web analytics

About that pay equity deal

Written By: - Date published: 10:26 am, July 1st, 2017 - 15 comments
Categories: class war, health, national, Unions, useless, wages, workers' rights - Tags: , , , ,

After a long legal struggle, in an outcome described as a victory for resurgent unions, health care workers won a much deserved and significant pay increase. Brazenly, the Nats tried to claim the credit for a move they fought against tooth and nail. And now, this:

Pay equity deal’s missing millions

Long overdue pay rate increases affecting 55,000 New Zealand care and support workers kick in on July 1. But the Government’s failure to fully fund the changes is threatening to derail service providers

The $2 billion pay equity deal was hailed as a triumph for under-paid care workers and a capitulation by Government funders – but as the July 1 deadline for pay equity arrives, it’s becoming clear this was a hollow victory for the sector. In many cases the money – estimated to be at least $250 million for just one group of service providers – won’t be coming, and some providers will go under as they struggle with the reality of higher wage bills and training costs.

That’s bastard politics that is.

Emails and letters provided to Newsroom detail the Ministry of Health’s persistent avoidance in confirming funding amounts to providers, as well as admissions that its “funding model” does leave some outfits out of pocket. Furthermore, the Care and Support Workers (Pay Equity) Settlement Act, which took only two weeks to be passed into law, has ensured providers have minimal say at the contract negotiating table.

In April, when Health Minister Jonathan Coleman proudly announced the $2 billion pay equity settlement, Kristine Bartlett – whose 2012 pay equity claim with aged care provider TerraNova set in motion the five-year fight that culminated in the May agreement – held back tears as she spoke of the occasion: “I’m so happy for the care and support workers. Because for so long we’ve been struggling … but we did it.”

At the time, Coleman didn’t miss a beat – calling the pay equity settlement “an historic moment for the Government to address this undervaluing with Ms Bartlett and the unions”.

Since then, four sector organisations – the New Zealand Aged Care Association (NZACA), the New Zealand Disability Support Network (NZDSN), Care Association New Zealand (CANZ) and the Home and Community Health Association (HCHA) – have been in continuous communication with MPs, the Ministry of Health, DHBs and ACC about the millions of dollars missing in funding for the pay equity changes.

So far, none of the organisations has been given the exact information that shows how the Ministry of Health and ACC devised its funding models and calculated the extra costs related to the pay equity changes. Newsroom also asked for the information, and was refused by the Ministry on the grounds it was “commercially sensitive”. …

This is yet more excellent reporting from Newsroom (Teuila Fuatai). Read on for plenty more, and Coleman’s denials.

In other news this morning: Health budget falls $215m short, unions say, and Government knew of DHB blunder before Budget.

We can’t trust National on anything.


Newsroom are the best thing that has happened to journalism in this country in ages. You can support them via Press Patron.

15 comments on “About that pay equity deal ”

  1. NZJester 1

    The deliberate underfunding is the Nats way of making all these services crash so they can break the strong unions and put in a system similar to the charter schools and private run prisons in the health sector. Wages will then go down as the skilled workers are replaced by unskilled ones allowed to do the job under new legislation, but costs will go up as money is poured into the pockets of those uncaring companies that will be running the new schemes.

  2. dv 2

    If they can’t get this right, (or the distribution of funs to the hospitals) how on earth do they “think” they will get the big data intervention even close to right.

    • ianmac 2.1

      “If they can’t get this right, (or the distribution of funs to the hospitals) how on earth do they “think” they will get the big data intervention even close to right.”
      Don’t think that Hospitals ever get “the funs ” right dv. 🙂

      But we notice how the Right says things like “if Labour can’t get their intern process right how can they run Government?”

    • You’re assuming it’s incompetence as opposed to malice, which I’m not sure is entirely a good idea.

  3. patricia bremner 3

    Asset stripping by under funding. Typical Rank Nasty party.

  4. millsy 4

    Time to bring back aged care services under the control and provision of DHB’s. Its the only way that this can be sustainable.

    This was all privatised over the past 30 years with Timaru’s unit being closed down a couple of years ago being the last one in public ownership.

  5. red-blooded 5

    The other thing to note is who’s been left out of this deal – mental health workers. Carers who work with people with mental disabilities are covered, but not those who work with people with mental health issues. Why not?

  6. Keith 6

    Nothing highlights the dishonesty of the National Party more than this sort of deal breaking behavior.

    These devious creeps claim all the glory in the bright lights of the media, the sickening Coleman comes across all fatherly and progressive meanwhile fully knowing that what was promised was just empty words.

    All the promises they make, the budget, the reassurances of more bring spent here, more police there, more on topical health issues , are all just lies.

    Another reason if we needed another to vote the fuckers out!

  7. adam 7

    Who would have thought it?

    My goodness, where is Wayne to say it’s all in the budget?

    Oh well, disabled and the aged will suffer once again in this country, it’s such a great place to be.

    Were number One!!!

    Were number One!!!

    Were number One!!!

    In suicides, and letting children die of poverty related issues – so why the hell should we be any different with the elderly and disabled??

  8. Dorothy Bulling 8

    My husband’s personal caregiver tells us her employers are going through every case they have on their books to see if time can be stripped from any cases so they can save
    dollars on their budgets.

    • weka 8.1

      If that’s care being provided at home then technically that shouldn’t be possible, because the organisation that allocates hours via a needs assessment is supposed to be separate from the provider and the provider should have no control over hours allocated.

      So if it does happen, go back to the organisation that allocated the hours and complain there. Where that falls down is where the allocator and the provider are the same (some DHBs might still be doing this). In that case go outside the department and up the chain in the DHB. Or try a local MP. Because it shouldn’t be happening, there were good reasons to set up the system so the provider feeling a squeeze in their budget couldn’t cut hours to people in need. .

      I fully expect the MoH and DHBs to cut allocated hours eventually, but that’s a different thing than what we are seeing currently. I also expect organisations like rest homes to cut services by reducing staff. But support at home should technically be reasonably bullet proof until the allocations get cut formally. Hopefully we will have a new govt by then, more willing to sort the mess out.

  9. tc 9

    cruel and calculated like flogging state houses at mates rates

  10. greg 10

    the whole system is so stuffed if one group wins any kind of fair deal the house of cards falls over when is a surplus not a surplus when its foundations are based on exploitation and oppression in the race to the bottom.

Recent Comments

Recent Posts

  • Government funds work to clean up six contaminated sites
    The Government has announced funding to clean up six contaminated sites to reduce the risk to public health and protect the environment.    “These six projects will help protect the public from health risks associated with hazardous materials, so New Zealanders can live in a cleaner, safer environment.” Environment Minister David Parker ...
    BeehiveBy beehive.govt.nz
    7 hours ago
  • Government partners with industry to reduce agricultural emissions
    New Zealand’s effort to reduce agricultural emissions has taken a step forward with the signing of a memorandum of understanding by Government with agribusiness leaders, in a joint venture as part of the new Centre for Climate Action on Agricultural Emissions, Agriculture Minister Damien O’Connor announced. The Ministry for Primary Industries signed ...
    BeehiveBy beehive.govt.nz
    10 hours ago
  • Vosa Vakaviti sustains generations of Fijians
    The enduring strength and sustainability of Vosa Vakaviti is being celebrated by the Fijian community in Aotearoa New Zealand during Macawa ni Vosa Vakaviti – Fijian Language Week, which gets underway today. “This year’s theme, ‘Me vakabulabulataki, vakamareqeti, ka vakaqaqacotaki na vosa Vakaviti’, which translates as ‘Nurture, Preserve and Sustain ...
    BeehiveBy beehive.govt.nz
    12 hours ago
  • New Zealand condemns Russia’s annexation attempts
    New Zealand condemns unequivocally Russia’s attempts to illegally annex Russia-occupied regions of Ukraine, Prime Minister Jacinda Ardern says. “We do not recognise these illegal attempts to change Ukraine’s borders or territorial sovereignty,” Jacinda Ardern said. “Russia’s sham referenda in Luhansk, Donetsk, Kherson and Zaporizhzhia are illegitimate, and have no legal ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Government provides confidence to those seeking an adventure
    With our borders opened and tourists returning, those seeking out adventurous activities can do so more safely due to the steps we’ve taken to improve the health and safety regulatory regime for adventure activities, Workplace Relations and Safety Minister Michael Wood has announced.  “We are seeing international visitor numbers begin ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • More single-use plastics banned from tomorrow
    Single-use plastic cotton buds, drink stirrers and most plastic meat trays are among single use plastics banned from sale or manufacture from tomorrow. “This is the first group of the most problematic plastic products to be banned in a progressive phase out over the next three years,” Environment Minister David ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Speech to NZDF Command and Staff College
    It’s a pleasure to join you today – and I extend a particular welcome to Marty Donoghue (a member of the Public Advisory Committee on Disarmament and Arms Control) and Athena Li-Watts (interning with me this week) who are also joining me today. On the face of it, some ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Milestone of half a million mental health sessions delivered
    The Government’s flagship primary mental health and addiction programme Access and Choice has hit the milestone of delivering more than 500,000 sessions to New Zealanders needing mental health support. Health Minister Andrew Little made the announcement at ADL – Thrive Pae Ora in Cromwell which provides mental wellbeing support services ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government continues to future-proof arts, culture and heritage sector
    The Government has announced further support for the recovery and resilience of the arts, culture and heritage sector as part of its COVID Recovery Programme’s Innovation Fund. “We’re continuing to secure the recovery of our arts, culture and heritage in Aotearoa New Zealand by supporting transformational initiatives across the motu,” ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Government steps up kauri protection
    The Government is delivering on an election commitment to protect kauri in our northern forests through the new National Pest Management Plan (NPMP) for the forest giant and the allocation of $32 million of funding to back the coordinated effort, Biosecurity Minister Damien O'Connor and Associate Environment Minister (Biodiversity) ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Russia’s Ukraine referenda a sham
    Aotearoa New Zealand does not recognise the results of the sham referenda in Russia-occupied regions of Ukraine, Foreign Minister Nanaia Mahuta says.  “These so-called referenda were not free or fair, and they very clearly were not held in accordance with democratic principles,” Nanaia Mahuta said. “Instead, they were hastily organised ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Govt invests in New Zealand’s wine future
    Prime Minister Jacinda Ardern has officially opened New Zealand Wine Centre–Te Pokapū Wāina o Aotearoa in Blenheim today, saying that investments like these give us cause for optimism for the future. Funding of $3.79 million for the Marlborough Research Centre to build a national wine centre was announced in 2020, ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Appointment of Judges of the Court Martial Appeal Court
    Attorney-General David Parker today announced the appointment of Colonel Craig Ruane, Commander Robyn Loversidge, and James Wilding KC as Judges of the Court Martial Appeal Court. The Court Martial Appeal Court is a senior court of record established under the Court Martial Appeals Act 1953. It is summoned by the ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Government strengthens measures to combat migrant worker exploitation
    Offence and penalty regime significantly strengthened New infringement offences for non-compliance Public register of individuals and businesses that are found guilty of migrant exploitation New community-led pilot to educate migrants workers and employers of employment rights Implemented reporting tools successfully brings exploitation out of the shadows Take-up of protective visa ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Livestock exports by sea to cease
    The passing of a Bill today to end the export of livestock by sea will protect New Zealand’s reputation for world-leading animal welfare standards, Minister of Agriculture Damien O’Connor said. “The Animal Welfare Amendment Bill future-proofs our economic security amid increasing consumer scrutiny across the board on production practices," Damien ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Extra measures to increase census turnout in 2023
    3500 census workers on the ground, twice as many as last census More forms to be delivered – 44% compared to 3% in 2018 Prioritisation of Māori and other groups and regions with lower response rates in 2018 Major work to ensure the delivery of a successful census in 2023 ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Shining the light on screen workers
    Improved working conditions for workers in the screen industry is now a reality with the Screen Industry Workers Bill passing its third reading today, announced Workplace Relations and Safety Minister Michael Wood. “It’s fantastic to see the Screen Industry Workers Bill progress through Parliament. The new Act will strengthen protections ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Mental health resources for young people and schools launched
    Associate Minister of Education (School Operations) Jan Tinetti and Associate Minister of Education (Māori Education) Kelvin Davis have today launched two new resources to support wellbeing, and the teaching and learning of mental health education in schools and kura. “Students who are happy and healthy learn better. These resources ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Progress continues on future-proofing Auckland’s transport infrastructure
    Transport Minister Michael Wood has welcomed the latest progress on Auckland’s two most transformational transport projects in a generation – Auckland Light Rail and the Additional Waitematā Harbour Connections. Auckland Light Rail and Waka Kotahi NZ Transport Agency have named preferred bidders to move each project to their next phase, ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Government supports local innovation in homelessness prevention
    Ten successful applicants in round two of the Local Innovation and Partnership Fund (LIPF) Close to $6 million allocated as part of the Homelessness Action Plan (HAP) Māori, Pasefika and rangatahi a strong focus Round three opening later this year with up to $6.8 million available. Government is stepping up ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • More medicines for New Zealanders, thanks to Govt’s Budget boost
    Health Minister Andrew Little is welcoming news that two more important medicines are set to be funded, thanks to the Government’s big boost to the country’s medicines budget. “Since coming into Government in 2017, the Labour Government has increased Pharmac’s funding by 43 per cent, including a $71 million boost ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Government delivers ACC change to support 28,000 parents
    The Maternal Birth Injury and Other Matters Bill passes Third Reading – the first amendment to ACC legislation of its kind From 1 October 2022, new ACC cover to benefit approximately 28,000 birthing parents Additional maternal birth injuries added alongside new review provision to ensure cover remains comprehensive Greater clarity ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Further cuts for East Coast tarakihi limits to rebuild numbers faster
    Commercial catch limits for East Coast tarakihi will be reduced further to help the stock rebuild faster. “Tarakihi is a popular fish, and this has led to declining levels over time. Many adjustments have been made and the stock is recovering. I have decided on further commercial catch reductions of ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • New Ambassador to Colombia announced
    Foreign Minister Nanaia Mahuta today announced the appointment of diplomat Nicci Stilwell as the next Ambassador to Colombia. “Aotearoa New Zealand’s relationship with Colombia is fast growing with strong links across education, climate change and indigenous co-operation,” Nanaia Mahuta said.  “Trade is a key part of our relationship with Colombia, ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • 3000 more RSE workers to ease workforce pressures
    The Government continues to respond to global workforce shortages by announcing the largest increase in over a decade to the Recognised Seasonal Employer Scheme (RSE), providing 3000 additional places, Immigration Minister Michael Wood and Agriculture Minister Damien O’Connor have announced. The new RSE cap will allow access to 19,000 workers ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Sanctions on more of the Russian political elite
    Further sanctions are being imposed on members of President Putin’s inner circle and other representatives of the Russian political elite, as part of the Governments ongoing response to the war in Ukraine, says Foreign Minister Nanaia Mahuta. “Ukraine has been clear that the most important action we can take to ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • New Principal Youth Court Judge appointed
    Judge Ida Malosi, District Court Judge of Wellington, has been appointed as the new Principal Youth Court Judge, Attorney-General David Parker announced today. Born and raised in Southland, Judge Malosi graduated from Victoria University of Wellington and spent her legal career in South Auckland.  She was a founding partner of ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Visitor arrivals highest since pandemic began
    Overseas visitor arrivals exceeded 100,000 in July, for the first time since the borders closed in March 2020 Strong ski season lifts arrivals to Queenstown to at least 90% of the same period in 2019 Australia holiday recovery has continued to trend upwards New Zealand’s tourism recovery is on its ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Language provides hope for Tuvalu
    Climate change continues to present a major risk for the island nation of Tuvalu, which means sustaining te gana Tuvalu, both on home soil and in New Zealand Aotearoa, has never been more important, Minister for Pacific Peoples Aupito William Sio said. The Tuvalu Auckland Community Trust and wider Tuvalu ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Minister Sio to attend Asian Development Bank meeting in Manila
    Associate Foreign Affairs Minister Aupito William Sio travels to the Philippines this weekend to represent Aotearoa New Zealand at the 55th Annual Meeting of the Asian Development Bank (ADB) Board of Governors in Manila. “The ADB Annual Meeting provides an opportunity to engage with other ADB member countries, including those ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • United Nations General Assembly National Statement
    E ngā Mana, e ngā Reo, Rau Rangatira mā kua huihui mai nei i tēnei Whare Nui o te Ao Ngā mihi maioha ki a koutou katoa, mai i tōku Whenua o Aotearoa Tuia ki runga, Tuia ki raro, ka Rongo to pō ka rongo te ao Nō reira, tēnā ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • New strategy unifies all-of-Government approach to help Pacific languages thrive
    A united approach across all-of-Government underpins the new Pacific Language Strategy, announced by the Minister for Pacific Peoples Aupito William Sio at Parliament today. “The cornerstone of our Pacific cultures, identities and place in Aotearoa, New Zealand are our Pacific languages. They are at the heart of our wellbeing,” Aupito ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Upgrades for sporting facilities ahead of FIFA Women’s World Cup
    Communities across the country will benefit from newly upgraded sporting facilities as a result of New Zealand co-hosting the FIFA Women’s World Cup 2023. The Government is investing around $19 million to support upgrades at 30 of the 32 potential sporting facilities earmarked for the tournament, including pitch, lighting and ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Partnership supports climate action in Latin America and Caribbean
    Aotearoa New Zealand is extending the reach of its support for climate action to a new agriculture initiative with partners in Latin America and the Caribbean. Foreign Affairs Minister Nanaia Mahuta and Agriculture Minister Damien O’Connor announced a NZ$10 million contribution to build resilience, enhance food security and address the ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Landmark agreement for Māori fisheries celebrates 30th year
    The 30th anniversary of the Fisheries Deed of Settlement is a time to celebrate a truly historic partnership that has helped transform communities, says Parliamentary Under-Secretary to the Minister for Oceans and Fisheries Rino Tirikatene. “The agreement between the Crown and Māori righted past wrongs, delivered on the Crown’s treaty ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Government backs initiatives to cut environmental impact of plastic waste
    The Government has today announced funding for projects that will cut plastic waste and reduce its impact on the environment. “Today I am announcing the first four investments to be made from the $50 million Plastics Innovation Fund, which was set last year and implemented a 2020 election promise,” Environment ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Call for expressions of interest in appointment to the High Court Bench
    Attorney-General David Parker today called for nominations and expressions of interest in appointment to the High Court Bench.  This is a process conducted at least every three years and ensures the Attorney-General has up to date information from which to make High Court appointments.  “It is important that when appointments ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Depositor compensation scheme protects Kiwis’ money
    New Zealanders will have up to $100,000 of their deposits in any eligible institution guaranteed in the event that institution fails, under legislation introduced in Parliament today. The Deposit Takers Bill is the third piece of legislation in a comprehensive review of the Reserve Bank of New Zealand Act and ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • New fund to help more Pacific aiga into their own homes
    The Government has launched a new housing fund that will help more Pacific aiga achieve the dream of home ownership. “The Pacific Building Affordable Homes Fund will help organisations, private developers, Māori/iwi, and NGOs build affordable housing for Pacific families and establish better pathways to home ownership within Pacific communities. ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • More than 100,000 new Kiwis as halfway point reached
    Over 100,000 new Kiwis can now call New Zealand ‘home’ after the 2021 Resident Visa reached the halfway point of approvals, Minister of Immigration Michael Wood announced today. “This is another important milestone, highlighting the positive impact our responsive and streamlined immigration system is having by providing comfort to migrant ...
    BeehiveBy beehive.govt.nz
    1 week ago