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Pre budget announcements good for employment.

May 25, 2016

Pre budget announcements good for employment.

John Harland, New Zealand Regional Chair of the Recruitment and Consulting Services Association, outlines expectations for the Budget. John is available for comment before and after the Budget on ph 021 707 482

Announced in the run up to the Budget

- $14.4mill for new apprenticeships

- $ 9.6 mill for Maori and Pacifica Trades Training

- $ 4.6mill into Pacifica employment Services.

More can be done to assist youth

Positive initiatives to assist youth and Pacifica people who represent a disproportionate percentage of NZ unemployment statistics. While the RCSA applaud these initiatives it believes that more can be done to assist youth and recognise the changing nature in the future of work in particular the increasing demand for flexibility and the global shift to contract/non traditional work patterns.

incentives to match our education system with the requirements of the workforce

It would be great to see some recognition and incentives to match our education system with the requirements of the workforce. i.e. measures to address the skills mismatch which is apparent.

More incentives needed for work programmes

Trades have been recognised but there are other areas where NZ business cannot attract the talent necessary to expand their businesses. Further incentives to work programmes assisting youth, in general, to develop employability skills, would be welcome.

Tax incentives and simplification for SMEs

Tax incentives and simplification of the tax system for SMEs should provide small business with the opportunity to grow and create new job opportunities. These incentives are positive budget measures strongly supported by the Recruitment and labour Hire Industry.

More attention needed on the most vulnerable

Further focus on addressing issues affecting the most vulnerable section of the population will be welcomed. Further incentives for people and businesses to get people into work and off benefits. Its an area where WINZ are doing a good job but closer interaction with the Recruitment industry would enhance the opportunities available recognising that the labour hire industry creates genuine pathways to employment and job creation.

Incentives to move unemployed to the regions

Increased or new incentives for unemployed to move to the regions particularly for seasonal work where despite there being higher than national average unemployment levels businesses are having to import workers from overseas.

Immigration needs to attract people with the right skills

Immigration is an area which needs to be looked at in terms of attracting people with skills where there are on-going shortages. At the moment it appears that many of the new immigrants do not have the required skills although business must also recognise that “New Zealand experience” is not necessarily a requirement that should prevent employment of people with only overseas experience. This attitude is inhibiting growth but is often faced by Recruiters.

ACC and promotion of safer work practices

A further move by ACC to an incentives businesses with low experience ratings and shift the burden to those with high experience ratings would assist in the promotion of safer work practices and shift the focus to dangerous industries which should bear the greater cost of workplace injury and rehabilitation.


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