February 2, 2012

BIM on procurement shows government’s do-nothing approach to jobs

It is laughable that the government procurement agenda was initiated at National’s 2009 Jobs Summit, given it now has nothing to do with creating jobs, FIRST Union said today.

The Economic Development Ministry’s Briefing to the Incoming Minister updates on the Ministry’s work on government procurement.

“The briefing shows that this government and its department has completely missed the point on procurement,” said Robert Reid, General Secretary of FIRST Union, which represents over 3,000 workers in textiles and wood processing.

“Procurement was raised as one of the top 20 issues at the Prime Minister’s much touted job summit in early 2009. But we have seen little practical support to domestic manufacturers since.”

“Today’s briefing reveals the government procurement agenda is all about saving a few dollars to the crown, rather than using the government’s significant purchasing power to support local industry.”

“Like so many other countries overseas, we desperately need government procurement arrangements that encourage domestic industries such as textiles, wood processing and rail engineering.”

“Most other trading nations have strong requirements for government procurement.”

“The United States requires its solders to be kitted out in American made uniforms and Australian infrastructure projects often have a minimum local content provision.”

Industries like textiles and wood should be firing up to meet the needs of the Canterbury rebuild, Robert Reid said.

“Instead they are downsizing and laying off staff, while this government sits back and does nothing.”

Background

Refer to page 18 of MED’s Economic Development briefing for the section on government procurement. The document is downloadable here.

The National Distribution Union and Finsec joined forces in October 2011 to form New Zealand’s newest union – FIRST. The union represents 28,000 people working in Finance, Industrial (Textile and Wood) Retail, Stores & Transport. http://firstunion.org.nz

ENDS

© Scoop Media