Lotteries fund to support Rugby World Cup festival events

Public events as part of next year's nationwide Rugby World Cup festival will be supported by a new $9.5 million lotteries fund, Rugby World Cup Minister Murray McCully and Internal Affairs Minister Nathan Guy announced today.

"During Rugby World Cup 2011 we will be staging a nationwide festival which will showcase the best of New Zealand's arts, food and wine, heritage, entertainment, experiences, and lifestyle," Mr McCully said.

"The New Zealand 2011 Festival Lottery Fund will support all sorts of community events associated with the festival. This could include everything from concerts, fairs, and exhibitions, to street markets and parades."

Funding can go towards management and operating costs, artists' fees, publicity, and production costs.

"Rugby World Cup 2011 will be the largest sporting event ever held in New Zealand, and we want to maximise community involvement," Mr Guy said.

"With 23 centres hosting either games or teams, the celebrations and economic benefits are already going to be spread around. This funding will help regions and communities play a major part in the festivities around Rugby World Cup 2011."

Mr McCully said the lottery fund would complement the significant investment that regions and the government were already making in the nationwide festival.

The fund will be administered by the Department of Internal Affairs, and decisions will be made by members of the 2011 Group - Bob Parker, Sir David Gascoigne, Bob Harvey, Sharon Hunter, and Wally Stone. Applications for grants open today, and close on 17 September.  Recipients will be advised in early November.

The funding has been allocated by the Lottery Grants Board, which distributes the profits of New Zealand Lotteries (including Lotto and Instant Kiwi) to various statutory bodies and distribution committees.

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Beware of credit card scam

The Commerce Commission is urging New Zealanders not to fall for a scam in which people are being phoned and told they are eligible for a refund for overcharges on their credit card, but they have to pay the scammers money in order to receive the payment.

The Commission has received several reports in recent days from people who have been phoned. The story used by the scammers in each case is slightly different but with sufficient similarity to suggest that they are coming from the same organisation.

In each case the complainant has been told they are eligible for a $3,000 refund of overcharges on their credit card. In one case the complainant was told this was “on behalf of the Commerce Commission”. In another case the scammer said they were from the New Zealand Banking Association.

In each case the complainants were asked to pay a sum, ranging from $100 to $300 in order to receive the $3,000 payment. The payments were to be made either through Western Union or the Post Office. Contact details the callers gave were completely fictitious.

“This is without a doubt a complete scam. The Commission has not ordered repayments for credit card overcharges, and neither has the New Zealand Bankers Association,” said Greg Allan, the Commerce Commission’s Enforcement Manager, Wellington .

“The power to stop scams of this type is in the hands of the public. The most effective method is to simply hang up. Do not give your bank account details and do not pay any money. If the caller appears to already have your credit card or bank account details, or you have provided them, contact your bank or credit card issuer immediately,” said Mr Allan.

As the scammers appear to have a number of different ruses, it is important the public is generally alert generally to this type of call. The key alarm bell should be that you are being asked to pay money in order to receive a refund. “Think about it, that’s just not right,” said Mr Allan.

The scam appears to be the same as one operating in Australia at present. People who have been phoned by these scammers should report this to the Commerce Commission on 0800 94 3600 or via the website complaint form at www.comcom.govt.nz, or email contact@comcom.govt.nz

While the Commission does not investigate scams, we can coordinate information and pass on to other agencies.

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Medsafe announces date to introduce sales restrictions on some cough and cold medicines for children

From 1 May next year cough and cold medicines for children under 12 years of age containing dextromethorphan and phenylephrine will only be sold in pharmacies.

Products containing these ingredients will only be available in supermarkets from 1 May 2011 if they are re-labelled for use in adults and children over 12 years of age. All non-compliant products will be removed from supermarket shelves from this date.

Group Manager of Medsafe, Dr Stewart Jessamine, said re-classifying products containing dextromethorphan and phenylephrine to pharmacy-only means parents will be able to get professional advice on how to use these medicines safely before buying them for their children.

"These changes are in line with the recommendations made to the Health Minister by the Medicines Classification Committee and Medsafe following concerns about safety of these medicines in children and are similar to changes being made or considered in other countries such as Australia and the United Kingdom."

“If a parent is unsure of the best way to treat their child, they should seek advice from their general practitioner or a healthcare professional,” Dr Jessamine said. "I would advise parents not to use over-the-counter cough and cold medicines for children under six years of age," he said.

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Commerce Commission directs payment of $45 million to ANZ/ING investors

The Commerce Commission has determined the payment method for distribution of the $45 million settlement fund agreed with ANZ National Bank Limited (ANZ) and ING (NZ) Limited (ING) in respect of the ING Diversified Yield Fund (DYF) and ING Regular Income Fund (RIF).

The Commission has determined that the payment method should target returning about 95 per cent of the capital originally invested by eligible investors, taking into account payments already received or likely to be received.

On 22 June 2010 the Commission announced that it had reached a settlement with ANZ and ING in relation to its Fair Trading Act investigation into the promotion and marketing of the DYF and RIF . As part of the settlement, ANZ and ING accepted that some of their conduct may have breached the Fair Trading Act, and agreed to pay a further $45 million to investors.

Approximately 80 per cent of investors should receive a payment from the $45 million fund. The remaining investors who do not receive a payment are likely to recover, or may have already recovered, more than 95 per cent of their initial capital through other remedial steps including accepting the ING offer, receiving compensation from the ANZ or through the Banking Ombudsman’s Office, and through claiming adjustments on tax losses in relation to their investments in the funds.

The payment method has been determined based on information supplied by ING and nominee providers, and was modelled by experts working closely with the Commission and ANZ.

“The payment approach fulfils the Commission’s stated intention to return as much of investor’s initial capital as possible, in the most equitable way. The Commission believes this is the best available outcome for the majority of investors,” said Commerce Commission Enforcement Branch Manager Graham Gill .

“With 15,000 individual investors it has been necessary for the Commission to make certain assumptions, rather than exactly calculating of each investor’s position. Taking this approach we can ensure that the payments approximate each investor’s likely circumstances, are equitable and are quickly executed,” said Mr Gill.

An alternative approach considered by the Commission was to make a pro rata or ‘cents per unit’ payment. This would have seen affected investors receive approximately 7 cents for each unit they held in the Funds. Ultimately, the Commission concluded that this method did not provide for the fairest distribution of the settlement proceeds, as it could have provided a further payment to those who have already received their capital back, at the expense of other investors who may have ended up receiving only 70 to 80 per cent of their capital back.

The Commission, having determined the method of payment, now requires ING and ANZN to finalise the payment calculations, to contact investors and process the payments. Investors should receive a letter within the next three weeks advising them as to whether they will be receiving a further payment.

Payments are expected to be made by mid-late November.

A question and answer sheet is available on the Commission’s website at www.comcom.govt.nz/anz-ing-questions-and-answers

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Visitor arrivals hit 2.5 million

Visitor arrivals to New Zealand were 2.501 million in the June 2010 year, the first time 2.5 million has been surpassed, Statistics New Zealand said today. 

"This milestone was almost reached in 2008, but the global economic downturn contributed to a decline in visitor numbers after a peak of 2.497 million in the
March 2008 year," Population Statistics manager Bridget Hamilton-Seymour said.

 
The 2 million visitor mark was reached in the November 2002 year, and the 1 million mark in the April 1992 year.

 
Visitors from Australia accounted for 1.119 million or 45 percent of all visitors in the June 2010 year. 

A further 25 percent of visitors came from four countries; the United Kingdom (248,900), the United States (194,000), China (105,200), and Japan (83,600).

Visitor arrivals in the June month were 145,800, up 8 percent from June 2009. There were more visitors from Australia, and visitor numbers from China, Japan, and Korea recovered after the H1N1 pandemic affected arrivals from those countries in June 2009. 

Fewer visitors arrived from the United Kingdom and the United States.

 
In June 2010, New Zealand residents departed on 198,800 overseas trips, 13 percent more than in June 2009. There were more trips to Australia, the United States, the United Kingdom, and China. 

In the June 2010 year, New Zealand residents took 1.968 million overseas trips. 

Net migration continues to decrease 

 On a seasonally adjusted basis, net permanent and long-term migration (arrivals minus departures) was 100 (rounded figure) in June 2010, the lowest monthly figure since the series briefly went below zero in November 2008.

This series has been decreasing steadily since January 2010 (1,800). On an unadjusted basis, there were 500 fewer arrivals of non-New Zealand citizens and 900 more departures of New Zealand citizens compared with June 2009.

 
The annual net migration gain was 16,500 in the June 2010 year, down from the recent peak of 22,600 in the January 2010 year. The main inflows of migrants were from the United Kingdom, India, and China.

 
There was a net outflow of 15,900 migrants to Australia, well down from 28,700 in the June 2009 year.

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Lowest number of quarterly stoppages in seven years

The March 2010 quarter had the lowest number of work stoppages since the March 2003 quarter, Statistics New Zealand said today.

 
The one work stoppage which ended in the March 2010 quarter was a complete strike.
 

Thirty stoppages ended in the March 2010 year. These stoppages involved 10,622 employees, losses of 18,240 person-days of work, and an estimated $3.1 million in wages and salaries during the same period.

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New tenancy laws passed in Parliament

Changes to the Residential Tenancies Act passed by Parliament today will better meet the needs of landlords and tenants in today's rental market, Housing Minister Phil Heatley says.

The changes to the Act include clearing up confusing processes around terminating and renewing tenancies, and introducing new financial penalties for tenants harassing neighbours of up to $2,000, or for landlords providing sub-standard housing of up to $3,000.

"These changes respond to significant change in the residential renting market since the first Act's inception in 1986," Mr Heatley says.

The Act has also been extended to cover boarding houses. This means that tenants who have never had any protection or certainty of week to week accommodation will now have access to the full range of tenancy services.

"Boarding house landlords will now generally be required to give tenants 28 days notice that a tenancy is being terminated. The Tenancy Tribunal will also be able to order boarding house landlords to carry out necessary repairs or maintenance," Mr Heatley says.

"Over recent years, the private rental market has been increasingly important in housing those who choose, or need, to rent their homes for lifestyle or affordability reasons.

"It is therefore imperative the legislation governing the sector supports adequate provision of stable, good quality rental housing," he says.

Key changes to the Act include:

• Clearer and fairer processes for terminating and renewing tenancies, including clarifying what happens when a fixed-term tenancy expires and the process for terminating a tenancy due to non-payment of rent and other breaches;
• Measures to encourage landlords and tenants to comply with their obligations under the Act;
• Enhancements to dispute resolution, including increasing the monetary jurisdiction of the Tenancy Tribunal from $12,000 to $50,000, so that most tenancy disputes can be resolved quickly, fairly and cost effectively;
• Improvements to the enforceability of Tenancy Tribunal orders.

The new laws will come into force later this year once supporting regulations have been approved and published.

For more information, visit the Department of Building and Housing website at www.dbh.govt.nz/rta-review or phone 0800 TENANCY (0800 836 262).

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Unfair labour changes will affect all, say nurses

The New Zealand Nurses Organisation (NZNO) warns that labour changes announced by the Government today will affect all New Zealanders.

"Extending the 90 day trial to all employers will effect more than workers," said NZNO CEO Geoff Annals.

"Changes to the 90 day trial period will mean that any new job is effectively only a three month contract. Innovation will be stifled as workers who are currently have permanent employment choose not to take up new opportunities. Both employers and workers will suffer -and ultimately the economy will suffer too."

"New health workers entering the workforce will face uncertainty and stress as they enter the health sector, and overseas positions will be more secure than a job in New Zealand. And at the same time, filling any nursing shortages in New Zealand with overseas nursing staff will become more difficult; a 90 day trial period is not an incentive to accept a position in a different country."

"We are also concerned that the 90 day trial period may mean that employers may not be so willing to provide proper training during that time. The implications for the health sector are dire; if nurses and caregivers are not trained properly the health outcomes for all New Zealanders will be at risk. NZNO believes that right care must be provided in the right place at the right time."

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Record Arrivals Provide Early Winter Boost for Tourism

The tourism industry received an early winter boost in June, with Australia holding up visitor arrivals and promising a strong ski season.

Statistics New Zealand figures out today show international visitor arrivals were up 8 per cent in June 2010, compared to 2009, to 145,800 visitors. They were up 3.7 per cent for the year to date.

Growth for the month was led by a strong start to the winter ski season out of Australia (up 7 per cent to 76,200 visitors), and recovery in key Asian markets following last year’s Influenza A H1N1 (Swine Flu) pandemic.

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Reserve Bank Funding Agreement ratified

A new five-year Funding Agreement ratified by Parliament today ensures the Reserve Bank has resources for its existing and expanded roles, while reflecting tight control of underlying costs, Governor Alan Bollard said.

 

Unlike other Government agencies, the Bank’s operating expenditure is funded from income from investments under a five-year funding agreement between the Minister of Finance and the Governor, reflecting the Bank’s operational independence.

 

The current Funding Agreement, signed in April 2005 and varied in April 2008, expired at the end of June 2010.  The new Funding Agreement sees the Bank’s operating expenditure increase from $46.9 million in 2009-10, to $47.8 million in 2010-11, and then increasing to $56.4 million by the final year, 2014-15.

 

Dr Bollard said the increase in expenditure reflects additional responsibilities Parliament has given, or is in the process of giving, to the Bank, as well as the initial stages of an upgrade of New Zealand’s bank notes, and the establishment of an office in Auckland.

 

“The Bank has been given responsibility for the prudential regulation of non-bank deposit takers, and, if legislation passes, will shortly take on responsibility for prudential oversight of insurers.  We also have a new role to play in anti-money laundering and countering the financing of terrorism,” Dr Bollard commented.

 

“The new Funding Agreement provides for the early stages of an upgrade of New Zealand’s bank notes, which will be 15 years old by the end of the agreement.  A new small office is also being established in Auckland to ensure on-going provision of key banking and market services in the event of a natural or infrastructure crisis in Wellington.”

 

Dr Bollard said the new five-year Funding Agreement has been negotiated in an environment of considerable scrutiny.  The Bank was required to demonstrate value for money and tight control of underlying costs.

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PM to kick off All Whites' homecoming parade

Prime Minister and All Whites' FIFA World Cup campaign patron, John Key, will kick off today's civic parade for the team as it departs from Parliament.

Mr Key will wave the team off at 12.30pm before joining the All Whites at the parade's end at Civic Square.

"The All Whites' World Cup campaign had the whole country enthralled - not just because they were playing in only their second-ever World Cup, but because they played beyond all expectations," says Mr Key.

"Every game they played was gripping. The team's ability to match it with the giants of the football world was one of the most talked-about aspects of the tournament, and they have done an enormous amount to boost New Zealand's global reputation and profile."

Mr Key says the parade is New Zealand's chance to thank the team for their top-class efforts.

"The All Whites came out as the only unbeaten team at the tournament, which is remarkable. I'm delighted so many All Whites will be able to get among the fans tomorrow and experience first-hand their enthusiasm and passion."

In addition to a number of non-Wellington based All Whites, members of the Wellington Phoenix and the Boca Juniors will also be on parade ahead of Friday night's friendly.

"I'm sure Wellington's football fans will be out in force to see some of New Zealand's and Argentina's top-flight players - it will be a parade to remember," says Mr Key.

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Commerce Commission urges caution again over holiday vouchers

Consumers should exercise caution when approached by telemarketers selling vouchers for discounted or free holidays, hotels and flights, the Commerce Commission warned today.

“These types of schemes have been marketed in New Zealand for some years now. In our experience some are legitimate and others are not. We hope that highlighting these schemes will help educate consumers so that they can know the difference and avoid being taken in,”said Greg Allan, Commerce Commission Enforcement Manager, Wellington . “Once you have purchased vouchers, it can be very difficult to get your money back if they don’t deliver the benefits you expected.”

“The Commission is aware that some consumers have been recently contacted over the phone by businesses claiming to be selling vouchers or schemes for discounted accommodation in New Zealand and Australia ,” said Mr Allan. 

“Some consumers have found that the vouchers cannot be used in all the places promised, while others are concerned that they have signed up for an ongoing membership that will be automatically renewed annually.”

“While there are legitimate companies offering vouchers that provide genuine discounts, any company selling vouchers that are not redeemable for the services that they claim risks breaching the Fair Trading Act,” said Mr Allan.

“It is understandable that people are attracted by offers that appear to make their holiday dollars go further, but before committing to any offers or giving credit card or bank account numbers it is worth taking the time to check that the vouchers will deliver what is promised,” said Mr Allan.

“While telemarketers can be persuasive and persistent, don’t feel pressured to make a decision straight away. Ask for details like which providers are involved in the voucher scheme and check independently before making any commitment to purchase. This can be as simple as finding out the names of hotels who are supposed to be involved and calling them to check if they will honour the vouchers.”

The Commission has previously warned consumers about telemarketed holiday and accommodation vouchers. The Commission has also taken successful court action against a group of Australian companies marketing a voucher programme in New Zealand .

If you have purchased vouchers for discounted hotels and believe that you have been misled, you can register your complaint via the Commission’s online form on www.comcom.govt.nz, by email contact@comcom.govt.nz or phone 0800 943 600.

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Green GP survey shows medical certificates an unworkable sick joke

After ringing 40 GPs nationwide it appears National’s policy of requiring medical certificates for only one day’s sick leave is simply unworkable, said Green Party Co-leader Dr Russel Norman.

The Key Government is planning to give employers the right to require a medical certificate from workers who have only taken one day off work. The Green Party this morning conducted a random nationwide survey of 40 GPs in the four main centres. Of the 40 GPs consulted only 12 said they could squeeze in a patient with flu-like on the same day.

“Health Minister Tony Ryall pointed out last month in a speech to health professionals that New Zealand has a shortage of GPs,” said Dr Norman.

“With an already stretched health system the idea workers with a stomach bug or the flu should pull themselves out of bed to get a medical certificate is simply unworkable and draconian.

“Not only will the trip to the doctor more than likely prolong any illness, it will also be a huge drain on our health system, costing the taxpayer millions.

“The really stupid part of this policy is that sick people are supposed to avoid contact with others. Rather than lifting productivity this Ebenezer Scrooge-like ideological burp is likely to result in more people getting ill and missing work.

“What we have seen in the last few days from National is onslaught of anti-worker ideas that will make the two percent of hard right Act supporters delighted while destroying New Zealand workers rights to a fair go.”

The survey at a glance:

40 GPs surveyed

-10 in Wellington

-10 in Dunedin

-10 in Christchurch

-10 in Auckland

-25 / 40 said not today

-12 / 40 said today

-3 / 40 said we may be able to squeeze you in

-1 day wait to see doctor at 12 places

-2 day wait to see doctor at 2 places

-4 day wait to see doctor at 1 place

-8 / 40 doctors had closed their books to new patients

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Sick leave proposal a very simple change

Minister of Labour Kate Wilkinson says the suggestion that every employee will be asked to provide a medical certificate whenever they are sick is ridiculous.

The Government is proposing to amend the current law so employers do not need to have proof when they suspect an employee of pulling a ‘sickie'.

"Employers aren't going to waste their time and money asking every employee for a medical certificate when they take a day off sick. It's simply ridiculous to believe that would be the case," says Ms Wilkinson.

"Ultimately, the employer must make arrangements to pay for the doctor's visit. No one is going to go to those lengths for the sake of it.

"In reality employers will use this option to question those they suspect of routinely abusing the sick leave provision.

"This could be someone who calls in sick on the busy days or has a pattern of taking Mondays or Fridays off work.

"To argue that this would lead to increased healthcare costs or an overwhelming workload on doctors is laughable.

"Simple commonsense tells you it will be used sparingly and good workers aren't going to see any difference to the current regime."

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Migrants will be hard hit by labour law changes

An extension of the ‘fire-at-will’ law and reduced access to union support could potentially exploit migrant workers and people on work permits, Labour Party Associate Ethnic Affairs spokesperson Dr Ashraf Choudhary says.

“It is already common for migrants to feel discrimination, exclusion and prejudice when they arrive in a new country and enter employment. I do not see how the 90-day-trial and lack of union representation will do anything other than make things worse,” Ashraf Choudhary said.

“Some refugees, particularly, have a fear of authority figures, because they have experienced torture and brutality. As a result they are reluctant to report things. We need to be very mindful of this. This plan may simply add extra pressure on families.

“Newcomers need time to adjust to the environment, language barriers and the demands of their new job. Migration involves profound loss and stress for families,” Ashraf Choudhary said.

Ashraf Choudhary said there is also potential for some employers to exploit international students, who are allowed to work 20 hours a week, by offering them the minimum wage and then getting rid of them when they want to.

“Since becoming the Government, National has introduced the 90 Day fire-at-will law, stripped workers of rights around meal breaks, scrapped the Pay Equity Unit, will soon announce an attack on the Holidays Act, and is now about to remove the right of workers to have access to union representation.

“I urge the government to consult the ethnic and migrant communities before taking workers’ rights away from them. With increasing diversity in our workplaces, it’s important that the views of migrants are taken into account before making decisions like this.”

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90-Day Trial Period extended to all employers

The 90-day trial period is to be extended to enable all employers and new employees to have the chance to benefit from it, says Minister of Labour Kate Wilkinson.

The extension is among planned changes to the Employment Relations Act 2000 that Prime Minister John Key announced today in a speech to the National Party Conference.

"The Government is focused on growing a stronger economy and creating more jobs for New Zealand families," says Ms Wilkinson.

"There are a lot of people looking for work and the changes announced today will help boost employer confidence and encourage them to take on more staff."

Ms Wilkinson says a Department of Labour evaluation of the trial period showed it had been beneficial for both employers and employees.

"The evaluation showed that 40 percent of employers who had hired someone on a trial period said it was unlikely they would have taken on new employees without it.

"Trial periods were introduced to encourage employers to take on new staff and I'm pleased to see this is occurring.

"It's also great to see that by far the majority - at least 74 percent - of people employed on a trial period have maintained their employment. It's clear this law is a win-win for employers and employees. Extending it will give all employers and potential employees the chance to benefit from it."

Further changes to the Employment Relations Act include:

• Promoting mediation by providing that the Employment Relations Authority gives priority to mediated cases;
• Developing a Code of Professional Conduct for employment representatives;
• Enabling Authority members to throw out frivolous or vexatious cases at an early stage;
• Allowing Authority members to award penalties against parties who fail to attend investigation meetings without good cause; and
• Modifying the test of justification in s103A of the Act.

Rules on union access to workplaces will also change so any access will require the consent of the employer - but consent may not be unreasonably withheld.

"The Government is committed to an employment relations system that helps employers and employees resolve disputes quickly and inexpensively," says Ms Wilkinson.

"While the current system generally works well, it can prove time-consuming and costly. The changes announced today will reduce costs by providing a more efficient system while maintaining fairness.

"The Act Party has taken a close interest in these changes and I want to thank them for their valuable input." 

A Bill amending the Employment Relations Act 2000 is being drafted for introduction this year.

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Attacks on workers and unions sinister

Leaked information that the Government will both extend the law that removes the right to appeal against unfair dismissal and restrict union access onto worksites is a throw-back to the bad old days of the Employment Contracts Act of the 1990s, CTU President Helen Kelly said today.

“We have already seen that National doesn’t understand that employment rights should include protection for workers from arbitrary employer decisions when they first removed appeal rights,” said Kelly, “but the revelation today that they also intend to stop unions accessing workplaces unless the employer agrees is a deliberate attempt to undermine the growing opposition of workers to the National/ACT industrial relations agenda. It is a breach of international law, anti democratic and will damage New Zealand ’s image as a place where work rights are respected.”

“John Key will need to explain why unions are OK on the one hand when issues like the economic crisis require co-operation, but then move to deny workers the right to freely join unions. Union membership is voluntary in New Zealand and the right to access workplaces is essential for efficient union operations. Clearly, workers work in workplaces – that is where they talk about work rights, collective bargaining, health and safety, productivity and other issues. To make union access subject to employer agreement will hinder the ability of workers to have a voice at work but also create unnecessary conflict between unions and employers.”

“It is important for every worker in New Zealand to have the right to appeal against unfair dismissal and it is a disgrace that the Government intends to remove that right from hundreds of thousands of workers.”

“The CTU has represented workers dismissed using the 90 day provisions in very unfair and unclear circumstance. For a number of the young people we have represented it has been a simply devastating experience. Unions have also experienced restricted access rights during the 1990s. This saw many employers using access as a tool to deny union membership. It included forcing workers to meet union officials one on one in rooms such as a public tea room, agreeing to access and denying it when unions turned up and many other diversionary tactics. Relationships suffered in this period.”

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CPI up 0.3 percent in June 2010 quarter

The consumers price index (CPI) rose 0.3 percent for the June 2010 quarter, Statistics New Zealand said today. 

"Higher tobacco, transport, and housing prices in the June quarter were partly offset by lower food prices," prices manager Chris Pike said.

The CPI measures the rate of price change of goods and services purchased by households.

Cigarette and tobacco prices rose 8.7 percent, reflecting excise duty increases on cigarettes and tobacco. 

Retail prices for cigarettes rose between 8 and 10 percent, and tobacco prices about 20 percent.

With these increases occurring at the end of April, two-thirds of the impact was shown in the June 2010 quarter CPI.

Food prices fell 0.9 percent, reflecting lower prices for meat, poultry, and fish (down 3.3 percent) and fruit and vegetables (down 2.6 percent).

The transport group rose 0.9 percent in the June 2010 quarter, reflecting higher prices for petrol (up 1.4 percent) and second-hand cars (up 2.4 percent).

The housing and household utilities group rose 0.5 percent, with higher prices for rentals for housing (up 0.5 percent) and electricity (up 1.0 percent).

The CPI increased 1.8 percent for the year to the June 2010 quarter. The transport group (up 6.6 percent) accounted for half the increase, reflecting higher prices for petrol (up 9.5 percent), international air transport (up 16.1 percent), and second-hand cars (up 7.7 percent). Food prices fell 0.7 percent.

Non-tradable goods and services (which do not face foreign competition) increased 2.2 percent for the year to the June 2010 quarter. 

The annual increases for non-tradables have been no more than 2.3 percent for the past three quarters, whereas annual increases were at least 3.0 percent for the previous eight years. 

Tradables (which are exported, imported, or compete with imported goods) rose 1.1 percent in the year to the June 2010 quarter.

Statistics NZ visits 3,000 shops around New Zealand to collect prices for the CPI and check product sizes and features.

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Key Government set to break election promise on employment law

The Key Government seems intent on breaking one of its own 2008 election promises and setting employment relations in New Zealand back two decades, said Green Party Co-leader Dr Russel Norman today.

John Key is likely at the National Party’s 2010 conference this weekend to widen the 90 day probationary period for new workers beyond small to medium businesses to all large New Zealand employers.

“Any plan to widen the 90 day fire-at-will law to all businesses during this term will be a clear breach of National's 2008 industrial relations pre-election policy," said Dr Norman.

“National’s pre-election policy paper clearly stipulated the probationary period is for businesses with fewer than 20 staff.

Dr Norman considers that the expansion of the 90 day fire-at-will law is aimed at National’s big business backers.

“This move will allow the biggest corporates in New Zealand to sack new workers at will.

“Workers in danger of being arbitrarily sacked will be reluctant to push for better working conditions.

“Taken together with National’s other policy of allowing employers to keep union officials out of workplaces this is the biggest assault on workers rights since the Bolger-Richardson Government of the early 90s,” said Dr Norman.

Green Industrial Relations spokesperson Keith Locke said "there are already common sense restraints on union officials coming on site, so that they don't violate safety rules or unnecessarily disrupt the work flow.

“Unions will simply not be able to service their members if they are mucked around by employers when they arrive at the factory or office.

“It is a recipe for de-unionising workplaces and can only benefit anti-union employers such as the Exclusive Brethren.

“Workers' hopes of bargaining for a better deal will be undermined if employers can veto on-the-job discussions with their union representatives.

“The proposed change breaches a fundamental human right, the right to access a union at work,” Mr Locke said.

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Greens applaud AA advice on tyre pressure

New Zealanders could save money and hundreds of thousands of tonnes of carbon emissions by inflating their car tyres correctly, said the Green Party today.

A survey by the AA has found that 48 percent of cars could have underinflated tyres, meaning nearly half the private vehicle fleet could be wasting fuel and compromising safety.

The survey results were published in the latest AA Directions (Winter 2010) magazine.

“The AA research shows a simple area where huge gains could be made, both for the economy and the environment,” said Green Party Transport spokesperson Gareth Hughes.

“The AA estimates that on average a car uses an extra 58 litres of fuel a year if the tyres are under-inflated.

“We may be wasting 73 million litres of fuel or putting 170,000 tonnes of extra carbon dioxide into the air each year because of this.

“The Green Party supports the excellent research undertaken by the AA, and encourages all Kiwis using a car to check their type pressure at least monthly.

“By keeping your tyres at the correct pressure, you could more than offset the additional costs of the Emissions Trading Scheme on fuel,” said Mr Hughes.

For more fuel saving driving tips see www.aa.co.nz and www.energywise.govt.nz

For more information about AA fuel-saving tests see: http://www.aa.co.nz

/aadirections/driver/pages/fuel-myths-exposed.aspx and http://www.aa.co.nz/aadirections/driver/Pages/Tyre-pressure.aspx

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Benefit numbers show recession not over

The increase in numbers of people on unemployment benefit to 62,085 shows that the recession is not over, said the Council of Trade Union today. 

Peter Conway, CTU Secretary, said: “It is important to remember that before the recession there were fewer than 18,000 people on unemployment benefit.” 

The CTU has called on the Government to invest in job-rich programmes, skills development and green jobs. These figures show that more needs to be done.

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Protect the Police by cracking down on gun registration

The Government should resist pressure from the Police Association to arm frontline police officers, Green Party Police spokesperson Keith Locke said today.

Police Association President Greg O’Connor has pushed for officers to carry guns on a more regular basis, in the wake of the shooting of two officers in Christchurch yesterday.

“We want to do all we can to protect our Police, but having more officers carrying guns is not the answer,” said Mr Locke.

“Overseas, criminals have tended to arm themselves in response to Police carrying weapons, with more officers ending up shot or killed.

“One way to assist the Police and lessen the possibility of them being shot in the line of duty is to register all firearms.

“Police would then have a better idea of what weapons are at an address and take appropriate precautions.

“Given the carnage guns can wreak, it is time we kept track of exactly where weapons are in our communities.

“The Green Party supports making quick progress on the Arms Amendment Bill which has been languishing in Parliament for some years,” said Mr Locke.

Mr Locke considers that such a database should include high-powered air guns such as the weapons which killed Sergeant Don Wilkinson in 2008.

“It would be a sad day in New Zealand if we departed from our long tradition of having a mainly unarmed police force.”

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New ACC rules for penalising accidents won't work

Penalising companies that have accidents will discourage companies from reporting them and could lead to accident victims being pressured into not making claims, said the Green Party today.

“Penalising companies that report accidents was trialled in the 1990s. It did not work then and it will not work now. It effectively gives companies money to under-report accidents," said Green Party Co-leader Russel Norman.

In the 1990s, financial penalties for accidents led to employers trying to stop accidents being classified as work accidents. There was more litigation and a lot of uncertainty, as the formula for who would be penalised changed from year to year.

“ACC should be about all accident victims getting a fair go and the help they need. The scheme announced today will stop legitimate claims and stop vulnerable people getting the support they deserve.

“This move will also make ACC's finances worse, as was shown when it was trialled in the 1990s.”

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Govt relies on rain and recession to reduce emissions

The Green Party says John Key’s Government is relying on heavy rain and recession to lower greenhouse emissions, while simultaneously building more motorways.

“We hear lots of talk about emissions reductions, but the Government’s actions are creating a different future,” Green Party Co-leader Dr Russel Norman said.

The latest edition of the New Zealand Energy Greenhouse Gas Emissions boasts a seven percent reduction in energy-related emissions, attributed to rain-filled hydro lakes and the recession, which impacted transport and industry.

“Relying on good luck rather than good management is a recipe for disaster,” Dr Norman said.

“The billions currently being spent on motorways is effectively a subsidy to the road freight industry.

“Spending the same amount on rail or shipping infrastructure would actually cut our emissions.

“A modest fuel economy standard would also achieve better transport results without having to hide behind a recession.

“And weakening the Emissions Trading Scheme, which subsidises polluters, will also contribute to an increase in emissions.

“While the picture looks rosy today, in the long run, we’re going backwards.

“Relying on rain and recession to reduce emissions won’t work,” Dr Norman said.

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Reform of ‘claim of right’ law a waste of everybody’s time

An inordinate amount of Government time and energy is being misspent on reforming the ‘claim of right’ law after its use in the trial of the Waihopai Three, Green Party Human Rights spokesperson Keith Locke said today.

In March three men were found not guilty of intentional damage after they deflated a dome at the Waihopai spy station. The Government has just announced it plans to either reform or repeal the 'claim of right' defence successfully used by the defendants in the Waihopai case.

“The Key Government is overreacting to the not guilty verdict in the Waihopai trial,” said Mr Locke.

“There is a common-sense justification for the ‘claim of right’ defence. Most people would support someone breaking down a door if they believed someone inside was in distress – even though damaging the door might technically be a crime.

“The Waihopai Three believed they were also helping people in distress. They offered proof that the Waihopai spy station had been used to spy on nations opposed to the disastrous war in Iraq.

“None of the legal changes suggested by the Ministry of Justice has much merit.

“A ‘reasonableness’ element – as suggested by the Ministry of Justice - does not need to be added to the law, because juries will always take this into account.

“The defendants will presumably provide evidence for their belief as in the Waihopai Three trial.

“This doesn’t mean we should reverse the ‘burden of proof’ from the prosecution to the defence,” said Mr Locke.

“In the end, defendants have to get their arguments past a Kiwi jury.

“There are a lot of urgent things for the Government to be spending its scarce resources on. Tinkering with the ‘claim of right’ law is not one of them.”

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Report on MP expenses needs to be listened to

The first independent report on the issues around MP expenses is a step in the right direction and needs to be listened to, the Green Party said today.

“The recommendations of this report need to be taken seriously. It is important that there is an independent body to review the remuneration and allowances of MPs. There needs to be a system set up that the public can have confidence in,” said Green Party Co-leader Metiria Turei.

The Fourth Triennial Parliamentary Appropriations Review was released today. It is a comprehensive review of the how the Parliamentary Services budget is used and includes wide ranging recommendation for reform.

“This report highlights issues that we have been concerned about for a long time such as the need to separate private benefits from legitimate work expenses.

“There needs to be serious public discussion of this report and changes need to be made. The current system is due a serious independent overhaul to help restore the public faith in how their money is being used,” said Mrs Turei.

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Union needs to get on with bargaining

The PPTA should return to the bargaining table and would not succeed in pressing its claims via the media, the Ministry of Education said today.

“The Ministry has responded to the PPTA’s claims at bargaining,” said Group Manager Education Workforce Fiona McTavish. “We’ve told them that some of their claims are simply unaffordable in the current economic climate; and that, at a time of fiscal constraint, others need a much stronger case.”

“It’s only at the bargaining table, not through the media, that the PPTA will be able to present this case,” she said.

Fiona McTavish said the PPTA had made misleading claims about requirements that teachers be available for duties such as professional development or administrative work during term breaks.

“Boards of trustees already have the power to ask teachers to return to school for a maximum of 10 days during term breaks,” she said. “The Ministry’s claim doesn’t add additional days. It simply seeks to clarify the process, including requiring boards to give reasonable notice to teachers.”

“I’m sure the PPTA is aware of the Government’s call for fiscal constraint across the State sector; and that they’re aware of the nature of other recent State sector settlements,” she said.

“The Ministry is keen to reach a realistic, fair and affordable settlement. We’ve told the PPTA we’re keen to get back to bargaining as soon as they’re ready. I encourage them to come back to the table with realistic expectations,” she said.

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