Effect given to the recommendations of the committee and the Governing Body - Report No 318, November 1999

Case No 1698 (New Zealand) - Complaint date: 08-FEB-93 - Closed

Effect given to the recommendations of the Committee and the Governing Body

1. 66. The Committee last examined this case at its June 1999 meeting (316th Report, paras. 69-71) at which time it strongly reiterated its previous conclusion that provisions that prohibit strikes, if they are concerned with the issue of whether a collective employment contract will bind more than one employer, are contrary to the principles of freedom of association on the right to strike; therefore, the Government was requested to amend section 63(e) of the Employment Contracts Act (ECA). It also requested the Government to keep it informed of any measures taken.
2. 67. In a communication of 16 September 1999, the Government adheres to the arguments that it has put before the Committee on a number of previous occasions, namely that section 63(e) provides a balance between the employees' right to strike and the employers' right not to have to face strike action and incur losses due to the actions of other employers over which they have no control or to be bound into arrangements with competing businesses. The Government also provided copies of recent cases concerning the following issues: the interpretation of the anti-discrimination provisions of the ECA in the context of strike action; the power under the ECA for the Employment Court to set aside an employment contract if it was procured by harsh and oppressive behaviour, undue influence, or duress, or if the contract was harsh or oppressive; the negotiation of a new collective employment contract and ratification procedures under the ECA.
3. 68. The Committee takes note of the court decisions forwarded by the Government. With respect to section 63(e) of the ECA, the Committee notes with deep regret that the arguments that have already been rejected by the Committee on numerous occasions have again been raised by the Government. The Committee must once again urge the Government to amend section 63(e) of the ECA to bring it into conformity with freedom of association principles, and requests the Government to keep it informed in this regard.