News Roundup

HR Trends Survey

Conducted by HRNZ’s Academic Branch, the inaugural HR Trends Survey was conducted for the first time in quarter 4, 2021. This survey will be carried out annually to provide a longitudinal study of HR issues and trends in Aotearoa, New Zealand.

With input from 178 respondents located across the country, representing businesses (60 per cent), the public sector (25 per cent) and not-for-profit organisations (15 per cent), this first survey has given an excellent insight into the matters front of mind for HR professionals in 2021.

Workforce recruitment and retention were among the highest issues for HRNZ members in 2021, with employee wellbeing, management development and workforce training also featuring highly.

Related to this, respondents shared the growing emphasis on ‘resiliency and ability to adapt, operate in a changing environment’ and on managers having ‘soft skills – adapting to the workforce of today, dealing with issues and having the important conversations be they positive or negative’.

These insights provide a great starting point for conversations with senior leaders within the organisations we serve, as the profession continues to move away from its traditional role as compliance and process managers to people enablers and organisation developers.

The full survey results can be downloaded here.

Consultation begins on income insurance scheme

The government, Business NZ and New Zealand Council of Trade Unions announced a proposal in February of a New Zealand income insurance scheme, to help support New Zealanders who are made redundant or have to stop working because of a health condition or disability.

The proposed scheme will support workers with 80 per cent of their income for up to seven months if they lose their job through no fault of their own. Like ACC for accidents, the scheme would be funded by levies on wages and salaries, with both workers and employers contributing.

It is estimated the levy would be 1.39 per cent each for workers and employers.

Administered by ACC, broad coverage would be available for different working arrangements and would include an option to extend support for up to 12 months for training and rehabilitation.

A consultation process has started, because the government, BusinessNZ and New Zealand Council of Trade Unions are keen to hear from businesses, workers and the self-employed on these proposals. Submissions close on 26 April 2022.

For more information, or to make a submission, go to the Ministry of Business, Innovation and Employment website.

Border to reopen in stages

With a gradual reopening of New Zealand’s border this year, businesses can see the light at the end of the tunnel, following clarity from the government on when New Zealand’s border will reopen and for whom.

The border has reopened to vaccinated New Zealanders from Australia on 2 March 2022 and will reopen to vaccinated

New Zealanders from anywhere in the world from 13 March 2022. From October 2022, all visa categories will reopen, including visitor and student visas.

MIQ will be removed for most travellers in a phased reconnection, being replaced by self-isolation and tests on arrival. MIQ will remain in place for the unvaccinated.

The five-step plan, announced by COVID-19 Response Minister Chris Hipkins and Immigration Minister Kris Faafoi, brings forward the reopening of key visa categories to address worker shortages.

For more details on this five-step plan, please go to page 32 for Rachael Mason’s Immigration Law Update.

Māori recognised as telecoms sector

A recognising Māori interests in telecommunications, was signed in February. This agreement, designed in partnership with the Māori Spectrum Working Group, is an opportunity to build Māori capability in this growing sector.

Minister for Māori Development Willie Jackson says this agreement is a fantastic opportunity not just for Māori but the whole of Aotearoa, New Zealand.

“This is a great stepping-stone for Māori and the Crown to reach an enduring agreement which recognises Māori interests in this kaupapa. I am delighted we are moving forward on this, and with an inclusive approach, to create greater opportunity for all New Zealanders,” Willie Jackson said.

To carry out the commitments in this agreement, a permanent Māori Spectrum entity will be established. Further information will be made available later this year.

Increase in minimum wage from 1 April

From 1 April this year, the minimum wage will increase by $1.20, 6 per cent, bringing it to $21.20 per hour.

Workplace Relations and Safety Minister Michael Wood confirmed the increase in February, saying it would positively affect about 300,000 workers. “For someone working a 40-hour week on the minimum wage, this increase will see them earning an extra $48 a week, and almost $2,500 more each year,” he said.

The starting-out and training minimum wage will also increase from $16 to $16.96 per hour. This comes after inflation hit its highest level in 30 years, and unemployment was at a record low of 2.3 per cent for the three months ending December 2021.

In September, the Living Wage increased to $22.75.

The New Zealand Council of Trade Unions President Richard Wagstaff said unions had hoped for more. While BusinessNZ Chief Executive Kirk Hope said businesses were under extreme pressure from rising costs, and they had little time to get ready for “a big increase to the minimum wage, at very short notice”.