Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Holidays Act harming productivity


Holidays Act harming productivity

To avert an early review of the Holidays Act which came into force on April 1st, the Employers & Manufacturers Association (Northern) is recommending Government take a realistic approach to its enforcement.

"Many businesses especially smaller enterprises don't have the capability to comply with all the Holidays Act's requirements straight away," said Alasdair Thompson, EMA's chief executive.

"It's not that they want to flout the law but many businesses are still in the dark over what they need to do because the Labour Department directives for its implementation were issued only three weeks ago.

"They are also still in a state of disbelief that the Holidays Act has overridden the law of contract applying in particular to salaried staff on employment agreements.

"Besides, though employers were promised by the Minister of Labour that the Act's objectives were to simplify this area of law, the Act turned out to be twice as long and complicated as the law it replaced.

"Smaller enterprises in particular don't necessarily have the capability to stay on top of all the extra red tape.

"Since it's sloppy introduction is bound to result in accidental non-compliance we suggest the government take a step by step approach to its enforcement.

"This approach would not compromise the integrity of the law since many aspects of it are already the butt of jokes in staff cafeterias throughout the country.

"To overcome the view that the 'law is an ass,' Government needs to explain how businesses should interpret its sillier parts.

"For instance, employers are trying to twist their minds around how to pay their salaried staff time and a half for working on public holidays when their employment agreements make no such allowance.

"Coming to terms with the fact that the government has overridden freely negotiated employment agreements is taking time.

"Companies also need guidance on how they can improve productivity to meet Government's growth objectives while being penalised for having to pay time and a half on top of productivity incentives and overtime.

"Businesses that have been generous with staff working on public holidays are finding they are now obliged by law to increase their generosity by half as much again or close down. This is no way to boost productivity, Dr Cullen.

"The effect of the Holidays Act is to increase leave entitlements by harming productivity. What it should aim to do is increase productivity from which extra leave entitlements can be negotiated between managers and their staff."

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Onetai Station: Overseas Investment Office Puts Ceol & Muir On Notice

The Overseas Investment Office (OIO) has issued a formal warning to Ceol & Muir and its owners, Argentinian brothers Rafael and Federico Grozovsky, for failing to provide complete and accurate information when they applied to buy Onetai Station in 2013. More>>

ALSO:

Tomorrow, The UN: Feds President Takes Reins At World Farming Body

Federated Farmers president Dr William Rolleston has been appointed acting president of the World Farmers’ Organisation (WFO) at a meeting in Geneva overnight. More>>

ALSO:

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news