Category: Employment Issues

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Further action on Serene bathroom heaters

Source: Worksafe New Zealand

Energy Safety has extended its clampdown on Serene wall mounted bathroom heaters, which don’t meet New Zealand’s safety standards. This now involves the following Serene models: S2068, S207T, and S2069.

Serene Classic S2068

We’ve prohibited sale, use, installation, and importation of Serene Classic S2068 wall mounted bathroom heaters. This prohibition applies to all units imported, sold, or installed since June 2018. This expands on the prohibition published in February this year, which was limited to specific serial number ranges.

Gazette notice for Serene Classic S2068(external link)

Serene S2068 heaters are unsafe. Testing has found these heaters are non-compliant with safety standards. A series of fires and overheating incidents are associated with these heaters. More recently, events have occurred outside the previously prohibited serial number range.

There is a significant risk of people being seriously harmed or property being damaged through use of these heaters.

The prohibited S2068 heater is described as follows:

  • Wall mounted fan heater with step-down thermostat with pull-cord on-off switch, for fixed-wired installation in bathrooms and similar locations.
  • Available finishes include mirror polished stainless steel metal shell with die cast grille, and also known to come in a range of colours including white and black.
  • Dimensions: 300 mm wide, 210 mm high and 110 mm deep.
Serene S2068 heater

Serene S207T

We’ve prohibited sale, installation, and importation of Serene S207T wall mounted bathroom heaters. This prohibition applies to all units imported, sold, or installed since January 2018.

Gazette notice for Serene S207T(external link)

Testing has found Serene S207T heaters are non-compliant with safety standards. There is a low risk they may be unsafe, however we are not aware of any fires or overheating events with these heaters.

The prohibited S207T heater is described as follows:

  • Wall mounted fan heater with step-down thermostat control.
  • Available finishes include stainless steel or white with gray wall bracket and cast metal grille.
  • Approximate dimensions: 375 mm wide, 220 mm high and 140 mm deep.
Serene S207T heaters

Serene S2069

Serene S2069 wall mounted bathroom heaters imported, purchased, or installed after June 2018 have had their approval withdrawn. This confirms they cannot be legally sold in New Zealand.

Gazette notice for Serene S2069(external link)

Serene S2069 heaters are non-compliant with safety standards. We are currently investigating a reported fire associated with one of these units.

Energy Safety will continue to monitor for incidents involving any of the above Serene models, and may take further actions if necessary.

What to do if you have a bathroom heater in your home

  • Check the make and model of the heater in your bathroom.
  • If your heater is a Serene model S2068, do not use it. If you can’t unplug it from a wall socket, you should arrange for removal by an electrician.
  • If your heater is a Serene model S207T or S2069, Energy Safety considers there is a low risk from continued use. However if you observe an unusual smell or noise from the heater, do not use it and contact an electrical worker to check it over.

Simon Gallagher, National Manager, Consumer Services at MBIE:

“The Consumer Guarantees Act (CGA) guarantees that products must be of acceptable quality, including safe to use and fit for purpose. Where a product is not of acceptable quality, you have the right to a refund, repair, or replacement. MBIE recommends that consumers who have the S2068 contact the business they purchased it from to arrange for its return under the CGA. Consumers who have the S2069 or S207T and are concerned may also wish to contact the supplier to seek a remedy under the CGA. For more info see Product safety | Consumer Protection(external link)“

If you are a supplier of heaters

Serene models S2068, S2069, and S207T are all non-compliant with safety standards and cannot legally be imported, sold, or installed.

We are working with MBIE to contact known suppliers.

Simon Gallagher, National Manager, Consumer Services at MBIE:

“MBIE is aware of the issues found with the Serene appliances and is working with Energy Safety and the retailers of these products to discuss what they can do to ensure the safety of their customers. As part of this work, MBIE is encouraging these retailers to undertake a voluntary recall.”

Questions?

Contact us:

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Owner of liquidated Auckland restaurant ordered to pay former chef almost $100,000

Source: Employment New Zealand

Shen Yuan, the sole director of BDIT Limited, trading as Hua Restaurant, was recently ordered by the Employment Relations Authority (ERA) to pay a former chef:

  • $43,943.42 in wages arrears
  • $21,000 as repayment for a premium demanded from him
  • $20,000 in penalties.

Yuan’s wife Linlin Sun, who worked as a manager in his restaurant business, is jointly and severally liable for payment of the wage arrears and was ordered to pay $10,000 in penalties for her role in the breaches which occurred between September 2019 and September 2020.

Yuan and Sun must pay interest on the arrears. Yuan must also pay interest on the premium repayment.

The total amount the couple must pay in wages arrears, the premium repayment and penalties is $94,943.

Authority member Robin Arthur ordered that the former chef, a Chinese national, must receive $9,000 of the penalties due by Yuan and his wife.

BDIT Ltd formerly operated 2 restaurants in Auckland – one in Newmarket and the other in Albany. The Newmarket restaurant stopped trading in October 2019 and the Albany restaurant in September 2020.

This is the second time Yuan and his former restaurant business have been sanctioned by the ERA.

In 2020 Yuan and BDIT Ltd, trading as Hua’s restaurant, were ordered to pay their head chef $11,999.98 for outstanding wages.

The repayment order was made after Yuan failed to keep up the payments, as agreed in a record of settlement, following mediation in November 2019. Yuan had undertaken to repay the former employee $16,000 in weekly instalments of $666,67. However, he only paid $4000.02, leaving $11,999.98 outstanding.

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TVNZ’s consultation process legally challenged by E tū – E tū

Source: Etu Union

E tū has filed a claim with the Employment Relations Authority against TVNZ, as the company did not follow their consultation requirements that are guaranteed for workers in their collective agreement.

The filing comes as TVNZ makes formal announcements about the fate of major parts of their news and current affairs offering, including Fair Go, Sunday, Re: News, and the Midday and Tonight bulletins.

E tū Negotiation Specialist, Michael Wood, says it’s vital TVNZ follow the correct processes through such significant changes.

“It’s crystal clear in the TVNZ collective agreement that workers must be involved in developing proposals like this, not just asked for their views at the end of the process,” Michael says.

“The requirement is that union members must be involved in the developmental stages of decision-making processes and in the business planning of the organisation. The fact is, members simply weren’t given the opportunity to engage with the design of TVNZ’s plan until the proposal was presented.

“It is vital that workers are involved all the way through – not just because it’s their right, but because they have valuable insights that would have helped TVNZ to develop a better proposal.”

Michael says the short consultation process has already shown the value of member participation.

“Even just within the flawed process we’ve seen to date, workers have convinced TVNZ to introduce a new team for long-form consumer and current affairs reporting. That’s a win and reinforces that a proper process could have led to much better outcomes.

“There has been a massive outpouring of support for TVNZ’s workers and the vital content they create. The community supports robust news and current affairs to tell Aotearoa’s stories and hold power to account. This is all the more important given we’ve also learned today the plan to take Newshub off air is going ahead.

“We reiterate our call for TVNZ to go back to the drawing board and work properly with their staff to shape a way forward which properly values their massive contribution to our media landscape.”

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Minister of Finance admits to new borrowing need

Source: Council of Trade Unions – CTU

At Finance and Expenditure Committee today the Minister of Finance admitted that the Government will have to borrow to make ends meet in the forthcoming Budget.

“This admission is in direct conflict with the statements made by Nicola Willis in opposition that the tax plan requires no additional borrowing. Yet today we discover that additional borrowing will be happening,” said CTU Economist Craig Renney.

“The Minister is still insisting that the additional borrowing will not pay for tax cuts, even though it’s clear that without these tax cuts, additional borrowing would not need to take place. The obvious lesson from all of this is that the government is borrowing to pay for tax cuts.

“The economics of this make no sense. Given the economic circumstances that New Zealand is in, if we are borrowing, it should be for investments that will lead to long-term productive growth. It should be for infrastructure, R&D, and public services. Instead, we are providing yet more money for landlords, and more money for higher-income earners.

“The Minister of Finance had an opportunity at the Budget Policy Statement to come clean about how her tax plan would be paid for. The Minister should provide that information to the public, bearing in mind we are just seven weeks away from the Budget, so the details should have been finalised.

“But what would be even better is if the Minister announced a plan to invest in public services, deliver economic growth, and abandon the currently unfunded tax cuts,” said Renney.

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Mercury commits to $1.15m safety spend

Source: Worksafe New Zealand

A self-drive vehicle to enhance worker safety will be trialled by one of the country’s largest electricity providers, as part of a new agreement with WorkSafe New Zealand.

Mercury NZ has signed the commitment in response to the uncontrolled release of geothermal steam at its Rotokawa power station near Taupō in July 2021.

While the so-called ‘steam hammer’ event did not injure anyone, it could have seriously harmed workers if they had been in the area at the time. Steam hammer is created when steam meets cooler liquid in pipework and fittings, causing severe vibration that can lead to catastrophic failure.

A WorkSafe investigation found shortcomings in plant installation decisions and risk assessment by Mercury, and ineffective communication between offsite control room operators and personnel onsite.

“The loss of containment was incredibly dangerous. The pipework had been exposed to extreme forces, with an intensity that ejected flange bolts, split valve bonnets, and tore welded fixings,” says WorkSafe’s regulatory support manager, Catalijne Pille.

“Businesses must do everything they can to meet their responsibilities under the Health and Safety at Work Act.”

In response to the incident, Mercury has now applied to WorkSafe with a binding commitment to improve safety. The plan, known as an enforceable undertaking, includes:

  • Trialling a self-driving vehicle for plant inspections
  • Delivery of a leadership programme to promote a proactive safety culture
  • Introduction of training focused on hazard awareness and safety in high-risk environments
  • Sharing the resources developed and lessons learned from the incident with industry.

“Emerging technologies have huge potential for health and safety. Mercury plans to trial self-drive vehicles to supplement in-person operator rounds which can only be good for safety. The data insights will aid decision-making and help with continuous improvement of processes and procedures,” says Ms Pille.

As a result of the agreement WorkSafe’s charges against Mercury have been discontinued. WorkSafe will regularly monitor progress on the commitments which have been agreed and can resume prosecution if necessary.

“The investment from Mercury is the preferred solution in this case. It demonstrates a substantial commitment to health and safety with benefits to workers, community, and the industry that may not have been achieved by prosecution.”

Read the decision document

Read more about geothermal safety

Statement from Mercury’s Executive General Manager Generation, Stew Hamilton

The health, safety and wellbeing of our people is front of mind for us, and we’re constantly working to improve on our performance in this space.

While no one was harmed in this event, it is important that we reflect on this incident and how we can continue to improve on our safety performance. This Enforceable Undertaking is an opportunity for us to do so, and fits into our wider vision for world class safety performance and achieving our goal of safety citizenship.

The programme has now kicked off, and we expect it to complete in February 2026. Key work within this will include further education and coaching, autonomous inspections of certain sites, mechanisms to share learnings with others, donations to emergency service providers and support of a health and safety scholarship. We expect this will deliver benefits to not just our people, but our sector as well as the community.

We are looking forward to working with WorkSafe to help continue to build strong safety performance across the industry.

Media contacts

For WorkSafe: media@worksafe.govt.nz
For Mercury: mercurycommunications@mercury.co.nz

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Dairy farm and its owner must pay $215,000 in penalties after exploiting Indonesian workers

Source: Employment New Zealand

Of this amount, Rural Practice Ltd was ordered to pay $145,000, and business owner Reza Abdul-Jabbar must pay $70,000. 2 of the 3 workers will each receive $10,000 of the penalties amount.

Both the business and Abdul-Jabbar were found to have breached numerous minimum employment standards by:

  • not paying workers the minimum wage
  • not paying for holiday and leave pay
  • unlawfully deducting money from their wages
  • forcing the workers to pay premiums
  • not keeping accurate wage or time records.

In an earlier determination released in February 2024, the ERA ordered Rural Practice and Abdul-Jabbar to pay the workers $52,056 in arrears in holiday pay, plus interest. They also voluntarily paid $64,387 to the workers for holiday pay and unlawful deductions during the hearing process.

Abdul-Jabber, who is a shareholder in companies owning property in Queenstown and Southland, is the Imam of the Invercargill Mosque for the local Muslim community. He was also the religious advisor and mentor for at least one of the workers.

Silvia Abdul-Jabber, who was a co-owner of Rural Practice Ltd, passed away in September 2022 while the case was being heard and the Labour Inspectorate withdrew their claim for penalties against her.

The 3 workers came from Indonesia to work for Rural Practice Ltd on its Invercargill dairy farm between December 2017 and February 2022.

In December 2020, one of the workers contacted the Ministry of Business, Innovation and Employment’s Contact Centre to complain he had not been paid the salary recorded in his employment agreement or given the number of days off he was owed each fortnight.

He also complained that his employer had taken possession of his passport and ID and kept them even though he asked for them back.

A Labour Inspectorate investigation found that each employee had been given 2 versions of their individual employment agreements – one stating a higher salary which the employer provided to Immigration New Zealand (INZ) during work visa applications, and the other, provided to the Labour Inspector, stating a lower amount. None of the employees were paid the correct wages due to them.

It was also found amounts had been deducted from one of the worker’s wages, purportedly to pay for the services of a recruitment company in Indonesia.

During the Labour Inspector’s investigation it was found that payslips for the workers had been manipulated. In one case there were 2 sets of payslips for the same period – one set with the hourly rate of pay inflated to satisfy INZ visa requirements and the other set with a lower rate of pay and correspondingly more hours worked, provided to the Labour Inspector.

Simon Humphries, Head, Compliance and Enforcement, Labour Inspectorate, said it was unforgiveable that business owners would knowingly and deliberately exploit vulnerable workers they had brought to New Zealand.

“These workers came to this country in search of a better life but they were taken advantage of by those they trusted.

“This was deliberate and systemic exploitation. The penalties imposed demonstrates the serious nature of the breaches and sends a clear message to business owners who choose to exploit their workers for financial gain. There will be consequences.”

Humphries said the Labour Inspectorate would continue to vigorously monitor potential migrant worker exploitation and enforce compliance when necessary. “We are pleased, that through our intervention in this case, we were able to help these vulnerable workers.”

In his determination, Authority member Alastair Dumbleton noted that the manipulation of the workers’ payslips was an indication that Rural Practice Ltd through its directors had actively contrived to mislead statutory officials of INZ and the Labour Inspector.

He said the breaches happened because of “an attitude held by Mr Abdul-Jabbar of disrespect for employment and immigration statutory rules and regulations – ‘officialdom and bureaucracy’ – and also an attitude of indifference to the sanctity of contract.

“In short, as a director and owner of the employer Rural Practice Ltd, when it suited him, Mr Abdul-Jabbar knowingly disregarded the law governing employment. He took advantage of [the migrant employees] because they were not from New Zealand and were from Indonesia, where he too was from.”

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CTU stands in solidarity with public service workers

Source: Council of Trade Unions – CTU

The NZ Council of Trade Unions Te Kauae Kaimahi is standing in solidarity with workers affected by the latest round of public service job losses and calls on the Government to stop their reckless attacks on essential public services, said CTU President Richard Wagstaff.

“These cuts have a massive impact on services that save New Zealanders lives, as we can see with cuts to the Suicide Prevention Office, but we also must not lose sight of the devastating impact job losses are having on thousands of families across the country,” said Wagstaff.

“Many of these workers are low paid and already struggling to get by, serving their communities in jobs that deliver essential services for the public.

“Hearing stories of laid-off workers having to pull their kids out of childcare and stop mortgage repayments demonstrates the real heartbreaking impact of public service cuts.

“It is the role of government to invest in services and prevent rising unemployment. Yet here we have a government that is actively pushing people into unemployment in their ideological pursuit of tax cuts for landlords and high-income earners.

“These ongoing job losses highlight the importance of the income insurance scheme the Government axed in haste.  It would mean any workers who lose their jobs would continue to receive a decent income while they look to find a good job that utilises their skills and experience.

“New Zealand workers are among those with the lowest levels of redundancy protection in the world. As we deal with a challenging global economy, now should be the time to give workers more income and economic security – rather than less,” said Wagstaff.

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Interim WorkSafe Chief Executive to leave mid-year

Source: Worksafe New Zealand

WorkSafe New Zealand Chief Executive Steve Haszard will step aside from his interim role in mid-2024, when the priority tasks he was brought in by the Board to undertake will largely be completed.

“Steve was appointed on a short term basis in October 2023, during a challenging time for WorkSafe,” says WorkSafe Board Chair Jennifer Kerr.

“His considerable experience in regulatory practice, organisational change and strategy development saw him get straight to work on our immediate priorities. Steve has swiftly delivered on those, and the Board is grateful for his strong and decisive leadership. He and I agree that the start of a new financial year will be around the right time to hand over to a permanent Chief Executive.”

Between now and the middle of the year, Steve and the executive team will continue working at pace to frame up and finalise the operating plan which will be ready for delivery for the start of the new financial year.

The Board will go to market for the Chief Executive role this week.

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CTU calls on Government to exclude Myanmar Junta from ASEAN meeting

Source: Council of Trade Unions – CTU

NZCTU President Richard Wagstaff is supporting the 33 Myanmar community organisations in New Zealand who are calling on the New Zealand Government to reverse the invitation to the Myanmar military junta to join the ASEAN-NZ Dialogue meeting scheduled for 18-19 April in Wellington.

“Inviting the Myanmar junta representatives at this time sends the signal that New Zealand both recognises and supports the existence of this murderous regime,” said Wagstaff.
 
“Myanmar’s ruling junta has targeted trade unions and has been internationally condemned for crimes against humanity in its ruthless war against its own people.
 
“Across the world the UN and democratic governments have stood firm in excluding and sanctioning the military junta. For New Zealand to break ranks now, and welcome them to our country is a betrayal of our principles and our reputation, and a betrayal of the Myanmar community in New Zealand. 
 
“The New Zealand Government, as host nation, must intervene to prevent the Myanmar junta representatives attending this meeting,” said Wagstaff. 

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Unions deliver MPs petition to stop real terms cuts to the minimum wage

Source: Council of Trade Unions – CTU

Today a delegation from the union movement delivered a petition of nearly 9,000 people calling on the Government to commit to annual minimum wage increases that keep up with rising costs.

“This Government is effectively cutting the wages of low-income families by not increasing the minimum wage to keep up with rising costs. This is on top of getting rid of free prescription fees, scrapping support for public transport fees, and increasing benefit sanctions,” said CTU President Richard Wagstaff.
 
“This petition sends a clear message to this Government that all workers have the right to a liveable income to support their families.
 
“We appreciated hearing from workers in homecare and retail at Parliament today about the reality of what it’s like living on the minimum wage. In response, Labour, Green and Te Pāti Māori MPs committed that they would deliver significant increases to the minimum wage when they are in government.
 
“The Government has a responsibility to ensure that all workers have enough to afford rent, pay the bills, put good food on the table, and buy their kids what they need. This is even more true during a cost-of-living crisis.
 
“How are workers meant to keep up with rising food and rent costs when the Government is cutting their wages in real terms?
 
“All workers should be paid more than the Living Wage, but at the very least, the Government must ensure that the minimum wage is enough to get by. Pushing wages backwards at a time when so many are doing it tough is simply heartless,” said Wagstaff.