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Business sector unhappy with Labour's policy

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Wed, 19 Oct 2011 5:29a.m.

Labour released its policy on Tuesday, promising to repeal the 90-day probation law

Labour released its policy on Tuesday, promising to repeal the 90-day probation law

Labour's work and wages policy would take New Zealand back to the strike-ridden days of the 1970s and make industries less competitive, the business sector says.

BusinessNZ chief executive Phil O'Reilly says it would be bad for everyone - employees, employers and communities.

Labour released its policy on Tuesday, promising to repeal the 90-day probation law, raise the minimum wage to $15 an hour and allow industry-wide agreements to be negotiated.

Mr O'Reilly says it would mean central bargaining agents setting pay rates for entire industries.

"That's not much different from national awards which in the 1970s and 1980s were responsible for the highest number of strikes ever recorded in New Zealand," he says.

"A minimum wage that would make it harder for employers to offer jobs and repealing the sensible and popular 90-day trial policy are inconsistent with the modern workplace."

The ACT Party says Labour's policy would cost jobs and hurt the people it claimed to be trying to help.

"Labour just doesn't get it - the more something costs, the less people buy," says leader Don Brash.

"Creating more restrictions to employment laws and raising the minimum wage will see employers hire fewer staff."

NZN

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Comments

10 Nov 2011 02:41p.m.

Sean wrote:

Also you both don't seam to see how the loss of jobs in NZ has effected our economy, what ever happend to NZ Made, that right we sold it to China! its largely due to manufacturing wanting to make more in the bottom line that they all going to China, where we then have to buy crap goods back off them, we no longer make things like leather here, we skin our animals and send it to china to be processed then buy it back, your system does not work people.

10 Nov 2011 02:29p.m.

Sean wrote:

I am amazed at cherie and katrina's views on this point, i have been doing my best to get work for some time now, i was a self employed contractor, as a result i have seen my wages go up but mainly down in the last year. I am now looking to make money else where as the industry i worked in has just fallen apart due to the economic and bad management of the national government. Big business is the problem, they are the ones taking all the money for the top pay rates, why not balance them out a bit and put the dollars in the hands of those who need to pay there day to day bills and keep there lives afloat, when a person in management fires staff but gives themselves a $5mil bonus something is wrong there, this is what has happened with our government to, they gave themselves a pay rise and now want to reduce the government employees, the system is F*#kd up, if you had more customers coming through your doors, would you not be better off, well the only way to do that is to give the money to more people not the few at the top of the economy. look at the numbers and think how an economy works. i agree with Clarke, its the workers that make the money for a company, not a high paid owner taking the profits home.

20 Oct 2011 10:51p.m.

katrina wrote:

Which word are you referring to Clarke?

20 Oct 2011 08:05p.m.

Clarke wrote:

@Wiseacre, yes I was looking for the perfect word to describe what cherie and katrina do. Thanks ;)

20 Oct 2011 11:06a.m.

cherie wrote:

@Katrina You wouldnt have to end it all. Thanks to common sense National bought in the 90 day law and he could be on his way day 1. Perhaps that is what happens to him and why he is so bitter and twisted

20 Oct 2011 07:46a.m.

Wiseacre wrote:

The modern world of competitive trade has left the worker behind. Productivity & profits have risen off the blood, sweat & tears of the worker, and none of it has trickled back down. Since the Employment Contracts Act, all the power has been with the employer to dictate terms. This has given us poverty wages and no security. Workers have become nothing more than a resource to be exploited. A strong economy needs to let EMPLOYEES prosper. The wage squeezes of the last 20 years have sucked demand out of the economy, creating a consumer society without the capacity to consume. Put money in the hands of the many & it means there’s money to spend and grow businesses. Leave money in the hands of a few business owners, and there’s no-one to buy their goods & services. Having to pay decent wages provides incentive for employers to improve productivity; low wages don't. The National Party and employer groups like to harp on about how wages can't increase unless productivity does; unfortunately, it seems they'd prefer to just bitch about it, and fight to keep wages low, rather than do anything about it. If employers won't come to the party & invest in their workers, make them!

19 Oct 2011 08:31p.m.

katrina wrote:

Clarke as I have told you before, But you seem stuck on the same track so I will repeat. I am not part of any corporate- I do not employ people any more as the margins these days are so reduced I barely make a living for myself. You daily speech bashing companies and employers is getting monotonous and boring and it is no wonder you are unemployed/unemployable, as if you were my employee I would want to kill myself.

19 Oct 2011 06:15p.m.

David wrote:

I have had time to evaluate Labours policy. It actually makes sence and may aid in curbing the exodis skilled workers going overseas where they are commanding a greater salary.

It may also reduce strikes and gives certainty in that both the employor and employee know where they stand.

I give it the thumbs up.

19 Oct 2011 05:21p.m.

Clarke wrote:

I'm as old as you cherie I remember the warfies, I remember the rail workers... but workers are entitled to fight for imrpoved working conditions. If it inconvniences you.... thats when you seem to have an issue with it. Which just makes you a little self centred... most strikes in history had a cause... most of the causes were valid... just because you didnt like it, just because it inconvenienced you, doesnt make it wrong.. and too you employees should now have no rights. Grow up cherie, under National employees have suffered more hostile employment laws forced on them because of individual and corporate greed.

19 Oct 2011 04:53p.m.

Ricardo wrote:

Labour doesn't even want you working, they want you on welfare where they can really control you. Think about it.