Labour market reform necessary—Bolger

Press, 1 August 1989, Page 6

Labour market reform necessary—Bolger

Wellington reporter Labour market reform was less about a battle between capital and labour, and more about fear of the unknown, said the Leader of the Opposition, Mr Jim Bolger, yesterday. “I have confidence that the vast majority of New Zealand workers know that changes have to be made,” he told a Richmond audience. A National Government would abolish compulsory unionism, and encourage regional, industry, and workplace bargaining, he said.

“We will set minimum standards to prevent exploitation, but above that we will encourage maximum flexibility to ensure that the most logical arrangements are entered into,” said Mr Bolger. Reforming labour market law would improve productivity, real wages, and provide more jobs, he said. Criticising the Budget, Mr Bolger said the Government had opted for a stingier version of National’s superannuation policy. He disagreed too with proposals to standardise benefits, which would give

an unemployed person the same as a widow. He questioned whether '"employers should be made to pay for illnesses under the proposed changes to the Accident Compensation Corporation. “Employers are not responsible for the cost of debilitating illness such as cancer, heart disease, or A.1.D.5.,” said Mr Bolger. “It appears that the benefits for short-term injuries and sickness will be stopped, and that subsequent payments will be at a much lower level, unless a person suffers longterm incapacity,” he said.