Union law changes will ‘drive down wages’
Workers’ bargaining rights are under pressure, Danya Levy reports. Murder charge after woman’s body found
Secret Cabinet papers show the Government intends to change industrial relations laws more than outlined in its election policy.
Two papers, obtained by the Labour Party and given exclusively to Fairfax Media, show the Government intends to allow employers to set the agenda for collective contract negotiations.
It has raised concerns rejection by unions of unreasonable demands will give employers grounds to walk away from bargaining.
The papers also show the Government will allow employees to be paid under the minimum wage if they are participating in a partial strike.
One paper, by Labour Minister Kate Wilkinson, outlines changes which will be made in three stages; she has already sought Cabinet’s approval for the first tranche.
The second paper is a regulatory impact statement by the Department of Labour and suggests the changes – particularly plans to let employers opt out of multi-employer bargaining – could breach international labour laws.
Council of Trade Unions president Helen Kelly said current labour laws were working well, strike action was declining and there was no need for changes. ‘‘If anything there is a need to improve employment law.
‘‘People are now working whole weeks and not able to pay their bills. There is a crisis of wages in this country. The combination of the Government’s changes will drive wages down in New Zealand and that is their intention because collective bargaining has been shown to lift wages.’’
However, Business New Zealand chief executive Phil O’reilly said some employers faced endless bargaining which made businesses less productive.
‘‘Increasingly we find workers are paid for the skills they have and their contribution to the workplace, rather than what someone might bargain on their behalf.’’
Labour’s industrial relations spokeswoman, Darien Fenton, said the Ports of Auckland wharfies and Affco meatworkers would have been replaced with lower paid contractors if the changes had been in place.
In a change not signalled before the election, the Government was now planning to give unions and employers the same timeframe to start the process of bargaining before a collective contract expired, she said.
Who initiated the bargaining was important because it set the terms for negotiation and who was covered.
‘‘Employers will use it as a tool to try to change existing agreements. Instead A man has been charged with the murder of Richmond woman, Sharyn Wilkinson-foley.
Police arrested the man yesterday and he will appear in Nelson District Court today.
A homicide investigation was launched after the 39-year-old’s body was found in her Salisbury Rd flat about 6.30pm on Thursday.
Her family have requested that the media not make any attempt to contact them for comment and ask that their privacy be respected.
During the weekend police were continuing to look for her former partner as ‘‘one strand of the inquiry’’, while also seeking others who might have had any contact with her in recent days.
Detective Inspector Geoff Jago, of able to initiate bargaining.’’
The papers also reveal unions would now have to give notice of partial strike action and pay deductions could result in workers being paid less than the minimum wage.
Ms Fenton said the ‘‘silly provision’’ would result in employers spending a lot of time calculating how to deduct a ‘‘couple of dollars’’ from workers’ pay.
There were only on average five partial strikes a year for the past 20 years.
Employers already had the right to suspend people who didn’t perform their full duties or to lock out workers.
Ms Wilkinson has refused to comment on the changes and has suggested the papers are made up.
‘‘I haven’t seen the paper that Darien Fenton claims she has and cannot confirm its authenticity.’’
Ms Wilkinson’s office has been offered copies of the papers but has declined to accept them.
Ms Fenton said she had no doubt they were authentic as they outlined changes the minister had already signalled. Nelson, said power was cut to houses and businesses in the immediate vicinity for about two hours on Friday night to conduct forensic testing.
Determining the time Ms WilkinsonFoley died was one of the focuses of the inquiry, he said.
Ms Wilkinson-foley was in contact with one of her family members on Thursday morning.
She did not attend her shift at work that day which was one of the reasons her family decided to check on her.
The woman had been assaulted but Mr Jago was not prepared to comment further on the assault or say where the woman was found in the house.
He said family members had indicated she had recently ended a relationship.