C.S.U. sees danger in recasting State services

Press, 14 December 1985, Page 8

C.S.U. sees danger in recasting State services

PA Wellington The Combined State Unions have challenged the Government for its plans to reorganise public sector enterprises and for suggestions that the present wage round will cause unemployment. Recasting the public sector in the image of the private sector would limit its ability to service the New Zealand public, said the C.S.U.’s chairman, Mr Colin Hicks, yesterday. “The public will be the loser if the Government’s programme to tear down

the apparatus of the State continues,” Mr Hicks said. He said the advantages of the present system were: © It provided services for people who at times could not afford them. © Prices of services could be organised to subsidise some services where there was special needs. © Rural areas got services that they alone could not pay’ for. @ Extra investment could go into protecting the environment, public health and safety, regional development, long-term

research and recreational > facilities compared with I when a- strict recovery of f costs from an - immediate client was the requirement. K J © State activities could be expanded or contracted to balance out the boom- ' bust cycle in the economy. " i Mr Hicks said the Gov- j ernment was wrong to tar- J get the unions as respons- J ible for unemployment in- | creases in the New Year. ’ “Unemployment would have increased next year •; regardless of what happened in the wage round,” he said. <