THE UNIONIST: Interest rates, decent work

The Unionist this week reports on yesterday's economic news, and an international campaign around decent work.

Fair wage increases needed - CTU

Fair wage increases are needed to attract and retain workers, address the problem of embedded low pay and to help with rising living costs, the CTU said today.

Yesterday the Reserve Bank governor released the Bank's Monetary Policy Statement, and signaled that he would lower the official cash rate twice before the end of the year, if the bank's projections on the economy panned out.  The OCR is the interest rate set by the Reserve Bank to meet the inflation target specified in the Policy Targets Agreement it has with the government. It influences the price of borrowing money in New Zealand, such as for home mortgages.

The CTU is concerned that workers are being unfairly targeted to show restraint, Peter Conway said. 

"The CTU believes that reasonable wage rises are still possible in current circumstances once productivity, cost of living and affordability issues are taken into account." 

“We have had a tight labour market for 7 years, yet the benefits of economic growth have not been shared, and wage growth has been modest to say the least in that period.”

“The CTU position on wages is that we need to see the minimum wage lifted, more industry and multi-employer bargaining, and ongoing investment in skills, technology and best practice in workplaces.”

Peter Conway said today on Radio New Zealand that the economic analysis in the Monetary Policy Statement yesterday actually made the case for a cut in the rate now, not in three months time.

The Engineering, Printing and Manufacturing Union said yesterday that New Zealand workers should not be made to pay the price of increasing inflation twice.

EPMU national secretary Andrew Little said workers who are already being hit with higher prices caused by international factors should not be expected to forgo the pay increases they need to maintain their standard of living.

"Kiwi workers are seeing more and more of their wages disappear into their fuel tanks and shopping trolleys every week, and telling them to curb their wage claims now is effectively hitting them with a double whammy.

"The issue here is internationally driven inflation and Alan Bollard's statements that the answer is to lower New Zealanders' wage claims shows just how inadequate the current method of controlling inflation is.

"Rather than the single blunt tool that is the Official Cash Rate, we need a variety of ways of targeting particularly inflationary parts of the economy or New Zealand workers and exporters are only going to continue to be punished for situations beyond their control.

Audio/video: click here to listen to hear the CTU on Radio NZ's Morning Report today (or the podcast here) or click here to hear the CTU on Checkpoint last night.  on (Note: Radio NZ interviews are typically up on the website for seven days only).  More text-only links are here: Newstalk ZB -- Radio Live -- Radio NZ.

Decent work on the agenda; Global day of action October 7

A new website for the World Day for Decent Work on October 7 was launched this week as an International Trade Union Confederation (ITUC) organised event on Decent Work took place at the annual conference of the International Labour Organisation (ILO). Trade unions around the world will be holding events leading up to and on the day, focusing on the themes “Rights at Work”, “Solidarity” and “Ending Poverty and Inequality”.

“Globalisation is working for some, but hundreds of millions of women and men are missing out. With the global system incapable even of dealing with that most fundamental of needs, affordable food, the need for a completely new approach to globalisation is more evident than at any time. The World Day for Decent Work will be a major international mobilisation in the campaign to make decent work and regulation of the world economy a reality in place of the current fixation with so-called market solutions”, said ITUC secretary Guy Ryder.

The issue was discussed in New Zealand at a recent national council meeting of the CTU, where affiliates discussed activities in New Zealand on October 7 focusing on decent work.  The CTU's decent work information summary webpage is here.

Last October, Te Huarahi mo nga Kaimahi was launched at the Council of Trade Unions' biennial conference.  The publication sets out what the CTU thinks are the five features that will define decent work and the modern workplace.

The ILO Conference this year brings together more than 3,000 government, worker and employer representatives to discuss a wide range of issues including rural poverty reduction, the latest developments in labour rights and enhancing skills development. The Conference will also consider strategic challenges in terms of obtaining decent work, as well as host a high-level panel discussion on 11 June on “Tackling the Food Crisis Through Investment, Production and Decent Work”.

New Zealand workers are represented at the conference by CTU president Helen Kelly, James Ritchie from the Dairy Workers Union and Paul Tolich from the EPMU.

The Conference Committee on the Application of Standards will discuss around 25 cases of the application of ILO standards, including trade union rights, by individual countries. A special session will be organized to examine forced labour in Burma. Systematic violations of human and trade union rights and forced labour imposed by the military junta make the life of Burmese people intolerable. The ITUC released a report last April “Rich pickings: how trade and investment keep the Burmese junta alive and kicking” and called for a massive international humanitarian relief effort following the devastation caused by tropical cyclone Nargis.

Weekly Events Calendar

Unions Local - June meeting times

Unions Tauranga
Tues June 3, 1pm (note different date, this month only)
Seafarers Centre, Hull Rd, Mt Maunganui. 
garry.parsloe@munz.org.nz

Unions Wellington, incl AGM
Tuesday June 3, 4-6pm. 
NZCTU Boardroom, Lv 7, Education House, 178 Willis Street
pbolster@anet.co.nz 

Unions Gisborne
Wed June 4, 5.15pm
Trade Union Centre - Cnr Childers Rd and Customhouse Street
Colleen.Ryan@ndu.org.nz 

Unions Auckland
Thur June 5, 4pm (note different date, this month only)
Trades Hall, 147 Gt Nth Rd.
garry.parsloe@munz.org.nz

Unions Manawatu
Friday June 6, 3pm.
PSA House, 41-47 King St, Palmerston North
john.shennan@psa.org.nz 

Unions Canterbury
Tues June 17, 4pm
TUC, 199 Armagh Street, Christchurch
karena.brown@epmu.org.nz

Unions Waikato
Tues June 24, 5.15 pm
Trade Union Centre, 34 Harwood Street, Hamilton.
rob.george@nzei.org.nz  

Unions Northland
Wed June 25, 4pm (note different date, this month only)
TUC, 7 First Ave, Whangarei
garry.parsloe@munz.org.nz

Unions Manawatu
Friday June 27 3pm.
PSA House, 41-47 King St, Palmerston North
john.shennan@psa.org.nz 

Unions Wellington
Tues July 2, 4-6pm.
NZCTU Boardroom, Lv 7, Education House, 178 Willis Street
george.collins@epmu.org.nz

Other Events and Campaigns

Unions Wellington
FIRST FRIDAY DRINKS
The regular monthly get together
After work
Friday 6th June
Brix Bar, Abel Tasman Hotel
Cnr.Willis & Dixon Streets 

Join the launch of the New Migrant Workers Your Rights at Work leaflet
5.30pm - 7pm, Wed 11 June
Trades Hall, 147 Great North Road , Grey Lynn, Auckland
New Zealand Council of Trade Unions Migrant Workers Project.
RSVP dennis.maga@ndu.org.nz

NAU MAI HAERE MAI
Nga koutou o te motu
Te Runanga o Nga Kaimahi Maori o Aotearoa in conjunction with friends of Hone Tuwhare, are holding an informal commemoration, where we will celebrate Hone’s life and work.  We have chosen Matariki, often a time of reflection, to commemorate Hone’s life.
Time:  1400 – 1700 hrs
Date:  Saturday 21 June 2008
Place: Auditorium, National Library of New Zealand Te Puna Matauranga o Aotearoa, Corner Molesworth & Aitken Streets, Wellington

15 Days in Cuba
Travel, accommodation and food for just $500NZD.
Group discount flight = $3469.
Possibly interested - contact Gillian at the N.D.U.
gillian.magee@ndu.org.nz

CTU Meetings, Training

Maori Models of Organising - Nga Momo Whakaritenga
6 courses commencing in July across the country. Details will be advised closer to the time, but early enquiries to helent@nzctu.org.nz or 09-303-9018.

Workplace Productivity Challenge Workshop 
There is no charge to attend the Productivity Challenge which is an EREL-approved course. Financial assistance is available for travel, wage reimbursement (if not on EREL or other leave) and other associated costs. There are places available in the following 3 workshops - Register now for one of these workshops:
- Monday 9 June, 9 am - 4.30 pm, Whangarei
- Monday 30 June, 9 am - 4.30 pm, Dunedin – NOTE date
- Friday 11 July, 9 am - 4.30 pm, Mangere East South Auckland
- Monday 14 July, 9 am - 4.30 pm, Wanganui (TBC – but please register interest now)
- Tuesday 15 July, 9 am - 4.30 pm, Christchurch
- Friday 18 July, 9 am - 4.30 pm, Wellington Central

Dates for 2008 workshops and Registration forms for these workshops are on the CTU website. If you wish to register interest in a future workshop please tell us your name and location and details of how to contact you. We will cater to demand and arrange something to suit you if you cannot find a location that suits you in our current schedule.
Email Sandy - productivity@nzctu.org.nz.
Check out the WPEP website for more information: http://union.org.nz/workplaceproductivity.html