In August, the Centre for Labour, Employment and Work (CLEW) at Victoria University released their annual analysis of collective employment agreements (CEAs). It shows again that people who are part of a collective get better pay rises: the union pay premium. For the year to June 2016 CLEW finds that on average wages in collectives… Read more »
Read more...Economic Bulletin
Has Unemployment Really Fallen That Much?
Some of our most important labour statistics such as on unemployment are measured by Statistics New Zealand in a three-monthly survey of 16,000 households, the Household Labour Force Survey (HLFS). A review of the HLFS took effect from June. Among other things the changes lowered the measured unemployment rate from 5.7 percent to 5.2 percent… Read more »
Read more...Effective Collective Bargaining: Lessons from Europe
You may have noticed there was no July Bulletin. I was in Europe, mainly on holiday, but also talking to experts on collective bargaining in five countries. Here is some of what I learned. The benefits of collective bargaining (CB) include ensuring wage growth does not fall behind productivity growth. It can also encourage productivity… Read more »
Read more...90-day Trials: What Does the Research Tell Us?
The Government is in denial over the failure of the 90-day trials. New research commissioned by Treasury found that it did not increase employment or help disadvantaged workers. The Government now denies those were its objectives. Its professed commitment to evidence is selective and doesn’t apply when employers’ interests are at stake. A Cabinet paper… Read more »
Read more...The Budget: Ratings Agencies Should Be Pleased
The Budget wasn’t boring – it was a failure of a Government’s responsibility to New Zealanders. Its focus was on balancing the books and reducing debt. That is not what Governments are elected for: it is a means to an end, not an end in itself, and there are many ways to manage the government’s… Read more »
Read more...What’s Going to Be in The Budget
The Government’s Budget for 2016 is on 26 May. What’s likely to be in it, and what should be? The ‘Operating Allowance’ for new operational spending will again be just $1 billion. Usually $300-400 million is allowed for Health, though more is clearly necessary. The Government will want to make some big announcements about the… Read more »
Read more...Are Small Businesses Less Safe?
On 4 April, the workplace health and safety legislation comes into force. It contains many significant steps for the better. But we were very disappointed that the right of working people to participate in protecting and improving their own health and safety was weakened in many ways. One way was to allow employers with fewer… Read more »
Read more...The International Economy: Risks and Opportunities
International agencies and many commentators including the Minister of Finance in his “state of the economy” speech last week, have been writing about the growing dangers in the international economy. This commentary looks at those dangers, the potential effect on New Zealand, and what policies are needed to put us in a good condition to… Read more »
Read more...TPPA: The Economic Case
The Transpacific Partnership Agreement (TPPA) will be signed by the trade ministers of 12 countries in Auckland on 4 February. So this is a good time to look at the economic evaluations of the agreement. Politicians and lobbyists use these to find large-sounding numbers to throw around. Turn on the garbage filter you use when… Read more »
Read more...Unemployment is Still Too High
Unemployment is rising again. It never got below 5.6 percent under this Government despite strong economic growth rates. Just as in the 1990s, it seems that around 6 percent unemployment is the best we can expect from National even though we can do a lot better. Paradoxically, at least until the September quarter, employment had… Read more »
Read more...