The National Government’s plans to extend the ‘Fire at Will’ law to cover all workplaces is a stinging attack on people who work for a living and a major step backwards for New Zealand.
The Government recently announced plans to extend the 90-day trial legislation to cover all workplaces. The law currently allows small businesses who enter into 90-day contracts with new employees to dismiss them within 90 days of starting, with no obligation to give a reason and with no entitlement to a personal grievance claim for the employee.
This is National Party ideology aimed at stripping workers of basic rights and it will do nothing to create jobs or stability in the workforce.
The extension of the 90-day law will result in a ‘sticky’ labour market where employees would be unwilling to move to new jobs because of uncertainty, and simply stick with the job they currently hold.
In a time of high unemployment, it is unhelpful to introduce laws that discourage people from moving around the labour market.
Who would leave the security of a current job for the uncertainty of a new job? That means fewer opportunities opening up for those who are looking to enter the labour market.
National has little evidence that the 90-day grievance free period currently in place has actually encouraged business to take on workers they may not otherwise have done.
All that the law has done is create an imbalance between workers and employers.
It is nonsense to suggest that during economic recession, when most businesses are scaling back that some employers have decided to give a new worker a go because of the 90-day law.
Within months of becoming Government, National has disbanded the ‘Pay Equity Unit’ and scrapped investigations into pay equity for school support workers and social workers. They then stripped workers of rights around meal breaks, introduced the 90-day ‘Fire at Will’ law for small employers, and will soon announce an attack on the Holiday’s Act.
It is clear that the National Party is pandering to big business without any thought for how this will affect workers or the economy.
Under National, unemployment rates have sky rocketed and they are using the fact that people are vulnerable and desperate for work to strip them of basic rights.
It is a poor excuse for a Government that would kick people while they are down.
Labour would repeal the 90-day legislation.
Governments should create jobs, not undermine the rights of individuals in the workplace.
Trevor Mallard is Member of Parliament and Labour Party’s Labour Spokesman. The above article is exclusive to Indian Newslink ©
