Category: Employment Issues

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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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New report exposes a care sector in crisis – E tū

Source: Etu Union

E tū, the union for care and support workers, is releasing a new report into the state of the care and support industry in Aotearoa New Zealand.

The Transforming Care report lays out the many problems in the industry, including in residential aged care, home support, disability support, and mental health and addiction support.

The report tells the story of workers with their own voices, including a series of in-depth personal interviews with E tū members, the results of a survey of care and support workers, and support from various stakeholders across the community.

The report was compiled with the help of Dame Judy McGregor, who as first Equal Employment Opportunities Commissioner, released the 2012 Caring Counts report, a result of the inquiry into the equal employment opportunity issues in the aged care workforce. Caring Counts was a significant part of the evidence base that lead to the historic equal pay settlement in 2017.

The report will be presented to a government representative by care and support workers, as well as their community supporters.

E tū Assistant National Secretary, Annie Newman, says we have a real crisis in care and support, which needs urgent attention.

“Our report, and our wider Transforming Care campaign, has a focus on three core pillars – the value of care, the standard of care, and the funding of care.

“Workers need to be properly valued, especially through their pay, for their essential work. They need decent conditions to work in, with decent training and the right number of staff to do the work safely. The funding model needs a total overhaul so the interests of carers, those they care for, and their communities are taken into account.

“We know that we can only solve these problems with the input of our whole community, and we are thrilled to have the support of individuals and organisations that share our concerns and are eager to work together for real transformation.”

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Sistema proposes sacking over 100 workers – E tū

Source: Etu Union

Workers at Sistema’s Auckland plant are gutted to learn the company intends to cut their 407-strong workforce to 305, meaning 102 people will lose their jobs.

The plastics manufacturer, which produces popular plastic storage products for both domestic and international markets, says the proposal is the result of declining sales and increasing costs.

Ma Roberts, a Sistema worker and E tū Industry Convenor for Manufacturing and Food, says the news is hard to take.

“We’ve known about this possibility for a while, but for many it still seems like a real surprise,” Ma says.

“Work has been slowing down since last year, and we know the production costs have risen for the company. But people rely on this work to get by, and for many workers this job is the best opportunity they have.”

Ma says the workforce is experiencing a sense of dread about the future.

“Many workers have English as a second language and are worried they could have trouble finding new work. We have older workers too, who could struggle. There is a lot of fear around what is to come.

“It is especially hard this close to Christmas, which is a stressful and expensive time for many people. Employees have seen that work has been quiet for a long time now, so it’s a disappointment that this is being brought up right before Christmas when families are under pressure.

“The company has offered voluntary redundancy which is good, but we will need a fair and transparent process to figure out who gets to keep their job, and those who don’t will need as much support from the company as possible.”

E tū Director Georgie Dansey says she understands the position the company is in, but stresses that the company can do a lot to help support the workers who will lose their jobs.

“As we begin consultation around this proposal, the immediate and longer-term interests of affected workers must be front and centre,” Georgie says.

“There are promising early signs that E tū can work with the company to support the workers. For example, they are offering a paid four-week notice period without a requirement to work, and an extra four weeks’ pay after that. This will certainly help people who have lost their jobs to get back on their feet.

“However, we know there is a lot more companies can do in this situation. We’d like to see support for training and skills development, for example help with developing numeracy and literacy to give workers a better shot in the job market.

“This is what a Just Transition is all about – ensuring the effects of industry pressures do not fall unfairly on the shoulders of the people doing the work.”

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Storeman killed in racking collapse

Source: Worksafe New Zealand

Nine tonnes of badly loaded steel fell and killed a Christchurch man, in what WorkSafe New Zealand says is a stark warning to any business that uses storage racks or shelving as part of its operations.

33-year-old Franchesco Krueger was sweeping underneath racking, when it collapsed on him at United Steel in Wigram in November 2020.

A WorkSafe investigation found glaring safety gaps, with the racking not cross-braced or bolted to the floor for stability. The business did not conduct regular and effective safety inspections, and investigators also found the rack design had no professional engineering input.

United Steel has now been sentenced for the health and safety failures that contributed to the death of its storeman.

“This is a tragic incident that should never have occurred, if United Steel had managed its risks,” says WorkSafe’s area investigation manager, Steve Kelly.

International best practice guidance exists on the safe racking of steel products, and WorkSafe also has information on working safely with pallet racking systems.

“A professional engineer or a similarly qualified expert is best to advise on any commercial or industrial racking bigger than what you have at home in the garage. Shelving should be fit for purpose and stable fixings in an industrial setting like this are a must.”

“Businesses should conduct regular inspections to enable early detection of damage, missing parts, or improper installation which can help avoid a catastrophic collapse. WorkSafe also recommends all racking systems have clear signage showing the maximum weight that can be safely held, and any specified load configurations to avoid overloading,” says Steve Kelly.

Businesses must manage their risks and where they don’t WorkSafe will take action. This is part of our role to influence businesses to meet their responsibilities and keep people healthy and safe.

Manufacturing is one of New Zealand’s most dangerous sectors, which is why it’s a focus of WorkSafe’s new strategy. Our priority plan for the sector targets metal fabrication as a specific source of high harm. WorkSafe’s targeted frontline activities  in manufacturing will be increasing as there are opportunities to significantly improve health and safety performance, reduce acute and chronic harm, and address inequities.

Read our guidance on working safely with pallet racking systems

Background

  • United Steel was sentenced at Christchurch District Court on 1 November 2024.
  • A fine of $330,000 was imposed, and emotional harm reparations of $100,000 ordered
  • United Steel was charged under sections 36(1), 48(1) and (2)(c) of the Health and Safety at Work Act 2015
    • Being a PCBU having a duty to ensure, so far as is reasonably practicable, that the health and safety of workers who work for the PCBU, including Franchesco Krueger, is not put at risk while they are at work in the business or undertaking, namely the storage and distribution of steel, at USL’s premises at 22 McAlpine Road, Wigram, Christchurch, did fail to comply with that duty, and that failure exposed Franchesco Krueger to a risk of death or serious injury.
  • The maximum penalty is a fine not exceeding $1.5 million.
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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.

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Government science cuts take New Zealand even further backward

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi President Richard Wagstaff is deeply concerned about the future of investment in science, following the latest announcement of another 60 jobs cuts at Environmental Science and Research (ESR). The Government has now axed more than 500 jobs in the public science sector.

“The Government doesn’t seem to believe in the value of science and isn’t interested in making the investment required. Instead, it is taking us backwards and slashing funding in favour of tax cuts for landlords and tobacco companies,” said Wagstaff.
 
“We should be increasing investment in science and properly funding Crown Research Institutes (CRIs) and universities. New Zealand is only spending about half the OECD average on science and research and development (R&D) already.
 
“It’s well known that countries that invest a higher proportion of GDP directly in R&D (both private and public) see greater returns economically, socially and environmentally.
 
“The decision to make these cuts has been made even though the report of the Science System Advisory Group report is due out shortly, which demonstrates the lack of commitment there is to listen to the evidence on the importance of science investment.
 
‘The Government talks about the need to tackle our poor productivity performance, and the need for a longer-term plan to arrest our decline, but their actions continue to take us in the opposite direction.
 
“It’s time we had a serious conversation about science, and we urgently need a government that is prepared to have that conversation and not just bury it’s head in the sand,” said Wagstaff.
 
Note:
The CTU and several affiliated unions are member organisations of the Save Science Coalition. The Save Science Coalition released a report in July this year about the cuts to science funding and staffing so far, which can be found here. The group is now working on an update to this report, to account for the ongoing cuts we are seeing at GNS, ESR and elsewhere. The report will contain more detailed numbers and information and is expected to be released before the end of the year.

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Monthly Employment Data shows weakness in economy

Source: Council of Trade Unions – CTU

Monthly employment data released today by Statistics New Zealand showed our continuing labour market weakness, and particularly challenging conditions for young working people, said NZCTU Te Kauae Kaimahi Economist Craig Renney.

“There are 21,000 fewer filled jobs than this time last year, and the fall has been led by those starting out in work. There are 25,000 fewer jobs being filled by people aged 15-24 than a year ago. This data shows that right now, it’s a hard place to find work for young people.”

“On an annual basis, weakness in the labour market was particularly evident in Auckland (down 10,500 filled jobs) and Wellington (down 3,000). The number of filled jobs fell 2% in Southland, 1.7% in Taranaki, and 1.1% in Manawatū-Whanganui. This data won’t yet reflect the significant layoffs in places like the Smithfields Timaru site or Winstone Pulp International in Ruapehu.”

“Annually, construction seems to be the most adversely affected sector, with a loss of more than 10,000 filled jobs. Accommodation and food services have 7,000 fewer filled jobs, and manufacturing sees nearly 6,000 fewer filled jobs. Administration and support services sees 7,000 fewer filled jobs. Private sector employers seem to be losing staff quickly in this labour market.”

Renney said, “The pressure is also applying to earnings. Annually, accrued earnings rose 0.8%, the slowest September rate since this series began in 2019. Here, unemployment is forecast to rise further to 5.5% in the near future, while job growth in the US and the UK is ahead of forecasts, and Australia put on an additional 47,500 jobs last month.”  

“This data shows that the labour market needs a plan, one that focusses on helping people into good, long-term work. Yet the government is doing the opposite – making work more insecure, taking away essential investment, and it has no employment plan, except more sanctions. There are things we could be doing to manage the pain being felt for working people right now. But the government is choosing not to deliver them.”

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Trench collapse under investigation

Source: Worksafe New Zealand

A WorkSafe investigation is underway into a trench collapse in the Auckland suburb of Meadowbank this afternoon.

One person was seriously injured and another received moderate injuries at the site on Rutherford Terrace.

“It is far too early to determine what went wrong here. Our investigation is in its very early stages and the specifics will become clearer with time,” says WorkSafe’s investigation manager, Danielle Henry.

“Excavation failures are particularly dangerous because they can occur quickly, limiting the ability of workers to escape, especially if the collapse is extensive.”

Anyone digging such a trench should be aware of the possibility of collapse and should take proper precautions. These include:

  • Seeking a geotechnical assessment of the site to check soil stability as part of scoping and planning works
  • Shoring, benching, or battering back dirt to prevent collapse. Do not assume ground will stand unsupported.
  • Ensuring safe access to get in and out of a trench
  • Barriers strong enough to not collapse if people or materials fall against them
  • Check the excavation each day before starting work and after any event that may affect its stability.

Read more about excavation safety

Read about a trench collapse case sentenced earlier this year

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NZCTU alarmed at further cuts to WorkSafe

Source: Council of Trade Unions – CTU

WorkSafe’s announcement that it is planning even further restructuring and cuts just months after losing 15% of its staff has alarmed the NZCTU Te Kauae Kaimahi.

“Our health and safety regulator is a critical component of our health and safety system, and we know it already has an undercooked capacity to deliver on its role,” said NZCTU President Richard Wagstaff.

“Taking more people out to save money to pay for tax cuts is short-term thinking that will have long term consequences for the health and safety of New Zealand workers.

“WorkSafe is now set up to fail. They have stripped down the organisation to its bare bones, throwing whatever they can to the so called ‘front line’ inspectorate, knowing full well that without a well-resourced support function, the inspectorate will be less effective. 

“Everyone in New Zealand has the right to expect a safe workplace and to be able to come home safely to their family at the end of the day. Sadly, these cuts will mean more workers will be at-risk.

“This announcement is all smoke and mirrors. The fact remains that WorkSafe, remains well short of the numbers of inspectors the agency once had when it was created in 2013. At that time, we had 8.4 inspectors per 100 thousand workers (similar to Australia) and now it has been run down to 6.3 – a level we last saw when the Pike River disaster occurred.

“Compounding this problem is the lack of support, and the expectation in this latest proposal for inspectors to pick up more administrative and other functions on top of their day job. This makes a mockery of the claims to move resources to the front line.

“These proposals signal a further shift away from protecting workers from risks to their health and safety and towards a focus to responding to harm. WorkSafe has had to shrink away from its proper role to fit the budget.

“Our health and safety system relies on an effective regulator. This latest announcement demonstrates yet again that health and safety is just not a priority for the Government,” said Wagstaff.

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Workers demonstrate strength of union power

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi is celebrating a strong turnout of workers across the country who stood together in opposition to the Government’s anti-worker agenda, with more than 10,000 working people attending hui from Whangārei to Invercargill.

“Today workers from a wide range of sectors and industries came together and demonstrated the strength of union power. Workers told the Government that they are sick and tired of the total disregard for their livelihoods,” said NZCTU President Richard Wagstaff.
 
“It is galling to hear Brooke van Velden try and claim today the coalition is great for working people, when she is overseeing a series of policies that erode hard fought for worker’s rights, and refuses to even meet with unions.
 
“Actions speak louder than words. That’s why we know that this coalition government is in the pockets of the rich and corporate interests and doesn’t care about working people.
 
“We are proud of our movement for uniting together and sending this Government a strong message that will not back down and let them get away with their anti-worker and anti-Te Tiriti agenda.
 
“When unions and working people unite and use our collective strength, we bring people together and transform society for the better. We have a proud history of creating change, even in the toughest circumstances.
 
“We will continue to fight for good work, livable incomes, well-funded public services, health and safety at work, and the rights of kaimahi Māori,” said Wagstaff.