Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

Employment Policy Convention, 1964 (No. 122) - New Zealand (Ratification: 1965)

The Committee notes the Government’s very comprehensive report received in December 2006, including replies to the 2004 observation, as well as the comments of the New Zealand Council of Trade Unions (NZCTU) and the corresponding reply by the Government.

1. Articles 1 and 2 of the Convention. Labour market policies. Strong economic growth in the year to December 2004 translated into employment growth of 3.4 per cent dropping slightly in the year to December 2005 to 2.8 per cent. As a result, the unemployment rate had dropped to a low of 3.6 per cent in the December 2005 quarter, creating a shortage in skills and labour, which the Government’s new labour market and employment strategy – Better Work Working Better (BWWB) – aims to address. The primary outcome for BWWB is high-quality employment in productive and innovative industries, regions and businesses, that drives sustainable economic growth opportunities for all New Zealanders. The four goals are to achieve high levels of participation in high-quality, well-paid and diversified employment; a diverse, adaptable and highly skilled workforce; high-quality and productive workplaces, within an effective regulatory environment; and high-performing sector and regional labour markets. The policy integrates a number of social and economic indicators as a means of measuring progress towards the goals set out in the BWWB and identifies areas where more work is needed. In addition, following the publication of the Achieving balanced lives and employment: What New Zealanders are saying about work–life balance report, a three-year work programme was introduced to promote a better balance between paid work and life outside of work and, in partnership with employers, develop practical customized work–life balance tools for the workplace. The Committee asks the Government to keep providing in its next report information on the BWWB as well as the Work–Life Balance work programme. In particular, it notes with interest the use of social and economic indicators, included in the BWWB, and asks to be kept informed of the results of its new employment strategy.

2. The Committee notes the detailed information that the Government provided in its report on education and training policies, including the Tertiary Education Strategy 2002–07. The Committee notes with interest the large investment (NZ$57 million) the Government announced in its 2004 budget to be allocated to a number of initiatives assisting the transition of young people from education to the world of work. These include vocational counselling, enhancing vocational training through the Secondary Tertiary Alignment Resource (STAR) programme and through expanding the Modern Apprenticeships programme. It also takes note of initiatives taken to increase the employment opportunities to meet the needs of particular categories of workers including women, older workers and workers with disabilities. The Government indicated that some other groups continued to experience labour market disadvantage, in particular Maori, Pacific peoples and new immigrants, and that a range of targeted interventions had been undertaken focusing on improvements for these groups. The Committee asks the Government to continue providing it with information on the measures it has taken in the area of education and training policies and their relation to employment policies. It also requests the Government to provide more information on initiatives taken to increase employment opportunities for Maori, Pacific peoples and new immigrants and the impact they have had on bridging the gap between the employment opportunities of these groups and the general population.

3. The Committee notes the implementation of the Workplace Productivity Agenda (WPA) in November 2004 following the final report of the Workplace Productivity Working Group, which identified seven drivers for workplace productivity. The Committee notes that a stocktake of progress made in implementing the WPA was undertaken in December 2005. The Committee would be interested in examining the results obtained in increasing workplace productivity and would appreciate if the Government could include data on these matters in its next report.

4. Article 3. Participation of the social partners in the formulation and application of policies. The Committee takes note of the Government’s statement that, as a general principle, it consults with those affected by employment policies and that the scope and level of consultation is tailored to the particular policy. The Government provides examples of consultations which include implementation of the WPA by the Workplace Productivity Working Group, a shared responsibility led by industry, business and unions with government support; continued consultations between the Government and the Public Service Association (PSA) under the Partnership for Quality agreement. The Work–Life Balance work programme was developed in response to key messages received through a wide range of public consultation on the matter. In this regard, the Committee would appreciate continuing to receive information on the manner in which the Government seeks the views of employers’ and workers’ representatives as well as of other interested groups concerning all issues related to employment policies, in order to take fully into account their experience and views, to secure their full cooperation in formulating and to enlist support for such policies.