Work-related health newsletter – September 2024

Source: Worksafe New Zealand

Kia ora koutou and welcome to the September work-related health newsletter. Check out the latest guidance to help you ensure a healthy and safe work environment for you and your workers.

In this edition:

  • WorkSafe’s priority plans published
  • Updated guidance for working with asbestos
  • New manual tasks screening and risk assessment tools
  • Keeping volunteers healthy and safe
  • Health and safety governance good practice guide
  • ACC levy consultation
  • Upcoming conference.

Read the full newsletter(external link)

GDP numbers show economic worries are real and need a solution

Source: Council of Trade Unions – CTU

Data released by Stats NZ today showed that the size of the economy fell -0.2% in the June Quarter. CTU Economist Craig Renney said “GDP in June was smaller than June 2023 – meaning no real growth in the economy for at least a year. GDP per capita has been falling since September 2022, with a steeper fall than that found during the Great Financial Crisis.”

“The fact that we are back again in economic decline should be of real concern to those in charge of the economy, and should cause a rethink. Unemployment is rising quickly. Activity in retail trade and wholesale trade has been in decline since 2022. Business investment is lower than this time last year. Building construction fell. Government investment is also falling, with spending being lower than this time last year. There is no driver of growth in the current data to lead the recovery.”
 
“With data as bad as this, there should be a plan to deliver growth. Every other country highlighted by Statistics New Zealand in its papers saw growth in June 2024. Australia, Canada, China, the European Union, Japan, UK and the US. None of these countries is proposing the kind of economic and fiscal approach currently being delivered in New Zealand. We are at risk of making the currently bad situation worse.”
 
“With jobs being lost across Aotearoa, and with falling GDP, this is the time to rethink what we are doing. Softer growth and lower interest rates will feed through to lower tax revenues, putting the governments books further at risk. Other countries are seeing growth, and we need to be building a more sustainable economy in the future. When you are in a hole you should generally stop digging. That calls for renewed investment in New Zealand – not less.”
 
“There are things the government could be doing to make sure that the economy returns to growth, and that the recovery benefits all New Zealanders. We have an energy crisis costing jobs rights now. There are building sites lying idle and workers heading overseas for work. There are stalled school rebuilding projects. Rebuilding Aotearoa now will help with the recovery and make our growth less inflationary when it returns. Its time to change economic track.”

Government should intervene to protect local manufacturing jobs

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi President Richard Wagstaff is calling on the Government to intervene and protect local manufacturing, following the announced closure of the pulp and paper mill at Penrose, Auckland, which is off the back of the recently announced closure of two mills in the Ruapehu district.

“It’s devastating that so soon after the news about the Ruapehu mills, we are now seeing another pulp and paper mill go under, and around 75 job losses,” said Wagstaff.
 
“This points to increasing market failure in a critical industry, which will have severe impacts for local communities and New Zealand’s manufacturing sector.
 
“The Government should show some leadership and intervene to protect communities from further mill closures and job losses.
 
“This Government pretends it has a plan to improve the life of kiwis, and to build our economy, but we look at the choices they are making, the reality is their inaction speaks louder than words.
 
“At a time when the country is facing economic uncertainty and rising unemployment, ministers should be doing a lot more to support local manufacturers, including by stepping up with a plan to ensure power price stability.
 
“Our thoughts are with FIRST Union and E tū members and all workers at the Penrose mill who are facing the awful prospect of losing their jobs,” said Wagstaff.

National and NZ First urged to block ACT’s anti-worker agenda

Source: Council of Trade Unions – CTU

NZCTU President Richard Wagstaff is calling on the Government to reconsider its decision to progress Brooke van Velden’s new Employment Relations Amendment Bill, which would deny workers who have been misclassified as contractors their fundamental rights.

“If this Bill proceeds, businesses will be encouraged to exploit the contractor loophole and deny workers their fundamental rights including collective bargaining, annual leave, sick leave, holiday pay, and the right to join a union,” said Wagstaff.

“Despite what the Minister is claiming, the Bill could actually make life more uncertain for employees and employers by exposing more workers.
 
“The Government seems committed to making life harder for working people. At a time when unemployment is rising, when work is becoming scarce, this is exactly the wrong path to take. 
 
“These changes are engineered for employers in the gig economy. Uber has lost in court and the Government is going to legislate so that they, and companies like them, don’t lose again. 

“It is abundantly clear who ACT is working for – not for some of the most vulnerable workers in the country, but for multinational corporations and unscrupulous employers who want to exploit workers.
 
“National and NZ First should reconsider their decisions and block this ACT policy that is a fundamental attack on worker’s rights. They could stop this tomorrow,‘ said Wagstaff. 

Millions Wasted on Treaty Principles Bill

Source: Council of Trade Unions – CTU

Calculations undertaken by the NZCTU Te Kauae Kaimahi show that the Government will have wasted millions of dollars to take the already failed Treaty Principles Bill forward.

“This Bill is already dead, yet it keeps taking investment away from bigger priorities for New Zealand. Overall, the Bill and its process is estimated to have cost $4.15m. This would pay for around 40 nurses – the same amount that Wairarapa Hospital is currently short,” said NZCTU Economist Craig Renney.
 
“This calculation is based on extremely conservative assumptions. We have assumed very limited engagement with departments, and only a tiny number of departmental staff (12 in total – not all full time) being involved in the direct production of the bill. We have not added in costs for bodies such as the Waitangi Tribunal, the Human Rights Commission, nor Crown Law. There are a range of other costs – such as parliamentary questions and support for the Governor General which have also been left out of this equation.
 
“That creates a cost of around $2m in departmental costs just to bring the bill to the House. National and NZ First have agreed that it will pass at first reading, meaning that it will have a second reading and a 6 month Select Committee process. That, plus the additional work this will mean for departments will likely require an additional $2.1m of expense. Again, this is a very conservative estimate, based upon just the Select Committee staff, holding meetings around Aotearoa, and the cost of 3 hours of parliamentary time.
 
“There are however significant savings that could be made right now to reduce these costs. Hon. David Seymour is not the controlling Minister for any of these departments. They could instead be directed by their controlling Ministers to not spend any further time or resources on this bill. It could then be voted down at the first reading. That would roughly halve the cost of the bill.
 
“Hon. David Seymour is entitled to put bills before the house. That is a perfectly proper thing for him to do in his role as an MP and as a Minister. But that doesn’t mean that he should have the resources of the state to support a process that is already dead. Nothing is preventing Mr. Seymour from talking about his bill or stopping him from exercising his free speech. But to further waste millions of dollars on this vanity exercise at the same time as 7,000 staff are being cut from public services shows a lack of leadership and the wrong priorities.
 
“These costings are likely to be a significant underestimate of the real costs of this process. External counsel is probably being retained to support departments in this work. External consultants will be engaged, and extensive consultation probably undertaken. During the six-month Select Committee process these costs will continue. Then there are the opportunity costs associated with doing work on a bill that has already been defeated. These resources could be used in areas that would deliver actual results for New Zealanders. In effect, this would likely double the impact of the direct spending cost.
 
“There is still time to save some of the costs associated with this failed bill – but only if actors such as the Prime Minister act now. This would not only save money, it would also signal to the public and to possible submitters that they shouldn’t waste their time on this process. Everyone would be financially better off, and it would reduce tensions on a very divisive subject. Hon. Seymour would still be able to progress his right to free speech and to promote his bill. Otherwise, we are likely going to waste the equivalent of feeding 7,205 children a free school meal for a year on a failed project,” said Renney.

Costings

Total Departmental Costs are based on a 31-week process to deliver a bill to the House. This includes Staff from TPK, Te Arawhiti, Treasury, Justice, and DPMC. Ministerial Services Staff and Parliamentary Counsel Office staff have been added to the timetable as appropriate. 12 staff – not all fully employed on this Bill – have been incorporated from the departments. 5 weeks for Parliamentary Counsel Office drafting have been added to the cost.
 
This work comes in two phases. The first phase is the cost of bringing the Bill to the House. This generates an estimated observable cost of around $2m. Then there are costs for the departments of supporting the Select Committee and the Second Reading of the Bill. That adds a further $875,000 of estimated costs.
 
Each department will have its overhead costs associated with the direct staff involved. We don’t have a direct cost for these, but we have taken the figure from the University of Auckland for NZ government research as a guide. This would cover costs such as office, IT, internal legal, HR, and training costs. These have been added, where appropriate, to direct labour costs in departments.
 
Parliamentary time is calculated per hour from the total remuneration costs of MPs. Figures are taken from the last MP pay update and recent reports of the on-costs for each MP. Three hours of parliamentary time has been allotted to this part of the costs (1 hour first reading, 2 hrs second reading), and overhead recovery is then applied. This meets the cost of the building, additional parliamentary staff including security, and the TV/translation services of the House. This generates an estimated cost of $435,000.
 
Finally, the Select Committee will be staffed (three direct staff, plus one independent advisor) for the 6-month process of engagement. It is assumed that the Committee will travel to 10 sites around Aotearoa, engaging with Iwi and others on the Bill. We have not calculated any MP costs in this part, only Committee Staff and travel costs associated with flights, accommodation, and room hire. Overhead recovery is added to the staffing component but not the other costs. This generates an estimated cost of $825,000.
 
Total estimated costs by component:

  • Departmental – $2.89m
  • Parliament – $435,000
  • Select Committee – $825,000

Estimated Total:

Full calculations are available on request.

Hazardous substances newsletter – September 2024

Source: Worksafe New Zealand

Our September hazardous substances update.

In this issue:

  • Consolidated safe work instruments – a new WorkSafe product
  • Improved asbestos guides now available
  • Consultation on proposed WorkSafe safe work instruments
  • Consultation on proposed restricted entry intervals for pesticides and supporting quick guide
  • New resource for emerging technology safety

Read the whole issue(external link)

Priority plans chart WorkSafe’s way forward

Source: Worksafe New Zealand

WorkSafe has published priority plans, which will bring to life its new strategy over the next two years. WorkSafe will deliver enforcement, engagement, and permitting activities across these priority areas to maximise our influence and achieve better, more equitable outcomes.

The plans cover the sectors with highest work-related harm in Aotearoa – construction, manufacturing, forestry, and agriculture. There’s also a permitting plan covering specific high-risk work such as mining, adventure activities, and some work involving hazardous substances. 

The plans guide WorkSafe’s targeted engagement and enforcement activities and are part of WorkSafe’s strategic reset. The new strategy simplifies how WorkSafe will deliver its main role, which is to influence businesses and workers to meet their health and safety responsibilities and to hold them to account if they don’t. 

The strategy acknowledges WorkSafe cannot be everywhere and emphasises the importance of collaboration. WorkSafe will continue to work with partners, including industry bodies, government agencies, iwi, and unions, to understand risk and harm, measure the impact, and refine plans over time.

Read the strategy

Read the sector plans

NZCTU slams Government for failing mill workers

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi is slamming the Government for failing to bring a plan to the table to save around 300 jobs in the Ruapehu district, following the decision of Winstone Pulp International to close the Karioi pulp mill and the Tangiwai sawmill.

“Our hearts go out to all the workers who have lost their jobs, and we stand in solidarity with them at this terribly difficult time,” said NZCTU President Richard Wagstaff.
 
“The Government had the power to keep the mill alive by creating a plan for power price stability, but they failed to deliver.
 
“This decision will be devastating for the Ruapehu district who were already dealing with high unemployment and a lack of opportunities. This is the last thing they need.
 
“Government has a responsibility to keep rural communities alive by supporting regional economic development and stepping in to show leadership when critical industries are struggling. Writing off whole communities is simply unacceptable.
 
“Local manufacturing plays an important role in our regional economies and that needs to be protected into the future. It is the role of Government to guarantee this by implementing employment, regional development and Just Transition strategies that prioritise job creation and protection in rural communities.
 
“Everyone deserves good work that is secure and pays well, regardless of where they live. This decision shows we have a long way to go to make that a reality,” said Wagstaff.

Workers gutted at “tragic” outcome for WPI’s Ruapehu mills – E tū

Source: Etu Union

E tū and FIRST Union members are devastated to learn that Winstone Pulp International (WPI) has confirmed their intention to close the Karioi pulp mill and Tangiwai sawmill despite significant last-minute efforts to keep the mills open and save around 300 jobs in the community.

Jude Sinai, a FIRST Union delegate at the Karioi pulp mill, said workers were gutted, disappointed and let down by the decision to close.

“We were hoping that the Government and wood sector would find a positive outcome and look for a way forward that’s profitable,” said Mr Sinai.

“But they didn’t come to the party and couldn’t put together a long-term strategy to lock in power prices. Whatever was offered wasn’t enough.”

“It’s sad being here today and nostalgic – some of us have been here 20, 30, 40 years. We’ve spent so long at these sites, but the end was really sudden, with only 2 weeks to prepare physically, financially and emotionally for this outcome.”

“But we have a lot of aroha for our community and want to thank everyone who supported us. They’ve been staunchly behind us, and our hearts go out to you.”

“This will have a huge ripple effect across the Ruapehu district – these jobs are a financial backbone for the region.”

“We’re the coaches, we sit on the boards of trustees, we send our kids to the local schools… without the support, it will open up a huge vacuum in the community.”

“There’s disappointment we couldn’t make a go of it, and we want to thank the community for fighting and supporting us through this anxious time,” said Daniel Abernethy, E tū delegate.

“There are some of us that call these communities home, and leaving here is the last option. I never thought the plant was going to close, I considered this to be my retirement job.”

Dennis Maga, FIRST Union General Secretary, said that WPI’s decision to close is a tragedy for workers, families, community, local iwi and hapū, and other businesses in the area.

“The decision to close the doors of the two mills follows the spike in electricity prices during August that led to the company suspending production for over a month,” said Mr Maga.

“The closure shows a Government asleep at the wheel with no care for the destruction that its previous electricity reforms have caused for workers, communities and businesses across the country.”

“As Ruapehu Mayor Kirton put it – what’s the use of Prime Minister Luxon touring Asian countries trying to get more investment into NZ when our broken electricity supply system means existing investors are closing mills and leaving the country?”

“The unions thank Mayor Kirton and other Mayors, opposition parties and Hon Shane Jones for joining the fight to keep the mills open.”

Mr Maga said that the unions will immediately start working with the company, local government and iwi and hapū to put in place a redundancy support programme for mill workers and their families.

“We will be calling on MSD and other government agencies to lift their game and provide the support needed for workers, their families and communities within the district,” said Mr Maga.

“It’s a very sad day for affected workers, and the whole community which relies on decent jobs in the area,” said Rachel Mackintosh, E tū National Secretary.

“I know our members have been heartened by the outpouring of community support – people are deeply concerned about their neighbours and the turbulent time ahead for those who will need to find other work.

“Large workplaces in rural areas are often the backbone of their communities. People living in the Ruapehu district have fought hard to protect the mills’ futures, and many will be devastated by the news today.”

Ms Mackintosh says the closure demonstrates a failure of the Government to step up.

“We need to protect local manufacturing. By leaving the industry so vulnerable to the fluctuations of the energy market, there’s a clear risk that we lose opportunities for well-paid work, and damage Aotearoa’s wider productive economy.”

“Mega profits from the partially privatised gentailers, and the lack of an effective strategy for a clean and secure energy future, are huge factors in the closures today. It’s simply not good enough for the Government to let our local industries fail like this – it’s an abdication of responsibility.”