Troubling issues in PSA payments

News that the Government is paying inducements to PSA members raises three troubling issues, says Business NZ Executive Director Anne Knowles.

“First, it’s discriminatory. Non-union members are effectively being discriminated against.

“Second, it’s a subsidy for unions. Taxpayer funds should not be used in this way.

“The third issue relates to a proposed change to the Employment Relations Act to, among other things, enable ratification of ILO Convention 98.

“The convention calls for collective bargaining to be promoted over individual bargaining. Changing the ERA to ratify this convention could mean discrimination against non-union members becoming accepted practice.

“The Government’s payments to PSA members obviously come under this category of ‘promoting collective bargaining’. This case shows the dangers in ratifying this convention, and should be remembered when the Government starts its review of the ERA,” Ms Knowles said.

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