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Government policy updates
Michelle Sands : HortNZ policy and risk manager
Income Insurance Proposal
The Income Insurance scheme proposed by the Government would support some workers with 80 percent of their income for up to seven months if they lose their job through no fault of their own. The scheme would also support some workers whose ability to work has been affected by a health condition or disability.
Horticulture New Zealand considers the scheme unfair because it would require compulsory contributions from horticultural workers, but many horticultural workers would never be eligible to receive payments under the scheme.
HortNZ submitted on the proposal in April 2022. The key issues raised in our submission were: • The proposal is unfair for people who work on shortterm contracts. • The proposal is unfair for industries that offer employment to those starting off in or re-entering the workforce. • The proposal is unfair for industries that employ migrant labour. HortNZ suggested several changes to address these issues and is meeting with the Ministry of Business, Innovation and Employment (MBIE) to provide more input.
Fair Pay Agreements Bill
The Fair Pay Agreements Bill would provide a framework for collective bargaining for fair pay agreements across entire industries or occupations, rather than just between unions and particular employers. HortNZ submitted on the Bill in May 2022, then presented evidence at the Select Committee in June 2022.
Key issues raised in our submission were:
The proposal is disproportionate compared with its proposed benefits.
The diversity of crops in the horticulture sector means the proposal seems unlikely to be workable.
We do not agree with the criteria for the public interest.
The criteria include migrant labour and seasonal labour, and we do not consider these factors are of themselves an indicator of a labour market problem.
We dispute the claim that increased labour costs would drive more investment in technology. Investment in technology is occurring, but for many roles there are no viable alternatives to human labour.
Modern Slavery and Worker Exploitation Legislation
The proposal would create new responsibilities across the operations and supply chains of all types of organisations in New Zealand, with more responsibilities for larger organisations. Under the proposal: • All organisations would be required to take action if they become aware of modern slavery or worker exploitation. • Medium and large organisations would be required to disclose the steps they are taking. • Large organisations and those with control over
New Zealand employers would be required to undertake due diligence. HortNZ submitted on the Bill in June 2022.
The key issues raised in our submission were: • HortNZ broadly supports the proposal. • We sought better alignment with Australian and
United Kingdom legislation. • We seek regulatory equivalence for Good Agricultural
Practice (GAP) to enable growers to demonstrate that they meet the requirements through the use of GAP add-ons such as GlobalG.A.P. GRASP and NZGAP Social
Practice and the contractor standard.