Beating Budget Responsibility Rules Restraint

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Resident doctors striking outside Wellington Hospital, with solidarity from NZNO members, February 2019.

By Martin Gregory

 

Public health and public education, for countries that have them, make the two great calls on government expenditures, and for that reason they are at the core of the central contradiction in the character of the Ardern government. The boost in spending on these services that Labour seemed to offer in 2017 is confounded by the Budget Responsibility Rules policy that the Labour and Green parties concocted, carried through into government and have since held as an article of faith. The effect of the Rules, broadly, is that government spending is kept within the parameters inherited from the former National government. Government expenditure is pegged as a proportion of GDP and paying down government debt is prioritised over spending. The Budget Responsibility Rules are a declaration of Labour’s fealty to capitalism. As a result of spending restraint, health and education have been the flashpoints of much of the industrial action by expectant, but frustrated, workers that occurred last year and continues this year unabated.

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The strike revival

Strike statistics are useful for assessing the state of workers’ militancy. Fortunately section 98 of the Employment Relations Act requires information to be submitted to the Ministry of Business, Innovation and Employment (MBIE) after every strike or lockout. This source provides statistics up to and including 2017. For this year, so far, we must rely on media reports. In the last issue of Socialist Review we cited several strikes and gave our assessment that we are witnessing a revival in class struggle. We now provide more in-depth information.

 

Table 1 shows the decline in industrial action since 2005, in which year there were 60 work stoppages involving 17,752 workers. From 2013 to 2017 the New Zealand working class hit rock bottom. In 2016 there were two strikes and one partial strike involving a total of just 430 workers. A partial strike is defined by law as any industrial action short of an actual strike. 2017 was hardly better with 6 full strikes by a total of a mere 421 employees.

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Wellington: back the bus drivers!

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National and Simon Bridges started the bus mess – but Chris Laidlaw and the GWRC need to fix it. They cannot wash their hands of the union’s just demands.

Hundreds of Wellington region bus drivers in the Tramways Union have voted for an ongoing strike from 23 October. Three bus companies that operate in the region may be affected: NZ Bus, Tranzit and Uzabus. Since the regional council awarded a large chunk of routes to Tranzit, drivers have lost their jobs or work under far worse terms and conditions. Tranzit has refused to negotiate a collective agreement with the Union.

 

Wellington’s bus services have been in chaos for months since new schedules were implemented. Greater Wellington Regional Council is responsible for bus services, parcelled out to five companies, and the suburban rail network. There is no ticketing integration overall, or even between all bus companies.

 

The reason for this mess is the contracting-out system. Wellington’s electric trolley bus network was scrapped last year in favour of polluting diesel buses purely to facilitate competition. Contracts were awarded to the companies that bid the lowest, and they seek to make their profit at the expense of drivers’ conditions and passenger services. On every count the use of the free market to run publicly-funded services has proven to be a failure.

 

It is not only Wellington where bus drivers have come to the end of their tethers. Throughout the year bus drivers in Auckland and the Waikato have taken strike action against intolerable conditions.

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Nurses show the way

fistRank and file nurses, midwives and health workers across the country have showed us the way forward. By speaking out – via Facebook, in face-to-face meetings, by all sorts of media – by marching in protest and, above all, by taking strike action in July, the first in over twenty years, they made health a major public topic. And they gave a lead to all of us by showing how you can win improvements in pay and conditions. The government is on notice. Equal pay, understaffed hospitals, overworked and underpaid nurses: these are issues that have not gone away. And they will not go away, because nurses will keep organising.

 

NZNO members have voted to accept the latest offer from the District Health Boards. This offer, compared to what was on the table in October last year, represents a real step forward. Health workers on the tops of their grades will get pay rises of 3% in phases over 2018 and 2019, totalling between 12 – 13% by the end of 2019. New pay bands have been created. A lump sum of $2000 will be paid. The DHBs have agreed to set up a national framework around staffing safety, a major issue raised by nurses during the dispute. The government has announced 500 extra nurses, a plan not connected to the negotiations by inconceivable without the pressure striking nurses exerted. There is extra funding available to work on safer staffing, and the DHBs have committed to pay equity by the end of next year. The union will need to hold them to account to make this happen.

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Strikes are Back: Victory to the Health Workers!

nursing-union-members-protest-outside-auckland-hospital-on-thursday-ahead-of-potential-strike-action-photo_jason-oxenham_nzhBy Martin Gregory

After a long slumber, the working class is awakening. In the first half of this year there was a smattering of industrial action, more than for years. The stirrings are hesitant. The actions, typically, limited to just hours or days. What more could we expect when it’s been decades since the unions used their now atrophied muscles? But this is the start of a revival. Young workers are tasting their power for the first time. They don’t carry the baggage of our defeats long ago. Today’s workers are learning valuable lessons from their first tentative actions that they will put to use tomorrow in bolder, more resolute strikes; strikes that win.

 

There has not been a strike at the Inland Revenue for 22 years, but on Monday PSA members there and at the Ministry of Business, Innovation and Employment struck from 1pm to 3pm. This was a nation-wide strike involving over 4,000 workers. The biggest concentration was in the capital where about 500 marched. All around the country there were marches and rallies. The demands: across the board pay rises and an end to unfair pay systems that give management control over an individual’s pay. Another 2-hour stoppage is planned for 23 July. The PSA is currently handling a big increase in membership applications.

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Union News – Feb 2017

 

lyttelton-portLyttleton Port Strike

On 28 January this website posted a report on the Lyttleton port dispute. This is a brief update.

The port company’s legal challenge to the Maritime Union’s strike notice for the Waitangi Day long weekend failed clearing the way for the 3–day strike. The Maritime Union has given notice of a strike from 17-19 February, in addition to the notice for 11-12 February previously reported.

 

Junior Doctors – New Zealand Resident Doctors’ Association

Junior doctors staged a national 73 hour strike from 17 to 20 January. This follows a 48 hour strike in October. The issue: fatigue. The doctors are seeking more reasonable hours of work in their negotiations over a Multi-Employer Collective Agreement with the District Health Boards. Currently they can be made to work for seven nights in a row and up to 12 day shifts in a row. The union has been campaigning for a maximum of four nights and 10 day shifts in a row.

In an interview with RNZ, the NZRDA’s general secretary, Deborah Powell, explained that a compromise agreement had been worked out in negotiations, but the employer side had not been able to make a formal offer without consulting the DHBs’ chief executives. At the time of writing, the union was still waiting to find out whether the employers were willing to sanction the draft agreement. [Read more…]

Making sense of politics in 2016

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Key ‘framed his face to all occasions’. Will English be able to do the same?

Andrew Tait gave this presentation to the International Socialist Organisation Hui-a-tau in Auckland last month.

 

2016, in New Zealand, has not been marked by major struggles or economic disasters or booms. The Key crew, masters anyway of administering sleeping gas, have managed to avoid major scandals or divisions. On the contrary, one of the worst of a bad lot, Judith Collins, has been rehabilitated after the Oravida scandal and retaken her place on the front bench. Bill English and Paula Bennett inherit a remarkably stable and strong government.

 

Although overshadowed by National, the reformist left have made some interesting moves – promising first to work together to replace National (a position the Greens have long avoided taking before an election) and then cementing that with a double-pronged attack on immigration tailor-made to dovetail with New Zealand First, the likely third party in any post-Key government.

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Mourn for the dead, fight for the living!

161014-helen-kelly_jpgby Jen Wilson

At this time we remember and honour long time union leader Helen Kelly, a brave and compassionate person who mourned with and comforted the families of workers killed at work; Forestry workers, the Pike River miners, Charanpreet Dhaliwal, aged only 22, beaten to death on his first night on the job as a security guard. So many dead because their lives and safety were not valued by their employers. Standing beside the grieving families Helen Kelly demanded justice, the prosecution of their employers who put profits above the lives of workers. She shined a light onto failed business practices which made these deaths inevitable and demanded and worked for change. Her death is a great loss. [Read more…]

Our ‘work ethic’ is not the problem

unnamedBy Andrew Tait

John Key came out this week and said it: New Zealanders are just too lazy or drug-addled to work, so we have to bring in migrants to “do a fabulous job” harvesting fruit and veges.

It’s a meme that has done the rounds on the media, slyly suggested by employers, farmers and politicians but never before as baldly stated by anyone as prominent as the Prime Minister. The truth is employers in agriculture are so addicted to profit they refuse to pay their workers a living wage. [Read more…]

NZEI and PPTA stand up to government’s attacks on public education.

worth-fighting-forBy Shomi Yoon

Unionised teachers in the secondary, primary and early childcare unions, PPTA and NZEI, attended paid union meeting nationwide to discuss a fightback against the government’s attacks on public education this week.

Thousands of teachers filled the Auckland and Wellington town halls to voice their anger and concern about the government’s plans. Thousands more filled halls from Invercargill to Northland – these mass meetings show the depth of the opposition to Bulk Funding 2.0 amongst teachers. There is a clear mood for resistance.

There’s a reason why this government hates teachers and the teaching profession: teachers fight back. Teachers have a strong and proud tradition of standing up for public education and demanding more for education. [Read more…]