In response to news that ACC plans to cut operational spending by 6.5%, CTU President Richard Wagstaff is calling on the Minister of Finance to prioritise the protection of essential services over irresponsible tax cuts.
“These sweeping cuts at ACC will put the health of New Zealanders at risk, demonstrating the devastating impact of the Minister of Finance’s directive for huge spending cuts across the public service,” said Wagstaff.
“Such significant cuts in operational spending will lead to job losses and less reliable services, compromising ACC’s ability to support people in need. It will now be much harder for people to access their entitlements and get the help they need to recover from injuries.
“I am very concerned for the workers at ACC whose jobs are now on the line, my thoughts are with them.
“In a desperate attempt to find the money to pay for tax cuts for wealthy landlords, this Government is undermining the essential services and workers who keep this country running.
“At a time when New Zealand’s population is growing rapidly, Government should be investing more to meet growing need, but instead the Minister of Finance is taking a slash and burn approach. It’s totally irresponsible,” said Wagstaff.
At the Maritime Union of Australia’s National Conference in Adelaide the MUA and the Maritime Union of New Zealand (MUNZ) announced a new federation bringing together the two unions in a formal arrangement to build workers’ power at ports throughout Australia and New Zealand.
Speaking at the announcement, National Secretary of the MUA Paddy Crumlin explained that a formal arrangement was the next logical step for the two unions after many decades of closely working together on workplace, safety, geopolitical and industrial challenges facing maritime workers in both countries.
“The fraternal bonds that link our two unions are some of the closest, oldest and most durable in the trade union movement, and given we are working in an increasingly globalised workplace and standing up against some of the same bosses, it makes perfect sense to expand and bolster the strength of our Unions through a formalised federation,” Crumlin said.
MUA National Secretary, Paddy Crumlin, moves the resolution to enter a new federation with MUNZ at the MUA’s National Conference in Adelaide, 2024
The Maritime Union of Australia, formed in 1993, is an amalgamation of the old Waterside Workers Federation and the Seamen’s Union of Australia. The MUA, through its predecessor Unions has been an immovable force on the Australian waterfront and around our coastline for 151 years. Likewise, in 2002, MUNZ was formed through the amalgamation of two unions, covering wharfies and seafarers, that trace their histories in New Zealand to the 19th century.
“The history of maritime industries was one of casual labour, injury and death on the job, and ruthless employers who wouldn’t cede an inch to their workers,” said Craig Harrison, the MUNZ National Secretary.
“Our members had to fight for and defend their right to secure, permanent jobs, a decent wage and safe conditions of work. We have stood together to improve the lot of working people and their communities since those early days and we now look towards an even stronger presence on the waterfront and on our ships across the Asia Pacific through this federation with the MUA,” Harrison said.
Craig Harrison, National Secretary of MUNZ, addressing the MUA National Conference in Adelaide, 2024
The expansion of global network terminal operators and the voracious appetite of big employers like Qube for swallowing up smaller stevedoring operators across New Zealand has made the federation an obvious strategic step for the two unions to take together. The Australian Federal Government’s strategic shipping fleet commitment will also deliver significant trans-Tasman capacity and new training and employment opportunities in both Australian and New Zealand for maritime workers.
“We saw during COVID, where shipping and terminal operators manipulated vital supply chains to extract maximum profit from vulnerable countries like Australia and New Zealand that are entirely dependent on global shipping,” said Mr Crumlin. “Now the same cartel forces are organising against Australian and Kiwi communities to use the sheer brute force of capital to take control of our docks. They will jack up landside prices, control schedules and freight lanes, and drive down the working conditions and wages of our members, so the strategic importance of the relationship between the two Unions cannot be overstated,” Crumlin added.
The two Unions, together, represent tens of thousands of maritime workers. The MUA, a division of the CFMEU, has branches in every state and the Northern Territory while MUNZ has ten branches across both the North and South Islands. The two unions already attend each other’s National Council meetings and work in the strongest unified way across their shared international trade union affiliations and by sharing trade union training and standing side by side in struggle and campaigning.
Together, the MUA and MUNZ, have collaborated on a number of industrial and political campaigns and established strong fraternal bonds of solidarity between the two Unions. The ‘War on the Wharves’ charity boxing tournament, held each year to raise money for charity, is a long-standing expression of this close and important relationship.
Stand Up, the youth union movement, today commemorated the Government’s 90th day in power by using its own new employment policy, the 90-day trial period, to issue Prime Minister Christopher Luxon with a termination letter outlining how his Government has failed to meet the expectations of young workers.
“We wanted make sure the Prime Minister knows that young workers won’t take these attacks lying down,” said Stand Up Co-convenor Justine Sachs.
“The reintroduction of 90-day trials to all businesses creates uncertainty for workers starting out a new job, with no real evidence that these carry the labour market benefits the Government has claimed they do.
“It’s gone from bad to worse, with the recent decision to cut the minimum wage in real terms, ensuring that those struggling to make ends meet fall further behind in a cost-of-living crisis,” said Sachs.
“The beauty of 90-day trials, according to Workplace Relations Minister Brooke van Velden back in December when reintroducing them, was their ability to help a business “find the right fit” in a worker. As young workers, we just don’t think this Government is the right fit to steer us through a cost of living and climate crisis,” said Stand Up Co-convenor, Dr Zoë Port.
“Our expectations were already low – but the reality that younger workers are now faced with is even bleaker than we imagined. We’re watching workers rights’ being stripped away, using brute force, under parliamentary urgency.
“If the Government is so confident, why not let their decisions, like the decision to reintroduce 90-day trials for all businesses, stand up to normal democratic scrutiny via select committee? I say the answer is simple – because they’re not up to the job,” said Port.
The NZ Council of Trade Unions Te Kauae Kaimahi is calling on Government to regulate greater protections for migrant workers including decoupling work visas from single employers, and for a comprehensive review into the policy settings of the Accredited Employer Work Visa (AEWV).
This follows the release of the review into Immigration New Zealand’s administration of the AEWV scheme, which found that the scheme did not work as intended and that INZ could have done more to minimise the risk of abuse. It found that “MBIE do not appear to have a methodology or approach through which they regularly are able to calibrate the extent or nature of migrant exploitation”.
“The Accredited Employer Work Visa scheme has enabled systemic and widespread exploitation of migrant workers in Aotearoa New Zealand,” said CTU President Richard Wagstaff.
“We have seen case after case of migrant workers having their human rights violated and being used as a source of cheap labour for unscrupulous employers.
“Work visas shouldn’t enable the exploitation of migrant workers. Government must ensure that migrant workers are protected. Decoupling work visas from single employers, and allowing them to work with work with other accredited firms would be a great place to start.
“There needs to be a wider review of the AEWV scheme that looks at the policy settings and the extent of the exploitation of migrant workers in those industries using the scheme, rather than just the administration of the scheme.
“Migrant workers must be afforded with the same fundamental rights and conditions as all workers in New Zealand and should be treated with the dignity and respect that they deserve,” said Wagstaff.
The Government’s plan to encourage workers at Customs to take voluntary redundancy puts at risk the vital work of the agency, facilitating a safe and smooth entry and exit through our border, supporting our exports, and keeping New Zealanders safe from organised crime and other threats.
The Public Service Association Te Pūkenga Here Tikanga Mahi, Aotearoa and E tū, two unions representing Customs workers, say the plan simply doesn’t stack up.
“We don’t believe Customs can achieve sufficient savings through voluntary redundancies without impacting the critical services Customs provides to protect our land and sea borders,” said Duane Leo, National Secretary for the Public Service Association Te Pūkenga Here Tikanga Mahi, Aotearoa.
“This plan means Customs stands to lose valuable and experienced workers who are our first line of defence against those who threaten the safety and wellbeing of New Zealanders.
“These are people helping protect our air and sea borders from dangerous illicit drugs, organised criminal gangs, and who support our importers and exporters by facilitating trade, and smoothing the passage of New Zealand and overseas travellers.
“The PSA finds it surprising that a government that wants to get tough on crime, and gangs, is now hamstringing the key organisation keeping dangerous drugs from falling into the hands of gangs through this badly thought through cost cutting plan. It makes no sense.”
E tū Director, Savage, says the plan will impact people and businesses who rely on a strong and well-functioning Customs Service.
“We should be employing more customs officers, not fewer,” Savage says.
“Customs works very closely with the Ministry of Primary Industries, Immigration New Zealand, and the Defence Force to ensure safe and secure air and seaports. From everyday Kiwis travelling overseas to our exporting industries, we all need a robust Customs Service.
“The Government seems to fail to understand that if we are to prosper as a nation and keep New Zealanders safe, then critical services, like Customs, need to be strengthened. This is another example of the consequences of taking a blunt axe to public services. A sloppy solution to an ill-defined problem. It is really more about finding money to fund tax cuts for landlords and the highest income earners.”
Duane Leo says this is just one example of the extensive attacks the Government is launching against our public services.
“New Zealanders will pay a high price for this, and Customs is just the latest in what is becoming a long line of examples of services suffering through this incoherent cost cutting exercise.”
E tū is deeply saddened by the passing of Fa’anana Efeso Collins. Our thoughts are with his family and his community as they come to terms with this shocking loss.
Efeso was a friend to E tū and the union movement. He was a Solidarity Member of E tū, and many of our members and staff got to know him well during the 2022 local election campaign, with many of his campaign activities hosted at our Auckland office.
He was a champion of the Living Wage during his time on Auckland Council. He took the time to really engage with our members, to hear their concerns, and to represent them as a community leader. Efeso spoke at our union’s most recent conference, sharing how his own experience shaped the politician he became, especially fighting for some of the most marginalised and vulnerable people in our communities.
Efeso’s work was an inspiring example of values-driven activism and leadership. We will honour his memory as we continue to fight for fairness and justice in our workplaces and wider communities.
From the E tū Komiti Pasifika:
We send heartfelt condolences, prayers and alofa to Fia, Kaperiela, and Asalemo, after the tragic passing of le afioga Fa’anana Efeso Collins MP. this is great loss for their aiga, friends, colleagues, and the many communities in Auckland, all throughout Aotearoa New Zealand, the Pacific, and beyond.
Fa’anana Efeso was a natural leader. He always fought for Pasifika workers, their families, and other marginalised groups. He was dedicated family man, community leader, and servant of God. He was honest and passionate, and an advocate on issues that many others overlooked, such as injustice for workers, racism, and discrimination. He inspired hope and promoted practical solutions for workers, helping them to rise up and demand fair treatment, justice, and equity in their workplaces. He walked the talk and was a strong supporter of just and secure workplaces where all would prosper, not just the few.
Fa’anana Efeso, your unique presence, charm, handsome smile, wit, intelligence, humour, kindness, compassion, and inspiring courage will be sorely missed. You will be fondly remembered as a genuine and true warrior for the people.
Fa’afetai tele lava mo lou Tautua. Ia Manuia lau malaga Fa’anana Efeso Collins, a great friend, brother and comrade of our union, E tū.
Ua fa’afetai Ua fa’afetai Ua malie mata e va’ai
Ua tasi lava oe Ua tasi lava oe I lo’u nei fa’amoemoe
NZCTU President Richard Wagstaff is calling on the Government to take action on poverty and the cost of living, in response to new data released today showing an increase in child poverty rates.
The number of children living in poverty increased on all the measurements undertaken by Stats NZ, disproportionately impacting Māori, Pasifika and disabled children.
“It is intolerable that a further 23,000 children are now living without the essentials to ensure a good start in life. All families deserve to have incomes that enable them to live with dignity,” said Wagstaff.
“We are deeply concerned that the data is very likely to get even worse given the Government’s welfare changes will take money from families on the lowest incomes in the country, with their own analysis showing that the changes will put an additional 11,000 children into poverty.
“Unemployment is forecast to rise, and the Government has cut the minimum wage in real terms, ditched Fair Pay Agreements, and created further employment insecurity for young people by extending 90-day trials.
“Not only are the Government taking decisions that will lower incomes, but they are also making the cost-of-living worse by cutting free prescriptions.
“We are calling on the Government to advance policies that lift people’s incomes and ensure that everyone has enough to pay the bills, feed their kids and keep them warm through winter,” said Wagstaff.
The Productivity Commission report released today on the impact that redundancy has on New Zealand workers shows the need for the protection that income insurance provides, said CTU President Richard Wagstaff.
The report, using a detailed study of Aotearoa New Zealand workers involuntarily laid off, shows only 50 per cent of displaced workers find new jobs immediately after layoff and only two-thirds find new jobs within six months.
“New Zealand workers are among those with the lowest levels of redundancy protection in the world, with protection levels just below those of Paraguay and Colombia,” said Wagstaff.
“The tripartite work to address this problem through an income insurance scheme was stopped by the new Government, despite rising unemployment and the likelihood of greater supply chain disruption in the future.
“As New Zealand deals with a challenging global economy, now should be the time to give workers more income and economic security – rather than less. Social Insurance would have given workers the security that is commonplace in successful economies overseas.
“The research also showed that the “earnings of workers who find new employment take almost three years to return to pre-layoff levels”. This backs previous findings from the OECD which showed that New Zealand workers faced a much higher wage scarring than workers elsewhere in the world.
“With the Government cancelling social insurance, bringing back 90-day trials, ending Fair Pay Agreements, and cutting the minimum wage and welfare in real terms, they seemed to determined to reduce security rather than increase it,” said Wagstaff.
The decision to not fund the purchase of new Interislander ferries shows the Minister of Finance is out of her depth, said NZCTU President Richard Wagstaff.
“The failure to adequately fund the purchase of the new ferries is an example of this Government’s short-term thinking,” Wagstaff.
“The Minister of Finance is well out of her depth. What value for money is delivered by throwing away potentially hundreds of millions of dollars in penalties to pay for breaking the contract? What value do New Zealanders get from buying used ferries that will need to be remodelled anyway to work in New Zealand?
“This is classic short-term thinking – the very opposite of responsible economic management. Not only will this decision cost us right now, but it undermines the economic and social resilience of the country. We will bear the cost of this ineptitude for decades to come.
“The Interislander ferry fleet is in dire need of replacement. The ferries experience regular technical problems, disrupting plans for hundreds of thousands of New Zealanders, and interrupting the flow of $14 billion worth of freight every year.
“These new ferries would have upgraded our ability to move that freight via rail, a capacity that will be lost under Nationals new plan. It hurts our ability to deliver on our climate goals and reduces the resilience of our already strained transport network.
“The new ferries that the Government had ordered from Hyundai would have secured this crucial transport link for decades to come and increased the flow of goods and does so with a lower emissions profile. Instead of building Aotearoa up, It is telling that this Government places little value on the key connections between our island nation.
“This kind of infrastructure is essential if we are to modernise and grow the economy over the coming years. This Government has talked a lot about getting the economy back on track, yet it is axing a vital piece of infrastructure that would deliver this.
“The Government has claimed that the upgrade will cost too much. However, previous CTU’s analysis shows that, over the lifetime of the assets, the cost of upgrading the Interislander ferries is only around $11 per New Zealander a year. By contrast, the landlord tax cuts will cost Kiwis $139 each year,” said Wagstaff.