Category: Media releases

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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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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.

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New Zealanders want publicly-owned rail ferries!

Source: Maritime Union of New Zealand

New polling released on 15 October by the Maritime Union of New Zealand (MUNZ) shows the public wants publicly owned, rail enabled ferries.

The poll was conducted by Talbot Mills over the period of 2-14 October and asked:

New ferry options

As you may be aware, in relation to the Cook Strait ferries, “rail-enabled” means freight carriages can roll onto and off of the ferry directly rather than requiring unloading and reloading onto trucks as additional handling steps on each side of Cook Strait. The efficiency gains of being “rail enabled” is thought to add 10-20% to the overall cost to the ferries/infrastructure. The government is now considering three possible options for new ferries. Which of the following options is closest to the one you would support? 

Results showed a clear public preference:

Maritime Union spokesperson Victor Billot says “This shows that New Zealanders can see the terrible mistake the Minister has made in cancelling the new rail ferries and that is only going to get more obvious as the massive costs of this fiasco, like the cancellation fee of up to a half a billion dollars, come to light.

“Rail enabled and publicly owned ferries are vital to New Zealand’s domestic freight. No rail ferries would likely mean no viable rail system, and privatising would be like putting a toll booth on the strait and sending the revenue overseas.

“Unions want rail-enabled ferries, so do logistics companies including Mainfreight, New Zealand First has just said they want them, and now it’s clear the people of New Zealand want them too. The question is why is the Finance Minister so intent on forcing New Zealanders into a bad deal that nobody wants?”

Road-bridging – the practice of taking containers from trains and transporting them onto non-rail ferries adds up to $200 per container cost and takes up to three hours more per sailing. Industry experts have noted this additional cost would price rail out of the north/south freight market.

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MEDIA RELEASE: Warnings of Wild West Of Medicinal Cannabis

Source: Family First

Warnings of Wild West Of Medicinal Cannabis

Family First is calling for caution around the use of medicinal cannabis which, when loosely regulated, can result in mental and behavioural disorders due to use of cannabinoids and psychotic episodes.

According to data obtained under the Official Information Act by Family First in August, New Zealand health authorities say that 461 patients have had a primary diagnosis of Mental and behavioural disorders due to use of cannabinoids, psychotic disorder in the last recorded 12-month period (22/23) – rising from 376 in 2019/20 – an increase of 23% over four years.

According to a recent report in Australia, “doctors are warning of a significant increase of people ending up in hospital with psychosis after being prescribed the drug. Their concerns come amid a proliferation of “single-issue” cannabis clinics setting up in Australia, some of them willing to prescribe via telehealth consultations with few checks. Brett Emmerson, Queensland chair of the Royal Australian and New Zealand’s College of Psychiatrists, says the college wants stronger regulations of medicinal cannabis products and prescribing practices.”

This is now a prospect for New Zealand, as reported in Newsroom today. Telehealth provider Dispensed which offers medical cannabis to patients through questionnaires and online appointments wants to set up shop in New Zealand.

It appears that Big Marijuana wants to sneak into New Zealand via the smokescreen of medicinal cannabis – which we always warned would happen. Combined with high-THC products, we are setting up the perfect storm of health and social problems associated with the drug.

The prescriptions for ‘medicinal’ cannabis is increasing in New Zealand, increasing from 22,506 in 2021 to 108,000 last year and 160,000 in the most recent period.

But it appears that the industry is becoming the wild west with high potency THC products being made available. During the Referendum in 2020, Patrick Gower found growers who were manufacturing a concentrated cannabis resin (dab) with an incredibly potent 81 percent tetrahydrocannabinol (THC).

Dr Marta Rychert, a senior researcher at Massey University who with co-author Associate Professor Chris Wilkins have just published NZ Medical Journal: Implementation of the Medicinal Cannabis Scheme in New Zealand: six emerging trends warn about the increasing prevalence of products high in THC, and the rise of private cannabis clinics.

Dr Rychert says “My hope is that cannabis clinicians prescribe responsibly.” But medicine should never be based on ’hoping’ that clinicians do the right thing, especially when it comes to such a controversial ‘medicine’.

Just last week, two men in Australia with mental health conditions were prescribed medical cannabis by a pharmacist who founded a medicinal cannabis company . One was hospitalised with psychosis, the other took his own life.

There are justified concerns about the prevalence of online prescriptions without adequate patient-doctor interactions. The report says that while medicinal cannabis is legal in Australia for certain conditions like severe childhood epilepsy and cancer-related vomiting, it’s often prescribed for anxiety and insomnia despite lacking evidence of effectiveness.

In 2021, the Faculty of Pain Medicine at the Australian and New Zealand College of Anaesthetists (ANZCA) said that there is no robust evidence from gold-standard studies that proves cannabinoid products effectively treast chronic non-cancer pain.

A significant study released at the time of the referendum found that “people who smoked marijuana on a daily basis were three-times more likely to be diagnosed with psychosis compared with people who never used the drug. For those who used high-potency marijuana daily, the risk jumped to nearly five-times.” By “high-potency” the researchers meant marijuana with THC content of just 10%+.

A study released in 2017 in the US and published in the journal JAMA Psychiatry found that marijuana use and marijuana use disorders – in which people use the drug in unhealthy or abusive ways – increased at a “significantly greater rate” in states with medical marijuana laws than in states without the laws.

Family First has always supported the expansion of further quality research into the components of the marijuana plant for delivery via non-smoked forms (‘medicinal cannabinoids’ products), and the establishment of a programme that allows seriously ill patients to obtain other non-smoked components of marijuana approved and listed by the Ministry of Health via their GP – but with appropriate regulation around safety and efficacy.

The Health Ministry needs to step up and ensure robust monitoring and enforcement of this new industry.
ENDS

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MEDIA RELEASE: Bill Focusing On Palliative Care Welcomed

Source: Family First

MEDIA RELEASE – Family First NZ is welcoming the Private Members Bill from NZ First MP Tanya Unkovich – ‘Improving Access to Palliative Care Bill’ – which seeks to guarantee that every New Zealander has the right to receive high-quality and compassionate palliative care whenever it is needed.

Demand for this specialist medical care will only increase significantly in the near future. Our population is ageing, and therefore the number of people requiring palliative care is forecast to increase by approximately 25% over the next 15 years and will be more than double that by 2061.

Previous Governments have made little effort to address this growing problem and to increase funding for this essential service. Some hospitals have no specialist palliative care services at all.

The NZ Herald recently reported: “A specialist paediatric palliative care (PPC) doctor says New Zealand is falling behind other nations in its care of terminally ill children and the Government must step up to help.”

The latest review of the End of Life Choice Act also highlighted that one in four applicants weren’t receiving palliative care at the time of their application for euthanasia, which may have influenced their decision.

The priority must be to improve the provision of high-quality palliative care and practical support. This should be available in all areas of New Zealand. The highest quality of pain control and palliative medicine should be given priority in medical training so that every New Zealander can benefit. This bill will help achieve that.

Patients facing death have a fundamental human right – a right to receive the very best palliative care, love and support that we can give. This is real death with dignity.

Family First is calling on all political parties to unite and ‘fast-track’ this bill, for the benefit of all New Zealanders with a terminal illness.

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Government must support workers following Smithfield closure

Source: Council of Trade Unions – CTU

NZCTU Te Kauae Kaimahi President Richard Wagstaff is calling on the Government to show leadership following the announced closure of the Smithfield meat works, and the continued loss of regional manufacturing jobs, by putting in place policies to support workers with retraining and income insurance.

“The loss of 600 jobs will be devastating for Timaru and the communities of South Canterbury, especially during a cost-of-living crisis and an economic downturn,” said Wagstaff.

“It is unacceptable that there has been absolutely no help for the affected workers even though the Government has known since last month that this was likely to happen. We have already seen this lack of support in other situations, such as Winstone pulp and paper.

“The trend we are seeing in terms of the loss of manufacturing jobs in regional communities is going to have a long-term negative impact on regional economic development and on the health and wellbeing of whānau and communities.

“Every forecast tells us that unemployment is going to rise, but nothing is being done at the government level to address it. What we are seeing is a total failure of leadership.

“The Government is happy to underwrite private building construction but will do nothing to underwrite workers incomes.

“We need to learn the lessons of the past and not throw workers on the scrap heap when the manufacturing sector is under pressure. Government has a responsibility to support workers with retraining and pathways into employment.

“It is also becoming clearer by the day just how foolish it was to scrap plans for an income insurance scheme that would have helped tide workers over until they found new work,” said Wagstaff.

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Falling Inflation Reflects a Falling Economy

Source: Council of Trade Unions – CTU

Data released by Stats NZ today showed inflation slowed to an annual rate of 2.2%, reflecting lower petrol prices and a weaker economy, said NZCTU Economist Craig Renney.

“The data shows that petrol prices fell 8% annually, and vegetable prices fell 18% annually. These reflect both softer global demand and a return to normal harvests after Cyclone Gabrielle. Prices for discretionary spending items such as furniture, electronics, or second-hand vehicles fell. This suggests weak demand and low consumer confidence, which is exactly what you would expect when unemployment is rising,” said Renney.
 
“Inflation and rising costs that can’t be avoided by households kept rising much faster than the headline rate. Electricity costs are up 7.4% a year. Rates bills rose 12% last year. Pharmaceutical products rose 17% with the reintroduction of prescription fees. Housing insurance was up 20% from last year.

“Rents were the biggest contributor to annual inflation, up 4.5%. It’s clear that the landlord tax cuts aren’t working to reduce rents. Low-income households, struggling after real terms cuts to the minimum wage this year, will still be feeling the pinch of these increases.
 
“One of the biggest drivers of the fall in inflation was the reduction in early childhood costs associated with the new family boost payment. Without that change quarterly inflation would have risen from 0.6% in September to 0.9%. Yet we know that more than half of all eligible households aren’t claiming that support – meaning that fall is unlikely to be translating into families’ pockets for many. Petrol pricing was supported by the one-off removal of the Auckland Fuel Tax, and with rising oil prices globally that fall is unlikely to be sustained.
 
“Inflation is falling right now, but low-income workers might not be feeling the benefit as inflation they can’t escape keeps rising. Lower inflation is good news if it doesn’t come at a cost of much higher unemployment, which every forecast tells us will be happening.

“With inflation now being back in the target band, the Government has no reason to not invest in making sure that unemployment doesn’t happen. Anything else is a choice,” said Renney.