Otago Daily Times

Labour sweetens employment reform Bill

- SIMON HARTLEY simon.hartley@odt.co.nz

CONCESSION­S by the Labour coalition Government over sticking points in its controvers­ial employment law reforms have smoothed the way for NZ First to now support the Bill.

Business New Zealand, the Otago Southland Employers’ Associatio­n and Council of Trade Unions all appear to have been mollified by the changes, after the Bill was was put back before Parliament yesterday, the changes being outlined by Workplace Relations Minister Iain LeesGallow­ay in a supplement­ary order paper.

The Bill already allows small businesses, employing fewer than 20 people, to continue offering work to new employees on a 90day trial basis, an option being removed for larger employers.

The Government has been plagued by negative business outlook surveys for the past six months, which include uncertaint­y over the proposed changes to employment relations.

However, in making making two key changes Labour appears to have appeased NZ First and gained its support, while keeping business groups and the Council of Unions board.

The two changes concern union access to the workplace and the multiemplo­yer collective agreement, or Meca.

Employers have a responsibi­lity to enter into Meca bargaining but will not be compelled to settle an agreement, based on reasonable grounds.

The other change is while unions will have the right to enter work sites where union members are covered by, or bargaining over, a collective agreement, they need consent from employers in any other circumstan­ces.

Otago Southland Employers’ Associatio­n chief executive Virginia Nicholls welcomed the two main changes, but was otherwise disappoint­ed there were no changes to the 90day trial periods, or the duty to conclude a collective agreement.

‘‘This will restrict some larger employers who have previously taken risks when employing some atrisk youth who may Trade

on be new to the

Mrs Nicholls said.

She maintained the view that the duty to conclude bargaining breached internatio­nal labour law and BusinessNZ would continue to pursue that line.

BusinessNZ family organisati­ons EMA, Business Central, Canterbury Employers’ Chamber of Commerce and the Otago Southland Employers’ Associatio­n undertook a high profile campaign against the Bill in its early stages.

BusinessNZ chief executive Kirk Hope said the changes to the Employment Relations Amendment Bill would make parts of the legislatio­n more acceptable to business.

He said the changes resulted from NZ First’s influence in changing the Bill and business would be grateful for its input in striking a better balance between employer and worker rights.

‘‘The ban on larger businesses from using 90day job trials remains, and also the requiremen­t for employers to reach agreement on bargaining demands for collective agreements, a provision which in our view would breach internatio­nal law,’’ Mr Hope said.

workforce,’’

The employer organisati­ons’ campaign had the support of thousands of small and large businesses and they would be hoping for further changes during the committee stages of the Bill, he said.

The Council of Trade Unions welcomed the progress, noting by implicatio­n that there had been no change to requiremen­ts relating to meal and rest breaks, about which employers had expressed concern on the detail of their obligation­s, BusinessDe­sk reported.

‘‘We would like to see further moves in the future like the scrapping of 90day ‘fire at will’ trials, which particular­ly threaten vulnerable people in already precarious employment,’’ CTU president Richard Wagstaff said.

‘‘In an MMP environmen­t, robust law can take time to work through.

‘‘We’re encouraged that this Government has consulted with us and other stakeholde­rs to date, and we expect to see further, carefully managed reforms in industrial relations in the near future.’’

Additional reporting BusinessDe­sk

 ?? PHOTO: GERARD O’BRIEN ?? Labour tensions . . . Strikes are ongoing but concession­s have been made over contentiou­s legislativ­e labour law reforms; pictured, striking primary school teachers in Dunedin’s Octagon a fortnight ago.
PHOTO: GERARD O’BRIEN Labour tensions . . . Strikes are ongoing but concession­s have been made over contentiou­s legislativ­e labour law reforms; pictured, striking primary school teachers in Dunedin’s Octagon a fortnight ago.
 ??  ?? Virginia Nicholls
Virginia Nicholls

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