Zero-hour contracts cut in employment Bill

Zero-hour contracts cut in employment Bill

Unions have applauded the end of zero-hour contracts in proposed employment legislation, in what many political parties are calling a major back down from the Government.

The controversial contracts -- which don't guarantee hours and kept workers at the beck and call of employers -- have been scrapped as a result of amendments to the proposed legislation.

Council of Trade Unions president Richard Wagstaff says having seen the final draft of the planned amendments to the Employment Standards Bill released today, he's confident workers will have more secure hours.

"If the legislation is passed with these amendments, it means zero-hour employment agreements are gone, and working people will be better protected from these kinds of abuse.

"Working people should still negotiate to achieve fair outcomes, and working people are always strongest when we work to negotiate together, in union collectively to get the best results," he says.

Unite Union says their campaign last year against zero-hours contracts in the fast food industry had been successful.

"We discovered that probably hundreds of thousands of New Zealand workers were on these contracts. Virtually every family in the country could count one of their members suffering under these contracts. Everyone understood immediately what we were talking about," national director Mike Treen says.

The union is pleased the Government has backed down from implementing the law which "seemed to legalise these contracts".

The proposition didn't gain support from National's normal partners the Maori Party and United Future, so forced it to compromise with Labour to get the legislation through.

The new law will mean employers will have to guarantee some hours for workers, and they'll also need a good reason to have an availability clause for additional hours and offer reasonable compensation.

Labour leader Andrew Little says the party is claiming the victory on removing zero hours.

"We said from the outset last year that we were opposed to it, there was no need for it and that's been our position ever since.

"The Government introduced legislation that entrenched it, and now thankfully due to the hard work of many people, not the least of which Iain Lees-Galloway, it's gone.

He called it a "significant change" to the proposed legislation, though Workplace Relations and Safety Minister Michael Woodhouse believes the amendments are minor.

"It's a good win for compromise, and we're going to get a good Bill out of it, but I knew we had a good Bill going in.

Asked about the differing opinion on the changes, Mr Woodhouse said: "Throw a bone at someone to stop barking at cars -- call it a back down if you wish".

Prime Minister John Key also maintains the amendments are small, and is still in keeping with what the Government had originally intended.

"We're a minority government, and at the end of the day we have to work with other political parties. We've got broader consensus on this one, but we could have done it with smaller numbers but it suits us." 

Green Party co-leader Metiria Turei says the Government calling the changes minor is an attempt to "cover their embarrassment".

"They know it is a significant back down by them. Workers have been exploited through these zero hours contracts for years and years and this Bill will now…be changed to protect them."

Ms Turei says the party will now support the legislation.

Maori Party co-leader Marama Fox made no apologies for using their "political leverage" to get the amendments made.

"We're happy to use our political leverage where we can to ensure workers' rights and security for every day, ordinary Kiwis against zero-hour contracts."

She says the changes are considerable.

"This is one of the rare occasions where a majority of parties in the House are supporting employment rights through the Government."

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