Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Coalition Govt launches its 'jobs machine'

Media release and Q& A

News release

Tuesday, 29 February 2000

Coalition Govt launches its 'jobs machine'
Underway inside the first hundred days

Pre-election commitments of the Alliance and Labour to create jobs through a partnership approach to economic development were set in motion today.

The Ministry of Commerce is to be transformed immediately into the Ministry for Economic Development headed by Deputy Prime Minister Jim Anderton. Industry New Zealand will be set up and functioning by mid-year as a model Crown entity to enter partnerships with local government and the private sector at national, regional and local levels.

"The era of 'hands-off' is over. The era of partnership has begun," Jim Anderton said.

"The Government will work with the private sector, local authorities, Maori economic entities and community groups to meet economic, environmental and social needs at national, regional and local levels," Jim Anderton said.

"We need stronger and steadier growth, more jobs and new environmentally sustainable high-technology industries ? especially in regional areas.

"Both the Alliance and Labour placed a heavy emphasis on a partnership-based approach to economic development. Our aim is to reduce unemployment, boost skills to ensure New Zealand generates high-quality jobs, reduce the current account deficit and close the gaps between Maori and pakeha, between rich and poor and between regional areas."

Jim Anderton said the Government was taking an innovative approach which would be inclusive of local community needs and aspirations.

"Industry New Zealand will be a model Crown entity. The law will be changed to set it up under its own board, but clearly accountable to the people and the Government they elected.

"The transformation of the Ministry of Commerce into the Ministry of Economic Development is the lowest-cost way to ensure that we expand the public sector's ability to provide a new dimension of developmental economic policy advice and direction. We are not going to waste time or money re-inventing a whole new Department. The new Ministry of Economic Development will continue to provide service to six different Ministers.

"We're setting up a jobs machine. The test of our success will be our achievements in creating new jobs, developing new industries and reversing the cycle of decline in regional areas of New Zealand."

ENDS

Question and answers

Ministry of Economic Development

Questions and Answers

When will the Ministry of Economic Development and Industry New Zealand be set up?

The Ministry of Commerce will start using the name "Ministry of Economic Development" immediately.

Industry New Zealand will be established under new legislation by the middle of the year.

What will the Ministry of Economic Development do?

In addition to the responsibilities currently performed by the Ministry of Commerce, the Ministry of Economic Development will provide policy advice and direction in industry and regional development and on other matters relevant to economic development. Its capabilities will be expanded to meet its new responsibilities.

The Economic Development portfolio will have an over-arching role in economic development strategy, aligning individual policies with an economic development strategy and assessing the contribution new policies could make in assisting economic development.

What will Industry New Zealand do?

Industry New Zealand will deliver industry and regional development programmes. Its brief will be to work in partnership with the private sector, local authorities, Maori economic entities and community groups to meet economic, environmental and social needs at national, regional and local levels.

Who will run them?

The Secretary of Commerce Paul Carpinter will retain that title for the time being as well as becoming the Chief Executive of the Ministry of Economic Development. Deputy Prime Minister Jim Anderton will become the Responsible Minister.

Hon Pete Hodgson, Hon Phillida Bunkle and Hon Parekura Horomia are all Associate Ministers of Economic Development and John Wright is the Parliamentary Undersecretary for Economic Development.

At the moment, Commerce reports to six different Ministers. As the new Ministry of Economic Development it will continue to report to those Ministers for the same policy issues. For example, the Ministry will continue to report to Commerce Minister Hon Paul Swain on commerce issues.

Industry New Zealand will be run by a Board drawn primarily, though not exclusively, from the private sector. It will be a Crown entity. Its legislation will ensure that its programmes are delivered efficiently and effectively and that it is accountable to the public through the Minister for Economic Development. Its policy will be determined by the Ministry of Economic Development and while the Board and the CEO of Industry New Zealand will have operational independence, the Minister will have authority to give directions to the Board. The Board will report to the Minister for Economic Development.

The Board and a new Chief Executive of Industry New Zealand will be appointed swiftly.

Will there be job losses?

The capacity of the ministry will be expanded to fulfil its new functions. The policy role of some people will change. Some staff may transfer across to Industry New Zealand.

What will this cost?

Detailed budgets have not yet been completed, but the coalition Government will be providing new investment of over $100 million each year in its Economic, Industry and Regional Development portfolios. The transformation of the Ministry of Commerce into the Ministry of Economic Development is the lowest cost option. For example, Commerce only keeps about six weeks of letterhead. Its existing stock will be run out while new stock is developed.

Preliminary policy advice and support to design and implement the new arrangements will be funded through Vote Business Development.

The Government will not fund a substantial re-branding exercise.

Industry New Zealand will be allocated funding in the Government's 2000 Budget.

The Government currently spends more than $200 million a year on business development and support, of which $15.7 million comes under Business Development.

Why change the name of the Ministry of Commerce?

The Ministry is undergoing more than a name change. It will provide a new dimension of developmental economic policy advice and direction. It will have a new, over-arching role in advising on Government policy across a range of ministerial portfolios so that policy works in an integrated, coherent way. It will provide advice to the Minister for Economic Development, Cabinet and to government agencies responsible for implementing economic development strategies.

Where will the new Ministry be based?

In the existing Ministry of Commerce building.


ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Peters/Ardern Triumph

There are a lot of good reasons to feel joyful about this outcome. It is what so many young voters – the best hope for the country’s future – wanted.

Far more important than the implications for the Economy Gods ( is the dollar up or down? ) last night’s outcome will also mean many, many vulnerable New Zealanders will have a better life over the next three years at least.

Yet the desire for change was in the majority, across the country..>>>More


Reaction

Labour on its agreement |Peters: Post-Election Announcement Speech | Greenpeace “cautiously hopeful” about new Government | ACT - Madman on the loose | E tū ecstatic | Chamber welcomes the outcome | Greens on their joining Govt | EDS welcomes new govt | Immigrant groups worry | Feds ready to engage new coalition government | Labour Ministers of the Crown announced

 

Climate: Increasing Greenhouse Emissions Hit NZ

New Zealand is seeing impacts of excess greenhouse gas emissions in our climate and oceans, according to the latest national report from the Ministry for the Environment and Stats NZ about the state of the atmosphere and climate…More>>

ALSO:


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>

ALSO:

Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>

ALSO:

Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>

ALSO:

Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>

ALSO:

Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>

ALSO:

Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election