National reveals policy allowing businesses to fire staff after 90 days

ONE NEWS: The party behind one of New Zealand's most controversial job laws is putting workers back on notice.

The National Party introduced the Employment Contracts Act 17 years ago. Now, the party has revealed, on TV ONE's Agenda Programme, that it will allow small businesses to fire new staff after 90 days if it gets into power.

Two years ago National MP Wayne Mapp tried to introduce a Private Members Bill which allowed employers to take on staff without the risk of personal grievance procedures.

The unions took to the streets then to fight National's 90-day probation plan for new workers, and they are still against it.

"It means that they wouldn't have any rights, any protections against unfair dismissal, or unfair treatment at work," says Andrew Little, EPMU National Secretary.

Mapp's bill was rejected, but the idea is back on National's agenda.

"People who are on the margins of the labour market need the opportunity to show they can do it. And for small business who are under real pressure - the decision to take someone on is a big decision and a big risk for the business," says Bill English, National Deputy Leader.

National says the 90-day probation period will apply to small businesses with fewer than 20 staff.

And it will be at the discretion of the employer to pick and choose who goes on probation.

Most western countries have probation periods, and employers say it will encourage them to give migrants and people with poor employment records a chance.

But Little says this is not the way to go.

"We want to support small businesses. The way to do that is not to take away the rights of working people."

The policy is also one that the Labour Party will not support.

"We believe that young workers, vulnerable workers deserve protection," says Trevor Mallard, Labour Minister.

National will soon reveal its industrial relations policies and says it will not contain anything too radical, like a return to the controversial Employment Contracts Act.

Government Against Policy

STUFF.CO.NZ: Miss Clark said today the Government totally opposed it.

"At the moment there is a provision in the law for a probation period for new employees, but you don't lose all your rights," she said.

"This takes away the rights of new employees.

"Workers aren't going to give up a job they've had for a while to go and work for another small employer when they're not going to have any rights."

Miss Clark said it would be counter-productive.

"They say this is only going to apply to a business with fewer than 20 employees – this is completely daft," she said on TV One's Breakfast programme.

"Unemployment is at 3.6 per cent. . . we have to take in tens of thousands of people on work permits because we don't have enough people here to do the work."