Direct bargaining predicted
(New Zealand Press Association) AUCKLAND, June 14. Trade unions would be looking more seriously at the profitability of individual companies as a result of the Budget this evening, said the president of the Federation of Labour (Mr T. E. Skinner).
He predicted a move I away from a period or bargaining on relativity rates towards one or bargaining directly with the { employers on the basis of productivity. “Companies with high profits must expect to pay more than companies with low proi fits,” Mr Skinner said. The less-profitable comi panies would be faced with ’ i some difficulty in keeping; their labour force. This would be one of the awkward [ effects of the Budget. Mr Skinner said that trade unions would not keep their | wage demands down to 5 per cent. “The Budget does not provide a guideline for wages,” he said. “It provides a guideline for costs.” : He said that he did not be- I : lieve the price control clause ■ would work. Similar legislation had failed elsewhere in [the world and there was no reason why it should not also fail in New Zealand. i More industrial problems were bound to come during the change, from relativity [wage arguments to direct '[bargaining based on productivity. ! Mr Skinner said that it ’’seemed inevitable that less] profitable firms would suffer! as trade unions pushed for, higher wages for their members on the bases of company [ profits. He agreed that the Budget i seemed to leave a lot to the introduction of the Industrial Relations Bill, but said the bill would not solve any pron-
,lems raised by the Budget. It would simply provide the machinery for settling disputes. [ He welcomed the provisions for tax concessions for overtime and shift workers, [although he felt they could have been simplified. Moves to raise the personal allowance and to encourage worker participation in companies were also pleasing.
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Bibliographic details
Press, Volume CXIII, Issue 33252, 15 June 1973, Page 10
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314Direct bargaining predicted Press, Volume CXIII, Issue 33252, 15 June 1973, Page 10
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