Hon Iain Lees-Galloway
Minister for Workplace Relations and Safety
MEDIA STATEMENT
8 October 2018
Statement on Chorus subcontractors investigation
The Government’s priorities to strengthen employment law, to better protect New Zealand workers and stamp out migrant
exploitation, are justified by the findings revealed today by the Labour Inspectorate’s investigations into Chorus
subcontractors, says Workplace Relations and Safety Minister Iain Lees-Galloway.
“Initial analysis by the Labour Inspectorate has revealed that of 75 proactive visits to subcontractors rolling out
broadband networks for Chorus throughout Auckland, 73 had likely breached minimum employment standards.
“The investigations found that contracting employers were failing to maintain employment records, pay employees’ minimum
wage, holiday entitlements, and provide employment agreements.
“This is simply not acceptable and it is not welcome in New Zealand workplaces.
“This activity is in breach of minimum employment standards required by law, it is clearly exploiting migrants, and it
is a timely reminder why the Government is strengthening employment law to protect vulnerable workers.
“This also demonstrates the previous Government’s procurement process prioritised cost over the welfare of New Zealand
workers in allowing contracts that encouraged this kind of behaviour.
“The Labour Inspectorate operation’s findings demonstrate why the Coalition Government has embarked on a programme of
restoring fundamental rights for New Zealand workers.
“One of my top priorities for this term of Government is improving protections for contractors and workers in precarious
employment arrangements.
“The Coalition Agreement also sets tackling migrant exploitation as one of this Government’s top priorities. We have
already increased the number of Labour Inspectors and further work to stamp out migrant exploitation will begin before
the end of the year.
“It is critical that our workplaces are free of the kind of exploitative practices that the Labour Inspectorate has
found. It is bad for workers, it is bad for our reputation and ultimately, bad for our economy,” Iain Lees-Galloway
says.