10. DARIEN FENTON (Labour) Link to this
to the Minister of Labour
Does she stand by her statement “Much of our attention has also been focussed on the economic downturn and exploring means to help protect workers and businesses from the sharp edges of the recession”, and if so, which Budget 2010 initiatives will help to achieve that?
Hon KATE WILKINSON (Minister of Labour) Link to this
Absolutely. It was a very good statement made back in March 2009, but actually we are no longer in a recession—tough times, yes, but recession, no. Budget 2010 has set this country on the path to greater economic growth, and workers and businesses now have greater confidence in the future. Our talented Minister of Finance has overseen the biggest and fairest reform of our tax system in 25 years, and Kiwi workers are the big winners.
How will the Budget 2010 decision to allow young workers hired through the Job Ops scheme to be fired within 90 days with no right of appeal against unfair dismissal help protect those already vulnerable workers?
Hon KATE WILKINSON Link to this
Feedback from employers and others on the Job Ops scheme has been incredibly positive. The only request was that it be more flexible. It now is.
Is it fair that employers can receive a subsidy of up to $5,000 through Job Ops—presumably, in recognition of their help in bringing down youth unemployment—but then can fire those subsidised workers within 90 days, with no fear of an appeal against dismissal?
Hon KATE WILKINSON Link to this
Questions about the funding policy of Job Ops are better directed at the Minister for Social Development and Employment. But I understand that that has been taken into account.
Is the Minister aware that the Minister of Finance told Māori business leaders at a post-Budget breakfast on Tuesday that the best answer when he is asked what is in the Budget for Māori is 179,000 new jobs over the next 4 years; and what strategies has she employed to ensure that Māori are actively targeted to gain these 179,000 new jobs?
Hon KATE WILKINSON Link to this
Yes. The department has developed partnerships with iwi to develop and analyse local and national labour market information, including the development of a set of interactive labour market tools. However, we expect all New Zealanders to benefit from our prudent financial stewardship of our economy.
How will removing the redundancy tax credit—which was designed to ensure that workers made redundant through no fault of their own would not end up having to pay a higher level of tax—help to protect those workers from the sharp edges of the recession?
Hon KATE WILKINSON Link to this
That tax credit, as I understand it, was created because of questions of unfairness in Labour’s high tax rates. That problem has now been addressed by reducing tax rates, and, indeed, lowering all tax rates.