BusinessNZ supports the decision by Parliament today todefeat the Minimum Wage (Contractor Remuneration) Amendment Bill.

The Bill would have imposed regulations on contracts forservices, requiring those in contracting arrangements to be paid the equivalentof the minimum wage or higher.

BusinessNZ Chief Executive Kirk Hope says the opposition bymany in business to the Bill was not about any reluctance to pay the minimumwage, as business is supportive of appropriate pay and minimum wage regulation.

“The concern was about the fact that the proposedlegislation would have meant Government effectively setting a minimum rate forcontracts for services in order to address concerns about poor remunerationpractice.

“But there are already remedies for exploitation and breachof minimum wage obligations in situations where contractors might be betterclassified as employees.

“Hon Peter Dunne is to be congratulated for his recognitionof this point, in voting down the Bill today.

“While business  didnot support the Bill because we believe there are already remedies available,  it does serve to remind us that we need to bevigilant about poor pay practice and its effect on workers.

“BusinessNZ, EMA, Business Central, the Canterbury EmployersChamber of Commerce and Employers Otago Southland and our many business membersare pleased at the responsiveness of our Members of Parliament to the issuescontained in the Bill.”

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