Competitive ACC Good For State Enterprises Too
EMA Central chief executive Paul Winter says the irony of ACC costs released yesterday is very apparent to Wellington businesses.
Statistics NZ's Labour Cost Index for the June 2000 quarter shows that workplace accident insurance costs fell 22% from the June 1999 quarter to the June 2000 quarter - the period when ACC was deregulated.
Mr Winter says private sector businesses knew that competition in ACC would result in lower premiums, but there is irony in the fact that government agencies benefited even more than the private sector from the short-lived reform.
The public sector enjoyed a 34% reduction in costs compared with 19% for private businesses.
"EMA Central, serving the greater Wellington region, has the country's largest proportion of public to private enterprises, so our members are well aware of the fact that the competitive ACC market benefited everyone," Mr Winter said.
"Competition in ACC, while good for private enterprise, delivered the greatest benefits to the state sector."
Contact: Paul Winter 47099238 or 025514258