ADVOCACY UPDATE OCTOBER/NOVEMBER
Fair Pay Agreements
The Fair Pay Agreements Bill passed its third reading in Parliament last week, the last hurdle in implementing the framework that enables Fair Pay Agreements (FPAs), industry-wide employment bargaining covering all employees in an industry where an FPA applies, regardless of whether or not your business has union members.
The Fair Pay Agreements (“FPA”) regime involves a change from a system based on employment agreements between employers and employees, to a system also involving compulsory national collective bargaining and awards. The bargaining will be undertaken between unions and organisations representing employers (and, when that doesn’t work, set by the Employment Relations Authority).
An FPA is a bit like a collective employment agreement, but it covers the whole country. It can either apply on the basis of occupation (e.g. all chef’s), or on the basis of an industry (e.g. all accommodation sector workers). FPAs potentially apply to all employees and employers. Workplaces are not exempt because they are not unionised, or because the employer does not belong to an employers’ organisation.
This legislation has widespread implications for workplaces and the economy as a whole, as employers will be required to understand and apply a raft of obligations when an FPA is implemented for hospitality.
Hospitality NZ has been across what is happening in this space and how it will impact our industry, advocating on your behalf every step of the way. We will continue to keep you informed as these processes progress, and ensure you are well informed about your obligations as an employer.
Click here for more information on understanding Fair Pay Agreements
Click here for more information about the Fair Pay Agreements System
Sale and Supply of Alcohol Act Amendments
On October 30, Minister of Justice Kiri Allan announced a suite of amendments to the Sale and Supply of Alcohol Act 2012 that will remove the ability to appeal local alcohol policies (LAPs).
The amendments remove the ability to appeal LAPs, with the Government taking the view that the alcohol industry and supermarkets have too much influence over the LAP process. They also seek to amend rules around the public’s ability to object to a new or renewed alcohol licence application and how objectors can make their case at a licensing hearing making the process less formal to encourage more community engagement.
These changes are not unexpected – Hospitality NZ has been aware of potential changes to the Act for some time and we will be seeking to ensure that the concerns of our members are well represented through the review process.
Key things to note:
- While the Bill removes the ability to appeal LAPs, the hospitality industry will still be able to influence LAPs in the same way that any other persons or groups can, through the special consultative procedure councils use to develop LAPs. Hospitality NZ has a proud track record of participating in all LAP consultations and will continue to do so on behalf of members.
- We are concerned that changes to the licensing process to encourage more community engagement may lead to a more onerous and frustrating process for licensees. There is already a mechanism for objections from affected parties and changes to the process may encourage more organised objections from national interest groups as we are already seeing with new license applications around NZ.
- We acknowledge change is needed to the LAP process – the way councils have applied and implemented LAPs has been inconsistent and poorly executed – but the recommended changes will not improve that part of the process. We are supportive of evidence-based measures that address alcohol harm, but equally we are against new rules that restrict our members’ ability to run their business if there is no evidence new rules will make a difference.
- We don’t expect these amendments to finish parliamentary process this side of Christmas, but the minister made it clear she intends to move quickly.
- Minister Allen has also announced that there will be second stage to the review that will commence around March 2023 that will seek to restrict advertising and sponsorship of sport by Alcohol Companies/Brands. We will update further on this as the nature of that review becomes clearer.
Labour and Immigration
Hospitality NZ continues to work on initiatives to support members in accessing the staff you desperately need. Our work in this space has been well documented.
Of particular note is the removing the qualification requirement for chefs to be hired through an Accredited Employer Work Visa (AEWV) will allow those top-rated chefs who have trained on the job to come to NZ, after strong advocacy from Hospitality NZ. This took effect from 18 October.
We continue to work on the requirements around accessing staff, and are talking with officials around the Skilled Migrant Category consultation.