The Times Australia
The Times World News

.
The Times Real Estate

.

NZ's workplace rules will change again with each new government – unless we do this

  • Written by Bernard Walker, Associate Professor in Organisations and Leadership, University of Canterbury

Whether you are a worker or an employer, the office or factory floor is likely to move under your feet over the next three years.

Every change of government sees a policy turnaround in New Zealand’s workplace relations. This see-saw pattern looks set to continue with the election of a National-led coalition in 2023.

Commentators are already speculating[1] about the axing of fair pay agreements and the return of 90-day trials. Lawyers, businesses and unions will soon be offering law-change updates. Workers and employers will begin amending their day-to-day processes.

But the bigger question is what drives these constant changes – and ultimately whether they benefit the country’s productivity in the long term.

Coalition uncertainties

Ultimately, political ideology shapes employment law and workplace relations. Governments of the left and right both assert a desire to “build productive employment relationships[2]” that benefit workers, employers and the economy. But each has a different perspective on the best way to achieve this.

For the left, the government’s role is to address an unequal balance of power between workers and employers. This includes establishing legislated minimum standards to protect workers’ interests, as well as supporting workers’ ability to act collectively.

The right emphasises the needs of business owners, enabling workers to negotiate individual workplace arrangements, with workers and employers finding outcomes that fit both sides.

Read more: NZ workplace study shows more than quarter of employees feel depressed much of the time[3]

While these principles are well known, it’s not so easy to gauge the likely outcomes from this current election, particularly since National chose to release very little workplace relations policy[4] during the election campaign.

But it seems National will need the libertarian ACT Party to form a government, and possibly also the centrist but conservative NZ First. Coalition or support agreements will come down to how much priority each party places on workplace policy, and how much power they have[5] in eventual governing arrangements.

Those parties’ policies often conflict. NZ First wants the minimum wage to rise, while ACT wants it frozen. It’s also unlikely the economically nationalist NZ First will welcome ACT’s proposed changes to migration settings to meet worker shortages and solve tertiary sector underfunding by boosting study visas for international students.

If ACT sees the workplace relations portfolio as a priority, what concessions might NZ First negotiate? And how far is National prepared to go in accepting ACT’s more extreme policies?

Political footballs

As we outlined in a recent article[6] for the New Zealand Journal of Employment Relations, there are multiple “political footballs” in play, which move backwards and forwards depending on who is in power.

All three potential coalition parties propose reviving 90-day trial periods for all businesses[7]. Other possible areas to be reversed again include rest and meal breaks[8], the “30-day rule”[9] for new employees’ contract conditions, the requirement to settle collective negotiations[10], plus a range of union rights[11].

Read more: Why three-day weekends are great for wellbeing – and the economy[12]

The outgoing Labour-led government operated tactically by improving entitlements for large numbers of workers. This reduced the likelihood that these entitlements would become political footballs. The minimum wage increased[13], paid parental leave was extended[14], Matariki became an additional public holiday[15], and the sick leave entitlement increased[16].

For workers, these were significant gains, and attempts to wind them back would potentially provoke real discontent – and that could create a conundrum for National.

National has said it won’t reverse the changes to Matariki[17] or sick leave[18], conflicting with ACT’s proposal to scrap a public holiday.

Unproductive change

Aside from the policy detail, there is a much larger question about just how helpful this ongoing cycle of action and reaction is. New Zealand urgently needs to improve its productivity and innovation[19] to be internationally competitive.

But the highly politicised approach to workplace relations is framed in terms of ideologies rather than evidence-based assessment. This means New Zealand workplaces are constantly disrupted, instead of progressing towards more strategic long-term goals.

Finding a solution is not easy. But recent governments have used a tripartite (three-party) approach, bringing together worker, business, and government representatives to address larger issues[20], such as gender pay equity[21] and the Holidays Act[22].

Read more: NZ's always-on culture has stretched the 8-hour workday – should the law contain a right to disconnect?[23]

This means key stakeholders have buy-in to the resulting workplace systems, reducing the likelihood of upheavals with inevitable changes of government.

That approach is an example of the longer-term thinking needed to ready New Zealand for massive disruptions[24] already underway. These disruptions include accelerating impacts of artificial intelligence and other technologies; the growing influence of China, India and other emerging economies; and increasing flows of capital, people and trade across borders.

As the pace of change increases, the consequences for economies that cannot keep up are becoming more serious.

Given the supposedly bipartisan aim of creating a more productive workforce, the upheavals that accompany each change of government raise real questions about how well New Zealand is meeting those challenges.

References

  1. ^ already speculating (www.rnz.co.nz)
  2. ^ build productive employment relationships (www.legislation.govt.nz)
  3. ^ NZ workplace study shows more than quarter of employees feel depressed much of the time (theconversation.com)
  4. ^ release very little workplace relations policy (ojs.aut.ac.nz)
  5. ^ how much power they have (ojs.aut.ac.nz)
  6. ^ recent article (ojs.aut.ac.nz)
  7. ^ 90-day trial periods for all businesses (www.rnz.co.nz)
  8. ^ rest and meal breaks (taylorshaw.co.nz)
  9. ^ 30-day rule” (taylorshaw.co.nz)
  10. ^ requirement to settle collective negotiations (www.wgtn.ac.nz)
  11. ^ range of union rights (www.wgtn.ac.nz)
  12. ^ Why three-day weekends are great for wellbeing – and the economy (theconversation.com)
  13. ^ minimum wage increased (chapmantripp.com)
  14. ^ extended (www.mbie.govt.nz)
  15. ^ additional public holiday (www.rnz.co.nz)
  16. ^ the sick leave entitlement increased (www.mbie.govt.nz)
  17. ^ Matariki (www.1news.co.nz)
  18. ^ sick leave (www.rnz.co.nz)
  19. ^ improve its productivity and innovation (www.stuff.co.nz)
  20. ^ larger issues (www.ilo.org)
  21. ^ gender pay equity (www.publicservice.govt.nz)
  22. ^ Holidays Act (www.mbie.govt.nz)
  23. ^ NZ's always-on culture has stretched the 8-hour workday – should the law contain a right to disconnect? (theconversation.com)
  24. ^ massive disruptions (www.mckinsey.com)

Read more https://theconversation.com/nzs-workplace-rules-will-change-again-with-each-new-government-unless-we-do-this-216072

The Times Features

Why Regional Small Businesses in Bendigo Deserve Better Access to Finance in 2025

In the heart of regional Victoria, Bendigo has long stood as a beacon of innovation, resilience and community spirit. As we step further into 2025, the importance of nurturing sm...

Is It Time for a Deep Cleaning? Signs You Shouldn’t Ignore

Most people know they should visit the dentist for a regular check-up and cleaning every six months. But sometimes, a standard cleaning isn’t enough. When plaque and tartar build...

The Hidden Meaning Behind Popular Engagement Ring Cuts

When it comes to engagement rings, the cut of the diamond is not just about aesthetics. Each shape carries its own symbolism and significance, making it an important decision for...

Annual Health Exams in the Office: How They Can Reduce Sick Days and Healthcare Costs

Regular health check-ups, especially annual health exams in the office, can significantly impact the overall well-being of your workforce. A proactive approach to employee health...

Best Deals on Home Furniture Online

Key Highlights Discover the best deals on high-quality outdoor furniture online. Transform your outdoor space into a stylish and comfortable oasis. Explore a wide range of d...

Discover the Best Women's Jumpers for Every Season

Key Highlights Explore lightweight jumpers for spring and summer, ensuring breathability and ease. Wrap up warm with cozy wool jumpers for the chilly autumn and winter season...

Times Magazine

The Essential Guide to Transforming Office Spaces for Maximum Efficiency

Why Office Fitouts MatterA well-designed office can make all the difference in productivity, employee satisfaction, and client impressions. Businesses of all sizes are investing in updated office spaces to create environments that foster collaborat...

The A/B Testing Revolution: How AI Optimized Landing Pages Without Human Input

A/B testing was always integral to the web-based marketing world. Was there a button that converted better? Marketing could pit one against the other and see which option worked better. This was always through human observation, and over time, as d...

Using Countdown Timers in Email: Do They Really Increase Conversions?

In a world that's always on, where marketers are attempting to entice a subscriber and get them to convert on the same screen with one email, the power of urgency is sometimes the essential element needed. One of the most popular ways to create urg...

Types of Software Consultants

In today's technology-driven world, businesses often seek the expertise of software consultants to navigate complex software needs. There are several types of software consultants, including solution architects, project managers, and user experienc...

CWU Assistive Tech Hub is Changing Lives: Win a Free Rollator Walker This Easter!

🌟 Mobility. Independence. Community. All in One. This Easter, the CWU Assistive Tech Hub is pleased to support the Banyule community by giving away a rollator walker. The giveaway will take place during the Macleod Village Easter Egg Hunt & Ma...

"Eternal Nurture" by Cara Barilla: A Timeless Collection of Wisdom and Healing

Renowned Sydney-born author and educator Cara Barilla has released her latest book, Eternal Nurture, a profound collection of inspirational quotes designed to support mindfulness, emotional healing, and personal growth. With a deep commitment to ...

LayBy Shopping