Andrew Little
Leader of the Opposition
MEDIA STATEMENT
29 June 2017
A fair deal for working people and good employers
Labour will implement sensible changes to employment law to prevent the small number of bad employers undercutting good
employers and driving a ‘race to the bottom’ on wages and conditions, says Leader of the Opposition Andrew Little.
“The current law undermines good employers who pay their employees well and offer good working conditions. They can find
themselves undercut by a small number of bad employers who compete by driving down labour costs. Labour’s sensible
changes will fix this.
“After nine years of National, working people’s share of the economy is falling. Less than 40 per cent of economic
growth under National has gone to working people through higher pay. If working people’s slice of the economy hadn’t
shrunk under National, pay packets would have been a total of $23 billion larger.
“When 40 per cent of children in poverty live in a working household and two-thirds of workers’ pay fell in real terms
last year despite the economy growing, working people are not sharing in economic prosperity. That’s just not fair.
“Labour will boost the minimum wage to $16.50 an hour and base future increases on the real cost of living for people on
low incomes. Over time, we will work towards lifting the minimum wage to two-thirds of the average wage as economic
conditions allow.
“Most employers use trial periods fairly but National’s fire at will law has encouraged abuse by a small number of
employers. Labour will replace National’s unfair law with trial periods that include protection against unfair dismissal
and a fast, fair, simple dispute resolution process.
“Labour will work with businesses and unions to implement Fair Pay Agreements across industries. These will stop bad
employers from undermining wages and working conditions to undercut good employers. Fair Pay Agreements will lay out the
basic pay and working conditions in an industry, and prevent a ‘race to the bottom’.
“The recent care workers’ settlement is an example of how employers and employees can come together to create an
agreement that sets base conditions across a number of employers. As in Australia, employers and employees creating a
floor together will help to boost wages and create a more productive economy.
“It’s important that government sets an example as a good employer. So Labour will ensure that all core public service
employees are paid at least the Living Wage.
“Working people and good employers need to have confidence that bad employers won’t be allowed to exploit workers. So
Labour will double the number of Labour Inspectors.
“Labour’s sensible changes will help boost incomes and support employers who offer good pay and conditions. It’s the
right thing to do after nine years of a government that has put profits ahead of a fair return for working people,” says
Andrew Little.
ends