NZCTU open letter to Treasury on undue restrictions on restricted briefings

Source: Council of Trade Unions – CTU

Iain Rennie, CNZM
Secretary and Chief Executive to the Treasury

Dear Secretary,

Undue restrictions on restricted briefings

This week, the Treasury barred representatives from four organisations, including the New Zealand Council of Trade Unions Te Kauae Kaimahi, from attending the restricted briefing for the Half-Year Economic and Fiscal Update. We had been formally invited, by the Treasury, to attend the briefing. After the CTU replied to the invitation, Treasury appears to have changed its rules for attendance. Our application to attend was then rejected.

The Treasury now states that “Representatives from peak bodies, professional bodies, unions, universities, industry bodies, industry information services, and advocacy groups, among others, would no longer be allowed to attend”. That means bodies such as Business New Zealand would not be able to attend, nor would organisations such as Local Government New Zealand, Child Poverty Action Group, Aotearoa 350, or Tax Justice Aotearoa. Alongside the CTU these are all national organisations with a strong and legitimate interest in understanding how the government is investing its resources.  

Treasury said the purpose of restricted briefings is to provide participants with time to consider materials before public release to enable more accurate reporting and to assist “in transparency and accountability to the public”. The Treasury has therefore concluded that other groups, such as the CTU, no longer have a time-sensitive need for the materials. This despite the fact that attendance by bodies such as these has been the norm for many years without incident.

We must object to this interpretation in the strongest terms. Groups – including the CTU – affected by the new guidelines regularly provide their analysis of Budget figures to their own readers, who number in the hundreds of thousands, and provide expert analysis to journalists attending the restricted briefings. Both functions assist in transparency and accountability to the public, which is the purpose of restricted briefings.

How does it promote the interests of “transparency and accountability to the public” or assist public understanding when external organisations such as Bloomberg will be able to tell foreign investors what’s in the Government books, and provide considered analysis, faster than organisations representing New Zealand workers, business, and taxpayers?

The CTU alone represents 27 Trade Unions with more than 300,000 members. They have a keen interest in understanding the financial situation of the Government – many of whose employment and income rely on the Crown Accounts. Timely analysis and communications from the CTU are essential. Could you please explain why their need for information is less important than that of financial markets?  

The lock-up is also an opportunity to engage with the Minister of Finance and the Secretary of the Treasury. To ask questions about the contents of the report, and to have answers to questions heard by media. There is no other opportunity to do that outside of this lock-up. Why should banks be able to ask the Minister questions about economic growth, but other groups find themselves shut out?

Lock-ups do not just bring analysts into a room with access to advance copy of the fiscal documents. Attendees at restricted briefings can also ask Treasury officials how complex estimates were generated. Being able to ask officials about the estimates helps analysts provide better-informed reports with fewer errors. It also means that analysts who misrepresent the figures have little excuse for their own errors.

We sympathise with Treasury’s predicament. When more people wish to attend restricted briefings than can be accommodated, it has to choose who to disappoint. But there has never been a HYEFU briefing where the room was full, and where those who attended couldn’t be seated. This is not a capacity issue.

Democracy and public scrutiny are not supported by locking social partners and non-financial institutions out of the lock-up. This is a retrograde step, which appears to have nothing to do with capacity, security, or with a desire to ensure that complex documents such as the HYEFU are communicated well to audiences across New Zealand.

The CTU strongly urges the Treasury to reconsider these guidelines and your decision to rescind our access. We look forward to a timely response to this letter.

Yours faithfully,

Rachel Mackintosh

Acting NZCTU President

Six years of work wasted – Holidays Act reform now years away

Source: Council of Trade Unions – CTU

Brooke van Velden has wasted six years of work from businesses, unions, and government by binning planned Holidays Act reforms, said Acting CTU President Rachel Mackintosh in response to today’s announcement from Minister for Workplace Relations and Safety.

 “The Minister has cynically kicked the can on Holiday Act reform even further down the road, meaning an even longer delay for workers trying to get their basic rights to leave recognised,” said Mackintosh.

“The Government is again making decisions that are bad for workers by departing from an agreement that ensured any changes wouldn’t be damaging to working people.

 “When this review commenced, businesses and unions agreed that Holidays Act reforms would not result in leaving workers worse off. The change in direction announced today throws that agreement up in the air.

“Workers and businesses have asked for clarity around their Holidays Act requirements. Rather than getting on with the job, all the Minister has done today is ensure greater uncertainty for even longer.

“Her proposed new model could also mean that every worker would need to record their hours worked, which would add complexity to the system. The Minister needs to listen to workers and business as social partners and implement what was already agreed.

“In her speech today, the Minister mentioned she was listening to employers and “experts” but failed to mention workers. This is more evidence that she is making decisions for only the employer side of the employment relationship, not the millions of workers in this country.

 “After six years of work and tripartite agreement on the future of the Holidays Act, today the Minister has taken us back to the start. In doing so, she also appears to have taken protections for workers off the table.

“This is yet another example of this Government deliberately making life harder for working people,” said Mackintosh.

NZCTU slams Government’s ferry fiasco

Source: Council of Trade Unions – CTU

The NZCTU Te Kauae Kaimahi is slamming the Government for failing to show any leadership on infrastructure delivery after they revealed today, they have no plan to replace the Cook Strait ferries a year on from their decision to cancel the iReX project.

“Today’s announcement by the Minister of Finance showed why New Zealanders shouldn’t trust this Government on infrastructure – despite wasting huge amounts of money and time, they still have no coherent plan to replace the Cook Strait ferries,” said Acting NZCTU President Rachel Mackintosh.

“It has been a year since the Government cancelled the existing contract and we know little more now than we did then. We have no information on where replacement ferries are coming from, how much they will cost, who will pay for them, or how the port infrastructure will be delivered. We don’t know how much it will cost to cancel the existing order.

“New Zealand had contracts for ships that had been set to arrive in February 2026 and September 2026. We are now planning on having ships possibly arrive sometime in 2029.

“The ferries are reaching the end of their service life, and all we have been given another working group. The original project should never have been cancelled.

“Crucially, it now appears as if the decision has been made to take rail-enabled ships off the table. The Government is now talking about being “rail compatible”. This will mean using lorries to put freight on and off ferries. This will take longer, is less efficient, will raise costs for users, and will likely increase emissions.

“The Government announcement also appears keen to privatise the service, stating that they are open to proposals from the private sector. This would likely mean that a private entity will take profit out of a service currently being run by government.

“Workers on the Cook Strait ferries, service users, and New Zealanders all deserve better than this. This is a plan to have a plan at some point in the future. What is needed is action,” said Mackintosh.

NZCTU urges political parties to vote down extreme anti-worker bill

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi Acting President Rachel Mackintosh is calling on political parties to vote down Brooke van Velden’s Employment Relations (Pay Deductions for Partial Strikes) Amendment Bill, as it would undermine the ability of workers to engage in industrial action and may even lead to workers losing pay for simply doing the job they were employed to do.

“Enabling pay deductions for partial strike action is bad lawmaking and will have the opposite effect of what the Minister is claiming to achieve through this law change,” said Mackintosh.

“Allowing employers to deduct wages for partial strikes allows for the intimidation of workers and may mean that partial strike action will be abandoned, forcing workers to fully withdraw labour, which will escalate disputes.

“Industrial action is supposed to help level the power imbalances in employment relationships that favour employers. This change undermines that and tips the balance of power even further in favour of employers by introducing a punitive response to legitimate industrial action.

“It is absurd that the Minister considers that work-to-rule is a form of partial strike. Work-to-rule just means following the letter of your employment agreement, for example choosing not to change a scheduled shift or complete a task that is outside the scope of your role.

“What this will mean is that a worker could be punished financially for simply doing the job they were employed to do, and not even engaging in strike action.

“The Bill currently before the House is in contradiction with our international commitments to provide workers the right to organise and collectively bargain, and to provide adequate protection to workers against acts of anti-union discrimination in employment.

“We believe that the Government should be proactively enabling and engaging in upcoming public service collective bargaining rather than creating loopholes and escapes to undermine the country’s employment relations framework.

“The only winners of this Bill will be the lawyers. This legislation will lead to increased litigation, and prolonging bargaining and industrial action at the expense of both workers and employers.

“Christopher Luxon is once again allowing the ACT party to advance its extreme anti-worker agenda in this latest round of brazen attacks on the rights of working people,” said Mackintosh.

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.

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.

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.

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

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.

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.