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

 


Changes to Part 6A approved by Cabinet



Hon Kate Wilkinson
Minister of Labour
30 October 2012 Media Statement
Changes to Part 6A approved by Cabinet

Cabinet has agreed to further improvements to the Employment Relations Act 2000, including changes to Part 6A that deals with the cleaning, catering, orderly and laundry industries, Labour Minister Kate Wilkinson said today.

The objective of Part 6A is to provide continuity of employment for employees in specific industries when a business is restructured or sold.

“A review of Part 6A found that there were significant operational issues around transferring employees’ entitlements and information to the new employer,” Ms Wilkinson says.

“Proposed amendments will fix these issues and provide more certainty and clarity for employers while at the same time protecting key benefits for affected employees.

In addition, the review found that while larger businesses had been able to adapt better to the requirements of Part 6A, small and medium sized businesses faced greater proportional costs.

“For example, a husband and wife cleaning team who tender and win a small contract may be currently required to take on any staff doing the work under the previous contract owner.

“That’s why Cabinet has also agreed to exempt small and medium businesses – those with fewer than 20 employees – from the provisions of Part 6A where the SME is the incoming employer.”

Employees in small and medium enterprises account for approximately a quarter of those in affected industries.

Other changes agreed by Cabinet include empowering the Employment Relations Authority to declare in certain circumstances that collective bargaining has ended.

The proposed changes – including those announced in May this year – will be reflected in a new Bill to amend the Employment Relations Act 2000 that is planned for introduction to Parliament later this year.

Changes to Part 6A include:

• A requirement for the outgoing employer to forward employees’ information to the incoming employer, such as employment agreements, PAYE, wage and time or leave records.
• A process to help the employers agree how to apportion liabilities for accrued service-related entitlements of employees who are transferring.
• A requirement that employees must decide to transfer to a new employer within five working days (or a longer timeframe if agreed between the outgoing and incoming employer).
• Small and medium businesses – those with fewer than 20 employees – will be exempt from the provisions of Part 6A if they are the incoming employer.
• Additional penalties and compliance orders for non-compliance with Part 6A, and provision for litigation in the District Court.

The proposed changes to Part 6A are part of a package of measures that will extend workers’ rights to request flexible working hours and ensure a fair and flexible collective bargaining environment.

Other changes include:

• A return to the original position in the Employment Relations Act where the duty of good faith does not require the parties to conclude a collective agreement.
• Empowering the Employment Relations Authority to declare in certain circumstances that collective bargaining has ended.
• Allowing employers to opt out of multi-employer bargaining.
• Allowing for partial pay reductions in cases of partial strike action.
• Removing the 30-day rule that forces non-union members to take union terms and conditions.
• Changes around the disclosure of personal information following Employment Court judgments involving Massey University.

The Review of Part 6A: Continuity of Employment can be found at this web link: http://dol.govt.nz/er/amendments/


http://img.scoop.co.nz/media/pdfs/1210/Employment_Law_changes_Q_and_A.pdf


________________________________________


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell:
On Tomorrow’s Speeches By John Key And
Andrew Little

The Key government has already kicked off the political year on a stridently ideological note, with Environment Minister Nick Smith choosing to lay all manner of sins at the door of the Resource Management Act.

Tomorrow, the government will wheeling out its best salesman – Prime Minister John Key – to sell its plans for state housing, which happens to be another of the government’s most contentious, most ideologically-driven policy packages. Presumably, Key will be trying not to double down on the rhetoric, and thereby leave room for Labour leader Andrew Little to sound like the centrist voice of reason.

Key will have his work cut out, though. More>>

 

Transport: Auckland Looks To Light Rail

The Board of Auckland Transport has called for an investigation into a light rail network, which could relieve traffic congestion on some of the region’s busiest roads. This stems from work in 2012 (the City Centre Future Access study) which responded to a government request to develop a robust and achievable solution for access to the CBD. More>>

ALSO:

RMA: Smith's Claims Don't Match Evidence - Greens

The Motu group’s research into the impacts of planning rules looked at the costs related to housing development but not the benefits of environmental protections and does not recommend significant changes to the RMA to reduce the cost of new house builds. More>>

ALSO:

Gordon Campbell: On The Similarities Between John Key And David Cameron

For years now, David Cameron has been the closest available thing to a mentor/analogue to our Prime Minister, such that Key watchers could be interested in an analysis of Cameron that appeared in the British press over the Christmas break. More>>

Gordon Campbell: On Ian Fletcher Resignation & GCSB’s New Role

It may well be that after being shoulder-tapped in Queensland for the GCSB job, three years of living in Wellington has been enough for Fletcher and his family, given that the pending review of the GCSB would have required an even longer commitment from him. Three years of Wellington’s weather is enough for anyone... More>>

ALSO:

Ian Apperley: $10m Or $100m For New Wellington Council IT System?

I feel a Tui Billboard coming on. I commented the other day that it looked like the Council’s Ninth big project was a potential $100 million plus... The Mayor has responded: “I am reassured by the Chief Executive and by Anthony Wilson that the proposed budget is in the region of $10 million.” More>>

ALSO:

Southern Ocean:
Navy Intercepts Illegal Fishing Vessels

Foreign Minister Murray McCully today put illegal fishing vessels operating in the Southern Ocean on notice and vowed to take action against their owners. “As part of a multi-agency operation, the HMNZS WELLINGTON has intercepted two vessels claiming to be flagged to Equatorial Guinea, fishing illegally in the Southern Ocean.” Mr McCully says. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news