Two of Zespri’s New Zealand contractors cease trading with millions in unpaid taxes, after allegations of widespread non-compliance
Two labour providers in New Zealand’s Bay of Plenty region have reportedly been forced to close with a combined unpaid tax bill of NZ$57mn, the New Zealand Herald has reported.
According to the newspaper, Gurukirpa Contracting and Saran Contracting were placed into liquidation following an Inland Revenue investigation prompted by export marketer Zespri.
As in other parts of the world, sourcing labour for packhouses and orchards has been a major challenge for companies in New Zealand during the past decade.
Nevertheless, Zespri and other major operators in the country’s fruit business, including packers and growers, has introduced stringent measures to vet and inspect labour contractors and ensure they are compliant.
A spokesperson for Zespri told the Herald that it first suspended the two companies’ compliance certificates in April 2022 following an investigation that identified a “wide range of non-compliance”.
The owner of the two companies is understood to have disputed the claims, but could not afford to defend himself in court.
