Funeral trade insiders talk of ‘dodgy’ operators, need for reform

Regulations for the funeral sector cannot come soon enough, say a group of insiders who are trying to blow the whistle on “dodgy” managers and practices.

Those in the group are desperate for sweeping changes to clean up the industry and provide better protection and support for workers.

They say some of the practices they see on a daily basis are “appalling” and grieving families would be “disgusted” if they knew what was going on behind the scenes.

Some workers have even gone as far as reporting their bosses to the Serious Fraud Office and IRD in a bid to stop what they say is “morally and ethically” bad behaviour including mismanaging funeral prepayments and cash payments and fiddling with records to hide transactions.

They say the “hard” industry is also rife with bullying and threats, stressed-out staff who are overworked and underpaid and not afforded any kind of pastoral care.

The Herald has spoken to several sources within the industry in the Canterbury area who do not want to be named for fear of losing their jobs.

They have also asked that their employers are not named for fear of repercussions.

In one case the Herald has viewed evidence showing how money families had prepaid for funerals was spent by managers on personal expenses and only paid back after the death of the person the money was for. A text shown to the Herald confirmed more than $200,000 was owed to prepaid accounts at one point.

The funeral services went ahead as planned and the money was eventually returned — but the sources said it was “appalling” and created stress, mistrust and anxiety among staff who knew what was going on and had to work with the unwitting families.

Sources also spoke of cases where they had seen families pay for funerals in cash that was “pocketed and not put through the books”.

They say not all funeral directors are problematic but the issues are widespread in the industry because it is completely unregulated.

The issues around the handling of money reportedly fell short of the SFO’S threshold for an investigation.

It is understood the IRD is looking into the finances of at least one South Island funeral home after staff alleged “serious breaches” of the law.

The Ministry of

“concerned” about

Health was the issues raised by the whistleblowers and hoped to engage with them directly. “The people you have spoken to, or others working in the industry who have had similar experiences, are welcome to contact the ministry in confidence about this,” a spokesperson said.

“We can take their experiences into consideration when considering our proposals for regulating the funeral sector.”

That regulation may come this year after a long awaited review.

In 2015 the New Zealand Law Commission published its report Death, Burial and Cremation: A new law for contemporary New Zealand, making 127 recommendations to modernise the law that governs death, burial, cremation and funerals.

In 2016, the then-government accepted most of the commission’s suggestions — but directed officials to undertake further policy work and consultation on

In October 2019 Cabinet agreed to release a consultation document proposing — among other things — regulation of the funeral services sector.

That consultation, overseen by the Health Ministry, began the next month. It was due to close in February last year but was extended to the end of October due to Covid-19. The ministry spokesperson said 196 submissions were received — and more may be called for.

“At this stage, we anticipate finalising the analysis of submissions and providing advice to ministers in the second half of this year.”

The insiders said the industry desperately needs a strict body of rules to prevent staff — and families of the dead — being “used and abused”. specific elements.

One said the industry was “a real mess”. “We are all here because we are passionate about the job and the families — but we are not looked after, we are not respected,” he said. “The families have no idea what goes on behind the scenes . . . it’s just so wrong.”

He said some people high up in the industry were “just evil”.

“And they need to be exposed. “Good people are leaving the industry in droves . . . Behind closed doors, it’s horrible.”

Another said the behaviour would not be tolerated in other industries, but because death was still “such a taboo subject” people were loath to talk about it.

“But it’s 2021 and we need to talk about it — people are pushing back all around the world at the moment and telling their truth, people have had enough and so have we,” she said.

The insiders turned to the

Herald as they would listen.

While some had raised the issues directly with managers, others were too scared to speak up. “We have to deal with enough stuff in this job — grieving families and seeing the things we see — it’s a heavy job,” said one.

Another woman said the lack of regulation and what some people got away with was “a joke”.

The group said people who chose to work in the funeral industry — especially those in Christchurch who had been confronted with mass death over the past decade after the fatal 2011 quake and the 2019 terror attack — were “inherently kind and empathetic”. So seeing things operate behind the scenes as they were now was upsetting.

Workplace Relations Minister Michael Wood said the situation was “concerning”. felt no one else