INDUSTRIAL RELATIONS BILL ‘Novel features and public interest’

Press, Volume CXII, Issue 33052, 20 October 1972, Page 1

INDUSTRIAL RELATIONS BILL ‘Novel features and public interest’

(Neto Zealand Press Association)

WELLINGTON, October 19.

The Government’s long-awaited Industrial Relations Bill was introduced in Parliament today and was described by the Opposition’s industrial relations spokesman, Mr N. V. Douglas (Auckland Central) as a “damp squib.” “More people are going to laugh about it than frown about it,” he said.

The Minister of Labour (Mr Thomson), moving the bill’s introduction, said there had been some speculation that it would be a tough measure.

“I am sure that those who study it as a whole will reach the conclusion that it is in fact a liberal measure, balancing novel features to encourage better industrial relations with very necessary consideration of the public interest,” he said. The provision against inmdustrial action on nonunion matters is contained in clause 124 of the 239-clause bill.

The clause provides that: “Every person who becomes a party to, or incites, aids, or abets a strike or lock-out concerning a matter that is not an industrial matter commits an offence and shall be liable on summary conviction to a fine not exceeding $500.” An associated clause defines the area within which private interests must yield to the public interest—when the economy or an industry is seriously affected or the life, safety, or health of members of the community is endangered by industrial action.

Three parties The clauses concerning non-industrial activity drew the most attention in the short introductory debate. The Deputy Prime Minister (Mr Muldoon) said there were three, not two, parties to any industrial dispute: the employees, the employers, and those affected by any action taken—the general public. “It is not good industrial relations to have industrial peace at the expense of the economy,” he said. The greater the power given to trade unions, the greater must be the degree of their responsibility, Mr Muldoon said. The bill provided penalties for action for which that power should never be used. “The Government is confident the very reasonable provisions of this bill—which present no threat to responsible trade unionists—will receive the support of the public,” he said. The bill provides for an Industrial Relations Council, an Industrial Commission, and an Industrial Court.

Council members The Industrial Relations ;l Council is to have a memi bership of 15—five each from i! the Government, the Em- ,! ployers’ Federation, and the [Federation of Labour. Its were to be adi visory—to assist both the inI dustrial organisations and the - Government in their endeaI vours constantly to improve i industrial relations, Mr ! Thomson said. I The Industrial Commission ; will consist of five members, | one each representing em!oloyers and workers and the | other three not representing | any sectional interest. The J commission will take over 'lthe arbitration functions of Jlthe Court of Arbitration. ’ The Industrial Court will, ‘j as far as membership, representation, and status are • concerned, be the Court of Arbitration renamed. .

Mr Thomson said it would continue to exercise the judicial functions of the Court of Arbitration — the interpretation and enforcement of awards and collective agreements, the hearing of appeals from disputes committees and the like.

A good part of the credit for the institutional changes should, the Minister said, be given to the Employers’ Federation and the Federation of Labour, upon whose joint submission a substantial part of the bill was based. Not acceptable It had become increasingly evident over the last few years that the Industrial Conciliation and Arbitration Act in its present form was no longer acceptable to the parties who had normally followed its procedures. “In particular there had been a trend towards direct negotiation between unions and employers and an accompanying reluctance to allow the Arbitration Court to arbitrate on collective wage issues,” Mr Thomson said. Another of the : bill’s clauses provides for a minimum period of notice — 14 days — to be given before strikes or lock-outs in essential industries are undertaken.

There is also provision for secret ballots on resumption of work in the case of strike action and the resumption of operations in the case of lockouts.

And, for the first time,

simple legal procedures for the settlement of union demarcation arguments are provided in the legislation. The General Wage Orders Act. is to be repealed follow-' ing the bill’s implementation of procedures for standard wage pronouncements. “The essential difference between standard wage pronouncements and general wage orders,” Mr Thomson said, “is that the former are not automatic in operative effect but serve as guides to the commission’s views on the rates of wages for skilled, semi-skilled and unskilled workers which the commission Will use as a . basis for making future awards. "The standard wage pronouncement will_ assist in maintaining proper relationships between occupational rates of wages but will not have the immediate and farreaching impact of general wage orders with their consequential inflationary effects.” Right to strike Recognition is given to the right to strike at the time of negotiation or re-negotiation of a collective instrument. This is a major departure from present legislation where the Industrial Conciliation and Arbitration Act makes all strikes and lockouts illegal where the parties are subject to awards or industrial agreements. However, the bill also visualises that some boundary to permissible industrial action must be set. The introduction of the bill was welcomed today by the executive director of the Employers’ Federation (Mr P. L. Luxford).

“It is right and proper that a fresh look be taken at what should constitute lawful and unlawful industrial action, but it is unthinkable that any labour law should have no sanction whatever against employer or union failing to comply with their obligations.” Industrial legislation put forward by the Government was forcing the Federation of Labour to move towards amalgamation of unions, the president of the federation (Mr T. E. Skinner) said tonight. Initially, unions in related trades would group while retaining their autonomy, he said. “But as they work together and develop a common policy they will most likely amalgamate,” he said. Mr Skinner said he expected ■ that' initially unions would come together in about five to 10 groups, "for example all unions connected with transport will group together.” However, he expected that once the amalgamations were completed, there would still be about 100 unions compared with nearly 400 at present Moral issues “This legislation will force Us into more direct bargaining with the employers, and therefore : we ' must have larger arid stronger unions,” Said Mr Skinner. He also criticised the Government for trying to prevent unions expressing a view on moral issues. "The time is long gone when trade unions were concerned only with wages and conditions,” he said.