Redundancy protection will give families a fair go

Legislation that would protect New Zealand families against shock redundancy is back on the Parliamentary agenda.

“With the highest jobless rate in 13 years, income security has never been more important,” says Labour MP Sue Moroney.

“My Member’s Bill, the Employment Relations (Statutory Minimum Redundancy Entitlements) Amendment Bill, is about ensuring Kiwi workers, across the skill spectrum, are protected from unexpected redundancy.

“At the moment there are no requirements in New Zealand law for minimum redundancy notice and compensation.

“People are losing their jobs in droves, through no fault of their own. Tough economic times impact on families as well as businesses. This Bill is about sharing the burden.

“This Bill was introduced in 2009 and voted down by the National-led Government in 2010.

“Since then, John Key’s promise to create 170,000 jobs has failed. In fact we now have 175,000 Kiwis looking for work. Thousands of New Zealanders that would have been protected from shock redundancy have lost their jobs, many without adequate notice or compensation.

“This Bill protects all workers. It is about ensuring that if you draw the short straw, no matter if you’re an engineer, an IT specialist or a factory worker, you won’t be left high-and-dry.

“Currently there are gaps and issues with existing laws and provisions around redundancy. This Bill would ensure employees had notice of dismissal of no less than four weeks and compensation for redundancy of four weeks remuneration for the first full year of the employee’s continuous employment with the employer.

“It also provides for further compensation for redundancy in the amount of two weeks’ remuneration for each subsequent full or partial year of the employee’s continuous employment with the employer, up to a maximum entitlement of 26 weeks’ remuneration.

“Transitioning between jobs is difficult no matter what industry you are in. This Bill is a simple measure that recognises that plight, and seeks to give families income security in tough times. I look forward to commending it to the House,” Sue Moroney said.