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CTU Welcomes Plan from Government

CTU Welcomes Plan from Government

The Council of Trade Unions today has welcomed announcements by the Government on deposit protection as well as policy commitments from the Labour Party on infrastructure, apprenticeships and a new retraining allowance.

Peter Conway, CTU Economist, says that in the current global financial crisis there are limits to what a small country like New Zealand can do to influence events on a world stage, but we can take sensible steps to sustain the New Zealand economy.

Peter Conway said there is no one answer but bringing forward investment in infrastructure and other necessary work will act as short term boost as well as serve the best long term economic interests of the country.

"We look forward to further details of work that can be brought forward on housing and the environment as well as civil infrastructure."

"The CTU welcomes the commitment to a retraining allowance. In recent years there has been a move towards a more active labour market approach when firms restructure or close down. This new allowance will help workers who feel stranded in such circumstances and need retraining assistance so they can not only get a job but one that matches or improves their pay rate at the time they were laid off."

Peter Conway said that it is important for the Government to send a signal to workers that if they are surplus to requirements for a particular firm, that does not mean they are surplus to the needs of the region, industry or country.

"The announcement of an opt-in deposit guarantee is welcome and will be reassuring for people, but should not be seen as a single answer to the credit crisis". There are many people with debts rather than deposits so we need interest rates to come down sharply later this month," Peter Conway said.


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