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Issue 31 • Spring 2010 Magazine of the Maritime Union of New Zealand

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Issue 31 • Spring 2010 Magazine of the Maritime Union of New Zealand The Issue 31 • Spring 2010 MaritimesMagazine of the Maritime Union of New Zealand ISSN 1176-3418 www.munz.org.nz The Maritimes | Spring 2010 | 1 TAX CHANGES GST hike hits family budget Tax Justice Labour Unions: campaign petition announces no National’s tax takes off GST on fruit and changes bad for The campaign to take GST off all food is vege policy workers gaining momentum with a mass petition effort on 1 - 2 October netting thousands of The Labour Party has announced a $270 Unions have rejected the National signatures. million policy for removing Goods and Government’s tax changes that came into A petition by the Tax Justice campaign is Services Tax (GST) from fresh fruit and effect on 1 October 2010. calling for the removal of GST off all food, to vegetables. The Council of Trade Unions says the be replaced by a tax on financial speculation. GST has gone up to 15% from the start of changes are unfair and will hit low income Thousands of signatures have been collected October 2010. people hard, and will also fail to drag New over the past few months. Labour’s announced policy to take GST off Zealand out of recession or improve long Campaign spokesperson Victor Billot says fresh fruit and vegetables would provide term economic prospects. by putting up GST to 15%, the National welcome relief to many families from GST, CTU economist Bill Rosenberg says the Government is making life harder for most a tax that hits people harder the lower tax changes, including hiking GST to 15% families to benefit a wealthy minority. their incomes, says the Council of Trade and giving larger tax cuts to high income The New Zealand Herald reported in Unions. earners, will worsen New Zealand’s already September 2010 that economists estimate CTU Economist Bill Rosenberg says the damaging income inequalities. around half of all households will end the real problem still lies with low wages in Someone on $30,000 a year will get a $16.15 year worse off than they were a year earlier as New Zealand and income that is unfairly income tax cut that will largely be eaten up rising food prices, the GST increase and other distributed. by GST increases and rising living costs. one-off charges kick in. “GST should be phased out over time in Someone on $150,000 will receive $117.88 a Institute of Economic Research economist favour of alternatives such as a capital week in income tax cuts, leaving them with Shamubeel Eaqub expects food price inflation gains tax (exempting the primary home) a much greater income. to hit 10 per cent by year end, reflecting and a fairer income tax system that would He says income disparity has widened over higher commodity prices on world markets. help encourage productive investment and the last 25 years and tax cuts like these only Tax justice has become an international issue, not hit low income earners as hard.” widen the gap further. with a similar union-backed campaign in the Maori Party MP Rahui Katene’s members Research showed that the lower a UK, called “The Robin Hood Tax” aiming to bill to remove GST from healthy foods was household’s income, the harder GST hits it. put a miniscule levy ‘less than 0.05 percent’ rejected by Parliament earlier this year The CTU says the Government could on banking transactions, raising a huge after the Government refused to support it. raise revenue through a capital gains tax amount of money for social purposes. exempting the primary home - which The Tax Justice campaign in New Zealand most other developed countries have had is an initiative of the Alliance Party and for years - or an international financial Socialist Worker. The campaign is being transaction tax which would reduce the backed by the Maritime Union and hundreds New Zealand dollar’s vulnerability to of other New Zealanders have got involved speculative attacks. in the campaign, collecting signatures for Both of these taxes would be fairer to low the petition and spreading the word in their and middle income earners than the rise communities. For more information and petition forms see in GST and income tax cuts that unfairly www.nogstonfood.org benefit the already wealthy. 2 | The Maritimes | Spring 2010 www.munz.org.nz EDITORIAL Taxing times by Victor Billot Edition 31, Spring 2010 The big day has arrived and gone. National won the 2008 election Contents with the promise of free money, tax cuts for all, streets paved with Editorial 3 gold and the added bonus of catching up with Australia. General Secretary’s Report 4 The tax cuts have arrived and life has indeed become a lot more Update from National President 6 comfortable - more comfortable for someone on John Key’s Oyang 70 sinking 7 Fairness at work 8 income level, who will receive hundreds of extra dollars a week. Canterbury earthquake 10 Nice for some. ITF Congress Mexico 12 Unfortunately for the average working family their “tax cut” will News 14 Fairness at work page 8 largely be gobbled up by the “tax grab” as National’s 15% GST Uranium shipments 15 rate chomps into the weekly budget. The future of NZ ports 16 As they say, there is no free lunch. The money for the millionaire’s Merchant Navy Day 17 tax cuts has to come from somewhere. Schools, hospitals, ITF Report 18 infrastructure, public services, all paid collectively by taxes, all 1890 Maritime Strike 20 Stevedoring Conference 22 under threat. Campaign photos 24 For most people, the Key tax cuts are a mirage for wishful Port roundups 26 thinkers, people taking a punt on a bet they can’t win. The few Bulk and General Conference 43 who really benefit from National’s tax cuts are a small minority of Leaders of the maritime union 44 the already well off. Free and open source software 46 This is just another hit working people have been taking. Letters 47 For the last thirty years at least, organized labour has been on the back foot. The share of wealth that workers earn has been ‘The Maritimes’ is published quarterly by the Maritime Union of New Zealand. shrinking. The welfare of the majority has been tossed aside for ITF Mexico Congress page 12 the privilege of the few. ISSN 1176-3418 We’ve been privatised, corporatised, commercialised, outsourced, casualised, demoralised and blinded by a wall of propaganda. National Office: Contact the Unemployment was not so long ago rightly seen as an PO Box 27004 Maritime Union unacceptable waste of human potential and a great evil. Wellington Now no one even seems to comment about the fact we have New Zealand National Office tens of thousands of working people joining the ranks of the Telephone: 04 3850 792 Telephone: 04 3850 792 Fax: 04 3848 766 unemployed since John Key arrived in town. Except to blame the Fax: 04 3848 766 Email: [email protected] unemployed for their situation, for the fact that capitalism cannot Address: PO Box 27004, Wellington Web: www.munz.org.nz provide jobs for all. Office administrator: Ramesh Pathmanathan Workers in many countries are drawing a line in the sand and Email: [email protected] Editor: refusing to have their rights and lives downgraded and disrupted Victor Billot General Secretary: Joe Fleetwood to prop up a corrupt system that has been called a “plutocracy” – Mobile: 021 482219 Direct dial: 04 8017 614 or Government by a powerful, rich elite. Fax: 09 9251125 Mobile: 021 364649 The union movement in New Zealand is moving to stop the Email: [email protected] Email: [email protected] Mail: PO Box 339, Dunedin attacks on workers rights and employment protections by the New Zealand National Government. National President: Phil Adams On 20 October, unions will be moving our campaign up a gear Direct dial: 03 4728 052 Editorial Board: around the nation. Mobile: 0274 377601 Joe Fleetwood, Phil Adams, Garry Parsloe Email: [email protected] It’s been a long time since unions went on the offensive, in many and Ray Fife ways it’s been too long. National Vice President: Garry Parsloe The Maritime Union has the history, the mana and the reputation Deadline for all Port reports, submissions, Direct dial: 09 3032 562 as a union that fights from the front. Now is the time to take photos and letters: Mobile: 021 326261 1 November 2010 for next edition measure of that claim. Email: [email protected] Are we going to play our part? Cover photo: Assistant General Secretary: Ray Fife From Dunedin Workers Rights rally, 24 Direct dial: 03 2128189 July 2010, courtesy of the Otago Daily Mobile: 0274 475317 Times Email: [email protected] For more on-line photos, see ITF Inspector: Grahame MacLaren www.flickr.com/maritimeunion Direct dial: 04 8017 613 Mobile: 021 2921782 Thanks to all our photographers including Email: [email protected] Harry Holland, Grahame MacLaren, Dave Phillipps, Bill Connelly, John Darroch, Communications Officer: Victor Billot Shaun Scott, Mike Will, Garry Parsloe, Mobile: 021 482219 Terry Knight, Paul Baggott, Joe Carr and Fax: 09 9251125 others Address: PO Box 339, Dunedin Email: [email protected] www.munz.org.nz The Maritimes | Spring 2010 | 3 GENERAL SECRETARY’S REPORT The fightback against National’s attack on workers Many working class people fall for the line that if they work hard and keep their head down “they” will be OK, and too bad for anyone else. However in the modern global economy, anyone can lose their job, have their wages and conditions reduced, be injured or killed on the job, fall ill, get into financial stress, or be the victim of circumstances outside their control.
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