November 14, 2024

Electrician & Electrical Apprentice Pay Rates: What You Need to Know

How Much Do Electricians Make?

Newly qualified electricians in New Zealand can expect to earn between $32 and $38 per hour. Those with more experience (3+years) can typically see rates between $36 and $42 per hour, while highly experienced electricians may command between $40 and $50 per hour. (Data as of October 2024)

Factors that influence electrician pay include:

  • Location: Regions with higher demand for electrical workers tend to offer higher pay.
  • Type of Work: Industrial electricians generally earn more than those working in residential or  commercial environments. Additionally, electricians with niche skills or advanced training are likely to earn more

Why Are Electricians Paid So Much?

The answer comes down to simple economics: supply vs demand.

Becoming a qualified electrician is no small feat—it usually takes 3 to 4 years of training and hands-on experience.

As only registered electricians can perform specific types of electrical work, their services are often in high demand. This demand increases even more when the construction industry is booming, pushing wages higher.

How Much Do Electrical Apprentices Make?

For those just starting as an apprentice electrician, the hourly pay is usually in line with the NZ training wage or minimum wage:

  • NZ Training Wage: $18.52 per hour
  • NZ Minimum Wage: $23.15 per hour (Data as of October 2024)

If you have prior experience in the electrical field, your employer may offer a higher starting rate.

There are also government programs like Mana-In-Mahi and Apprenticeship Boost, which provide financial support for employers hiring apprentices. Keep in mind that Mana-In-Mahi participants must be paid at least the minimum wage.

Why Are Electrical Apprentices Paid Less?

Training an apprentice comes with challenges and costs. It takes time and effort for a qualified electrician to mentor an apprentice, which can slow down their productivity.

In the first six months, an apprentice is typically seen as "cost-neutral," meaning they don’t add much to job profitability.

Here’s why:

  1. Mentorship Takes Time: The electrician needs to stop what they're doing to explain the work to the apprentice.
  2. Costly Mistakes: Apprentices are likely to make a few mistakes, which can affect job profitability.

Despite the lower starting wage, apprentices are paid to learn a valuable trade that offers high earning potential, excellent career prospects, and no student loan debt at the end of the training.

(Make sure you factor that in when deciding between a trade and a bachelor of arts!)

Do Apprentice Pay Rates Increase Over Time?

Yes, apprentice pay rates typically increase as they gain experience and skills.

At The Conduction Company, for example, apprentices receive standard pay raises every 1,000 hours worked (as long as they meet certain KPIs) and receive additional raises after completing each year of off-job study. By their third or fourth year, apprentices can expect to earn between $25 and $29 per hour, including overtime rates. (Data as of October 2024)

What About Overtime?

Overtime is quite common in the electrical industry. Most companies offer overtime rates after 40 to 44 hours worked per week, with a standard overtime rate of 1.5 times the base wage. In some cases,especially for night or weekend work, overtime can be paid at double the regular rate.

Both electricians and apprentices usually work between 45 and 55 hours per week, depending on the availability of work.

Do Electricians Get a Wage or Salary?

Electricians and apprentices who are "on the tools" typically earn a wage rather than a salary. This includes site foremen and leading hands, who represent the first tier of management.

However, as you advance in your career and take on more managerial roles, you are more likely to transition to a salary-based pay structure.

What Is the Highest Pay an Electrician Can Earn?

The maximum hourly rate for a highly skilled and experienced electrician in New Zealand is approximately $60 per hour as an employee. However, the earning potential in the electrical industry is virtually unlimited, depending on the career path you choose.

For instance:

  • Electrical Engineering Path: You  could earn over $200,000 per year working in an air-conditioned office  environment, attend meetings in a collared shirt and tippy-tap at a  computer.
  • Industrial Specialization: You can become and instrumentation or controls guru and contract yourself to massive production facilities for $400 per hour.
  • Business Ownership: Start your own electrical business, grow it into a national franchise, and you could earn  $1 million a month while sipping margaritas, casting lines out from the  back of your luxury yacht.

Electrical work is a highly rewarding and lucrative trade, whether you're just starting as an apprentice or looking to maximize your earnings as a seasoned professional. The opportunities are endless!