Dr Paul Hutchison
National Party ACC Spokesman

26 November 2006

Labour rips $300 million off employers

ACC Minister Ruth Dyson’s determination to by-pass normal consultation processes to ram through the merger of the employer and self-employed ACC accounts, while ripping about $300 million off employers, is an abuse of ministerial power, says National’s ACC spokesman, Paul Hutchison.

“Ruth Dyson’s rush to have the merger legislated by 1 April next year has seen submissions for the bill closed after only four weeks, and has limited the public’s awareness of her proposed changes.

“Her arrogance seemed to have no bounds when she stepped in and stopped the levy consultation process for the accounts for 2007/08.

“This bill sends all the wrong signals regarding workplace safety and accident prevention.

“Merging the accounts will not only cause cross-subsidisation, but also send the wrong signal that higher injury rates and unsafe workplaces are a good thing.

“Worse still, Labour plans to pay only about $200 million of $500 million back to employers over a two-year period.

“New Zealanders will feel outraged that Ruth Dyson is willing to rush through legislation to rip off hundreds of millions of dollars from employers that was collected from them in good faith under the existing legislation.

“Labour should refund to employers the contributions they have made and engage a transparent consultation process for any changes to ACC.

“Ruth Dyson should tell the public why such urgency is needed and why Labour is ripping off employers”, says Dr Hutchison.

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