Category: Council Of Trade Unions

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Lockout of disability workers before Christmas unacceptable

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi Acting President Rachel Mackintosh is condemning the actions of disability support provider Te Roopu Taurima o Manukau Trust in deciding to respond to legitimate strike action by locking out their workers with just a few weeks before Christmas.

“The actions of Te Roopu Taurima are totally unacceptable and represent a flagrant attack on the rights and conditions of their workers,” said Mackintosh.

“These workers are striking over their basic right to secure jobs and a liveable income, resisting their employer’s attempts to restrict secondary employment and introduce discriminatory 90-day trials.

“Locking out low-paid disability workers before Christmas is shameful. Workers who support the disabled in our communities should be valued and celebrated, not bullied, and coerced to accept an unjust deal.

“Lockouts are an extreme and irresponsible course of action and are never an acceptable way of resolving employment disputes. In this case the lockout was also called illegally as the employer didn’t give 14 days’ notice or outline their negotiating demands.

“It seems that Christopher Luxon’s government has emboldened employers to follow their lead and treat workers badly,” said Mackintosh.

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Marsden Fund changes will undermine prosperity and social cohesion

Source: Council of Trade Unions – CTU

The Government’s rewrite of the Marsden Fund’s investment plan and terms of reference demonstrates a complete lack of understanding and risks undermining the breadth of research that is essential for the wellbeing and prosperity of New Zealanders, said NZCTU Te Kauae Kaimahi Acting President Rachel Mackintosh.

“Humanities and social science research, which has been defunded by the Government, provides fundamental insights into how our society and culture works and how we can overcome the key challenges we face, from climate change to housing to inequality,” said Mackintosh.

“The narrow focus on funding hard science research, on the basis that this will improve economic performance, shows how misinformed this Government is. Social science research provides critical insights in fields like public health, housing, education, and urban planning and infrastructure – which are all fundamental drivers of economic outcomes.

“Humanities research helps us uncover where we have come from as a society, the stories we tell ourselves, and our place in the wider world. It shows us how the many identities that make up this country can live together with empathy, understanding, and social cohesion – which are more crucial than ever in an increasingly divided world.

“This Government simply doesn’t understand what it is doing, nor how harmful its decisions will be for the future prosperity and social cohesion of Aotearoa New Zealand,” said Mackintosh.

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Government’s personal grievance changes will empower bad employers

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi Acting President Rachel Mackintosh is saying that the Government’s proposal to further weight the scales in favour of employers in personal grievance cases will make workplace culture worse and harm efforts to create a fair playing field for workers.

“Making the personal grievance regime even tougher for workers will empower bad employers to think they can get away with mistreating their employees,” said Mackintosh.

“These changes exacerbate power imbalances between employers and workers and will encourage employers to not take workplace complaints and accusations of misconduct seriously.

“The personal grievance process is already a tough regime for workers and under the current law, many workers lose their cases, and many workers have their remedies reduced, sometimes by significant amounts.

“What the Government seems to be saying is that if a worker has been found to have contributed to the problem in any way, then they should not receive any financial remedy. They are trying to tie the courts hands and prevent them from establishing justice.

“This is the latest in a sustained series of attacks on workers rights from Christopher Luxon’s Government, who seem intent on making life harder for working people.

“The Prime Minister and his cabinet continue to demonstrate that they are governing only for employers and couldn’t care less about the people who get up every day and go to work to keep this country running,” said Mackintosh.

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NZCTU Rūnanga calling for submissions on proposed changes to NZ Post

Source: Council of Trade Unions – CTU

The CTU Rūnanga is asking affiliates to support postal workers and get out and make submissions against contracting out postal delivery, to stop job cuts and ensure fair pay and conditions for postal workers.

The Postal Workers Union is fighting NZ Post’s plans to replace postal workers with contracted couriers. The union believes that this move will lead to slower deliveries and poorer working conditions for the couriers, who are used as a “third-class workforce”.

The union has highlighted that the shift to contractors would mean there would be no posties employed by NZ Post after the planned job cuts. It contends that this violates the State-Owned Enterprises Act, which requires NZ Post to provide good and fair working conditions, instead leaving contractors to determine workers’ pay and conditions.

About the consultation

The Crown is seeking feedback on proposed changes to NZ Post’s minimum obligations under the Postal Deed of Understanding.

The Postal Deed of Understanding (the Deed) is an agreement between NZ Post and the Crown which sets out the minimum mail service obligations that NZ Post must meet to provide a nationwide postal service.

The Crown is seeking feedback on proposed changes to NZ Post’s service obligations, as part of the 2024 Review of the Deed. Their reasoning is to enable a financially sustainable mail service that continues to meet the communication needs of New Zealanders.

The review does not consider fair pay and conditions for their postal workers or the fact that, once rural outlets are closed, much needed postal services will decline for rural communities.

They are seeking feedback on five key proposed changes

  • Reducing minimum delivery frequency from:
    • Minimum 3 days per week in urban areas, to 2 days per week.
    • Minimum 5 days per week in rural areas, to 3 days per week.
  • Reducing the minimum number of postal outlets from 880 to 500. Considering a glide down to a minimum of 400 over time.
  • Providing for NZ Post to meets its requirement to extend its network in the form of delivering to cluster and community boxes for new addresses.
  • Allowing NZ Post to convert existing delivery points into communal points at a rate of up to 5% per year.
  • Instead of a 5-year period before the next Deed Review, suggesting the next Review be in 3 years.

How to make a submission:

Seeking feedback on moving towards a financially sustainable mail service | Ministry of Business, Innovation & Employment

Submission template: Recap of questions

Submissions must be in before 5pm December 10th

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Luxon surrenders worker protections to ACT Party

Source: Council of Trade Unions – CTU

“The Government’s plan to remove unjustified dismissal protections from workers earning over $180,000 shows a concerning lack of leadership from Prime Minister Christopher Luxon, who has handed too many critical workplace decisions to ACT’s Brooke van Velden, the Minister for Workplace Relations who seems hell-bent on trampling on workers’ rights,” said NZCTU Te Kauae Kaimahi Acting President Rachel Mackintosh. “This move undermines basic employment rights and shifts the balance of power even further in favour of employers.”

“Personal grievances are an important remedy when a worker has been unlawfully mistreated,” said Mackintosh. “High-income earners are not immune to power imbalances in the workplace. Dismissing their right to fair treatment sends yet another clear signal that this Government values employers’ convenience over fairness at work.”
 
The proposed policy excludes senior executives and specialists from unjustified dismissal protections, unless they negotiate these terms individually—an unrealistic option when employers hold the upper hand in employment agreement negotiations.
 
“This isn’t about choice or flexibility; it’s about eroding trust and silencing workers,” said Mackintosh. “Luxon’s Government is setting a dangerous precedent, where protections for some can be stripped away under the guise of market efficiency.”
 
“The Government should reverse this decision and commit to fair workplace laws that protect all workers, regardless of income. Employment law must ensure dignity, respect, and a fair process for everyone. Anything less risks undermining the integrity of our workplaces.” Mackintosh said.

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RBNZ data highlights weak economy and labour market

Source: Council of Trade Unions – CTU

“Unemployment is forecast to remain elevated until the end of 2025 and isn’t expected to fall back to its pre-recession lows within the forecast period. Without a plan to reduce it, we are choosing a permanently higher unemployment rate in New Zealand. It’s no wonder so many Kiwis are emigrating overseas,” said NZCTU Te Kauae Kaimahi Economist Craig Renney.

Today’s announcement by the Reserve Bank shows that the economy will remain weak going into 2025, and that unemployment will continue to climb, said Renney. “The forecasts show that employment is likely to remain below 2023 levels until December 2025 – while the labour force grows by 28,000 during that period. Over the past year economic growth was effectively zero.”

“Business investment won’t hit 2023 levels until 2027. Residential investment is still falling. Government spending falls and returns to its current level in 2026. There is no engine of economic growth except private spending, which is weak.”

“Many people will celebrate the fall in interest rates, and the hope that this will bring financial relief. But this data also shows that the labour market is in for the long-haul. Yet there is no plan to help towns like Tokoroa or Timaru deal with the closure of large employers. It’s time for a different track.” Renny said.

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Kinleith mill closure shows need for industrial strategy

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi President Richard Wagstaff is calling on the Government to deliver an economic and industrial strategy for regional manufacturing, rather than just expressing sympathy for job losses, following the announced closure of Kinleith mill in Tokoroa.

“The closure Kinleith mill in Tokoroa is not just devastating for the 230 workers and their families, it is another major blow to regional manufacturing in Aotearoa New Zealand,” said Wagstaff.

“Over the last several months we have seen significant job losses in the regional manufacturing sector, with worksites closing around the country.

“The Government’s failure to step in and protect these communities demonstrates their lack of concern for regional New Zealand and the care for workers and their whānau.

“This is not about crudely subsidising and giving handouts to particular companies, it’s about putting forward an economic and industrial strategy that supports industries and regions to protect and generate good jobs and create full employment for working people.

“What’s needed is a government that is willing to show leadership on economic development by working with industry and unions to deliver good work and high living standards for all.

“Workers also deserve active support when they lose their jobs, not just sympathy. That’s why for years we have been calling on successive governments to adopt a social insurance scheme that would protect workers through redundancy.

“We haven’t seen ministers lift a finger for any of the workers who lost their jobs in this sector, and yet they will support landlords and higher income earners with billions of dollars’ worth of tax cuts.

“Unless the Government responds to the pain that regional communities are experiencing with active industrial policy, we are going to continue to see the loss of more and more manufacturing jobs in this country,” said Wagstaff.

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Uniformed Defence Force should not be used as strike breakers

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi President Richard Wagstaff is criticising the Defence Minister Judith Collins for deploying the military as strike breakers against their own people.

“In a modern liberal democracy, any deployment of the armed forces in employment relations is a drastic step, and should be avoided at all costs,” said Wagstaff.

“The first thing a responsible employer and Minister should do is make a reasonable offer in good faith to settle the collective agreement. That has not occurred and right now seems to be the last thing they want to do.

“To so easily bring out the military against their own people – the civilian defence force – is reckless and will do nothing to build organisational cohesion and commitment.

“NZDF civilian staff represented by their union, the PSA, don’t expect to come under attack just because they want to settle their collective agreement and have taken lawful industrial action in support of their modest claims.

“But NZDF don’t appear to want to settle, if they did, they would make a reasonable offer – not the current offer of 0% which is not reasonable.

“It’s alarming that the Minster opted to take this course of action, instead of urging the NZDF to turn up at the bargaining table with real intent to settle.

“This Government is at war with an imaginary enemy they call the ‘back office’, when they should understand that any capable military force, like other industries, depends on the support of hard-working civilians who provide the foundation for operational success.

“The real enemy of the defence force and public services in general is not the back office, it’s under investment, low morale and poor leadership from this Government.

“The Minister should be supporting those who job it is to support the military, by pressing NZDF into getting an agreement with the PSA,” said Wagstaff.

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Government must vote down ACT Members Bill that would undermine workers’ rights

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi President Richard Wagstaff is calling on the Government to vote down an ACT Party Members Bill that would undermine workers’ rights by making it easier for employers to fire workers.

Last week ACT MP Laura Trask’s Employment Relations (Termination of Employment by Agreement) Amendment Bill was drawn from the ballot.

“This Bill would be a major backwards step. It is an attack on the rights of working people and makes it less likely that workers will be treated with fairness and respect in their relationships with employers,” said Wagstaff.

“Brooke van Velden has said that she supports the Bill ‘in her capacity as a fellow ACT MP’. What we want to know, is what her official position as a government minister?

“What this Bill does is make it easier for employers to exploit power imbalances in the workplace and constructively dismiss workers, while making it harder for workers to hold employers responsible. Constructive dismissal is an objectionable practice.

“This approach would only make it easier for employers to lean on workers and push them out.

“There is already a process for employers to engage in mediation with staff. This Bill is not needed to ensure that without prejudice conversations can occur. These occur frequently and play a part in resolving practically all employment issues.

“All workers have the right to good work and should be able to expect to be treated with fairness in the workplace.

“This change would appeal to the worst employers who don’t have any respect for proper process or the rights of employees. We are calling on the Government to clarify their position and vote down this unnecessary and unjust Bill,” said Wagstaff.

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Unemployment rising shows the need for a plan

Source: Council of Trade Unions – CTU

New labour market data released by Statistics New Zealand today shows a weak labour market and the need for a plan to deliver positive change, said NZCTU Economist Craig Renney.

“Unemployment rose to 4.8% – which is the highest rate it has been since COVID-19.  There are 29,000 more people unemployed since this government took office. Yet there is no plan to help workers – that needs to change,” said Renney.

“It’s clear that some communities are increasingly being left behind. Unemployment for young people is now a real concern, with 20% of 15–19-year-olds unemployed and 8.4% of all 20–24-year-olds unemployed. Māori unemployment is 9.2% and Pacific Peoples unemployment is 9.9%. Unemployment in in Auckland is now 5.2%.

“Wages are also reflecting the softer labour market, with 37% of all workers seeing no pay rise, and 50% of workers seeing an annual pay rise less than the 3.8% increase in household costs reported yesterday. With the minimum wage rising by less than inflation this year, its low-income workers who are bearing the brunt of this Government’s policies.

“This was the first time in 37 quarters that the number of people employed in New Zealand fell. A million fewer hours were worked this year. 367,000 people want more work but can’t currently get it. The numbers unemployed for more than 6 months is at its highest level since 1992.

“The headline rate of unemployment didn’t hit 5%, but the underlying data shows that the labour market is as weak as people fear. There have been significant layoffs at sites across New Zealand which won’t have registered yet in this data.

“The Government’s only plan appears to be welfare sanctions which will only increase hardship for unemployed workers. Workers deserve to know what this government is going to do ensure everyone has access to good, sustainable work,” said Renney.