water and some loo roll!”

Engage through photography

Returning Kiwi Amanda works in the creative industries so it was no surprise when she posted a stunning sunset picture from her MIQ hotel and challenged those on the outside to better it.

As a solo traveller, social media was a key support for Amanda during the two weeks in a hotel room by herself.

Through the photo share she connected with friends who hadn’t caught up with her return, and got to see a stunning array of images from all over New Zealand.

Equipment required?  Nothing more than a phone.

Create for the wider community

Numerous clients have sent us pictures of their MIQ window art, which is also evident to anyone driving past a managed isolation facility.

Materials range from post-it notes through to drawn images and collage cut-outs.

If your suitcase can’t accommodate bringing these supplies, order online from Warehouse Stationery as soon as you arrive and it will be in your hotel room by the time you’ve beaten jetlag.

Food art

Meals are a highlight of MIQ, mainly because there’s not much else going on! 

We’ve seen some hilarious and creative responses.  From illustrated food-bags, through to the chef who dissected and recreated each breakfast, lunch and dinner as plate art.

No specialist equipment needed except imagination, and perhaps a pen.

Kids gratitude art

If your MIQ bubble includes younger family members, drawing can be a great distraction, and connection point for them. 

Parent of three, Amanda Sadlier, had her children making gratitude art to stick on their door to brighten the day of the nurses, food delivery staff and other hotel workers who looked after them so well. 

All this required was some paper and felt pens which had been easily slipped into the luggage, and Amanda explains how the activity gained wider significance for their family.

“It wasn’t until we saw MIQ staff coming around to photograph the art for their colleagues that we realised their job is essentially to ‘serve’ meals to closed doors all day. We were grateful for all they did for us and happy to introduce some humanity into the tense environment.”

Thanks to our partners at Mobile Relocation for this piece.

CONTRIBUTOR

Bridget Romanes

Principal

Mobile Relocation

Kea member


COMING HOME?

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Filed Under: Kiwi coming home Tagged With: Coming Home, Family, Managed Isolation

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