Corporatisation, Privatisation and Public Law

Total Page:16

File Type:pdf, Size:1020Kb

Corporatisation, Privatisation and Public Law CORPORATISATION, PRIVATISATION AND PUBLIC LAW Professor Michael Taggart LLB (Hons) (Auckland), LLM (Harvard) An Inaugural Lecture presented in the University Hall, Old Arts Building, University ofAuckland, New Zealand on Wednesday, 12 September 1990. r I PREFACE Adapted from introductory remarks by Professor Brian Coote, Faculty ofLaw, University ofAuckland Michael Bruce Taggart was born in Auckland in 1955. After attending Mt Albert Grammar, he came to this Law School in 1975 and in due course graduated LLB (Hons). There followed an exceptionally success­ ful term as clerk to the Supreme Court judges at Auckland. He then proceeded to Harvard, from which he graduated LLM in 1980. Thereafter, he spent a couple of academic years teaching at the Law School of the University of Western Ontario before returning to this Law School as a Lecturer in Law. He was promoted to a Senior Lectureship as from 1 February 1987. So far, so good. But then came the unusual part. Within months of his becoming a Senior Lecturer, he had been appointed to a full Chair and, incidentally, had become the University's youngest Professor and, with Julius Stone, one of its two youngest-ever Professors of Law. Of course, such things do not happen without reason. The new appointee had accumulated a dazzling list of scholarships and awards and fifteen or so substantial pieces of writing had already appeared in legal publications. Regard would also have been had to his proven qualities as a teacher, as an administrator and as a person. For me, though, what distinguishes him most are qualities he had evidenced while he was still an undergraduate. I refer to his sheer love of and enthusiasm for the law and the effect that has had, and continues to have, on those around him. Just as I warmly commended Professor Taggart to his audience, so now I welcome and commend this permanent record of his inaugural lecture. J J i' CORPORATISATION, PRIVATISATION AND PUBLIC iAW "A public lawyer", Sir Ivor Jennings once wrote," ... is the child of his age. His ideas are affected not only by his own upbringµig, but also by the floating ideas of the time at which he writes" .1.The "floating ideas" of our time have been those associated with the catchphrase "Rogernomics" - briefly put, they are the pursuit of economic efficiency, the glorification of the private· sector and the retreat of the State.2 My purpose tonight is to examine, from a public law perspective, two related manifestations of these ideas - corporatisation and privatisation. The Hon Roger Douglas has said that the corporatisation pro­ gramme proceeded from three "basic principles''.3 First, State trading activities should have purely commercial objectives. Sec­ ond, State-owned enterprises should operate in a competitively neutral environment, subject to the same rules as any other busi­ ness. Third, the enterprises should be organised in a form designed to assist in the implementation of the principles of commercialisa­ tion and competitive neutrality. The first objective, commercialisation, involves separating out ~ tjhe commercial objectiveLof public enterprise from the non­ "unciaVVL 1a.~ommercial or(social objecti~4 Too often in the past, it is said, ~~rferecrm the running of State enterprises for short-term political reasons - for example, to promote regional development, orto create employment or provide low cost housing. This i~ now unacceptable, it seems. Burdening public enterprise with the performance of social objectives is said to make it difficult, if not impossible, to hold the managers accountable for the commercial performance ofthe enterprises; thereby diminishing financial accountability. 5 It should be Ministers of the Crown who make decisions on social policy, we are told, and not the managers of public enterprises. 6 Ministers are politically accountable for those decisions and can decide to meet these objectives direc;tly through taxation or by the transfer of payments to the State enterprises. 1 2 CORPORAl'ISATION, PRIVATISATION AND PUBLIC LAW This thinking finds expression in the State-Owned Enterprises Act 1986; the legislation which laid the foundations of corporatisation. Section 7 provides that where the Government wants a State-Owned Enterprise or, as I will refer to it, a SOE to supply goods or services of anon-commercial nature, the Govern­ ment must agree to reimburse the cost to the SOE of providing that . service. The prevalence of mixed commercial and social objectives in the running ofpublic enterprises prior to corporatisation suggested that a good number of section 7 agreements would be entered into. In 1986 the·Rt Hon Geoffrey Palmer had "[n]o doubt that [would] happen in quite a number of areas". 8 In fact, the semi-official total of the number of section 7 agreements entered into by the Labour Government in nearly four years is just two.9 The Government reimbursed NZ Post the operating costs of 600 "uneconomic" Post Offices for the first year after corporatisation.10 The Government also· paid· for the provision of mobile banking outlets by Post Bank.u Why have so few section 7 agreements been entered into?12 Part of the explanation might be that there is no reason why arrange­ ments for reimbursement must be made under section 7 .13 But my research and requests of Government have failed to turn up any reimbursement arrangements outside section 7. If there are any such arrangements, they are likely few in number or well hidden, or both. It is difficult to resist concluding that the reason few reimbursement arrangements have been entered into is because Ministers do not believe thatState enterprise should perform social objectives. The formal separation of commercial and social ob­ jectives envisaged in the SOE Act has resulted, in practice, in the negation of social objectives.14 This, as we will see, was an important step on the way to privatisation. 1 Related to this is the second principle of SOE reform identified I by the then Minister of Finance: State-owned enterprises are to operate on an equal footing with private enterprise in pursuing commercial objectives. This means that State enterprises should , not enjoy any unfair commercial privileges or operate under any !11 requirements which place SOEs at a commercial disadvantage.15 CORPORATISATION, PRlVATISATION AND PUBLIC LAW 3 Consequently, SOEs no longer enjoy the common law immunities of the Crown,. and·monopoly powers conferred by statute have been removed. Public and private enterprise are to compete in the market on a "level playing field". Not surprisingly, die legal structure chosen to implement these basic principles of commercialisation and competitive neutr~ity was the epitome ofprivate sector enterprise.; the public company.16 By the State-Owned Enterprises Act 1986, nine new SOEs were incorporated as companies under the Companies Act,17 and an­ other five existing companies owned by the Crown were brought under the SOE regime as wen.1s Several more enterprises have been added to the Schedule in theSOEActsince 1986~19 and, as we will see,manyhave been removed in preparationforprivatisation. 20 Indisputably the SOE reform was, and still is, driven by the belief ( of economists and others) in the superiority of the. :mar­ ketplace and the efficiency ofthe private sectorfimi. It is impossible to fully grasp features of SOE reform (and, also, the later shift to privatisation) withoutknowing a little ofthe economists 'theorising about the private firm.21 In the private firm the owners of the assets(called shareholders) do not manage or control the firm in any direct way; this is done by professional managers (called directors). Thus ownerslnp and control are separated, creating an "agency" problem. The problem is how to ensure that the directors (as agents of the shareholders) run the firm in the most efficient way possible for the maximum benefit of the owner-shareholders. The share market is said to provide many incentives for managers to serve the interests of the owners. The share market will evaluate performance of the firm and its managers, and this assessment will be reflected, to some extent, in the share price. Shareholders dissatisfied with manage­ rial performance can "exit" from the firm, by selling their shares. Alternatively, shareholders may ''voice" their dissatisfaction at the annual general meeting and attempt to vote out management.22 Also, the threat of takeover provides some incentive for incumbent managets to behave in the shareholders' interests. And, in the extreme case, there is the threat of insolvency. _ Economists rightly point out that merely by imitating the 4 CORPORATISATION, PRIVATISATION AND PUBLIC LAW corporate form, public enterprise will not be able to replicate the benefits of private enterprise. All of the monitoring mechanisms touched on a moment ago are less effective or non-existent in the SOE context. SOE shares are non-transferable, there is no share ijprice and so takeovers are impossible. Nor is there a realistic prospect of insolvency. Moreover, while politicians can dismiss managers for unsatisfactory performance, they are unlikely to do so. Because of the nature of the political process - with concen­ trated interests such as employees and consumers exercising significant influence-politicians are likely to injectnon-commercial objectives into public enterprise and thereby further weaken in­ centives to replace management which is performing poorly. Undeterred by the misfit of public .enterprise with the theory of the private firm, the framers of the SOE legislation
Recommended publications
  • Niue Constitution
    157 PACIFIC CONSTITUTIONS – OVERVIEW Ces deux articles présentent les règles constitutionnelles aujourd’hui en vigueur à Niue et à Tokelau, leurs fonctions et leurs principales conditions de mise en œuvre. The following papers give a law introduction to the constitutions of Niue and Tokelau and provide a current overview of their role and key provisions. THE NIUE CONSTITUTION A H Angelo* The Constitution of Niue is neat and technically may be the best of all the constitutions of the South Pacific countries. The Constitution's origins are in an Act of the New Zealand Parliament1 but, following constitutional convention and the traditional Common Law model,2 the country is autonomous. I INTRODUCTION A History The Constitution of Niue has evolved out of early New Zealand colonial statutes. The first was the Cook and Other Islands Government Act of 1901 and subsequently, * Professor of Law, Victoria University of Wellington, New Zealand. This paper is a chapter originally prepared as a contribution for a book on constitutional evolution in the Pacific. 1 Niue Constitution Act 1974. 2 The independence constitutions of most countries in the region were law of the United Kingdom eg Australia (the Commonwealth of Australia Constitution Act 1900), New Zealand (New Zealand Constitution Act 1854), Solomon Islands (Solomon Islands Order in Council SO&I 1978/783). 158 (2009) 15 REVUE JURIDIQUE POLYNÉSIENNE just prior to the self-determination of the Cook Islands, a Cook Islands Amendment Act was promulgated which effectively severed Niue from the territory of the Cook Islands.3 The early statutes4 provided a code of laws for Niue.
    [Show full text]
  • Commercial Mediation in New Zealand: Towards a Methodology for Measuring Success
    1 Commercial Mediation in New Zealand: Towards a Methodology for Measuring Success JEREMY MCGEOWN COMMERCIAL MEDIATION IN NEW ZEALAND: TOWARDS A METHODOLOGY FOR MEASURING SUCCESS LLM RESEARCH PAPER LAWS 538: NEGOTIATION AND MEDIATION FACULTY OF LAW 2018 2 Commercial Mediation in New Zealand: Towards a Methodology for Measuring Success TABLE OF CONTENTS Abstract ............................................................................................................................... 4 I Introduction ................................................................................................................. 5 II Definition and Overview ............................................................................................. 5 A Commercial Mediation: A Definition ...................................................................... 5 B History and Development in New Zealand .............................................................. 6 III The Case for a Framework to Measure Success ......................................................... 7 A Move Away From Settlement Rate .......................................................................... 7 B Improve Mediation Outcomes ................................................................................. 8 1 Quality benefits .................................................................................................... 8 2 Efficiency benefits ................................................................................................ 8 3 Other benefits ......................................................................................................
    [Show full text]
  • Yearbook of New Zealand Jurisprudence
    Yearbook of New Zealand Jurisprudence Editor Dr Richard A Benton Editor: Dr Richard Benton The Yearbook of New Zealand Jurisprudence is published annually by the University of Waikato, Te Piringa – Faculty of Law. Subscription to the Yearbook costs NZ$40 (incl gst) per year in New Zealand and US$45 (including postage) overseas. Advertising space is available at a cost of NZ$200 for a full page and NZ$100 for a half page. Communications should be addressed to: The Editor Yearbook of New Zealand Jurisprudence School of Law The University of Waikato Private Bag 3105 Hamilton 3240 New Zealand North American readers should obtain subscriptions directly from the North American agents: Gaunt Inc Gaunt Building 3011 Gulf Drive Holmes Beach, Florida 34217-2199 Telephone: 941-778-5211, Fax: 941-778-5252, Email: [email protected] This issue may be cited as (2010) Vol 13 Yearbook of New Zealand Jurisprudence. All rights reserved ©. Apart from any fair dealing for the purpose of private study, research, criticism or review, as permitted under the Copyright Act 1994, no part may be reproduced by any process without permission of the publisher. ISSN No. 1174-4243 Yearbook of New ZealaNd JurisprudeNce Volume 13 2010 Contents foreword The Hon Sir Anand Satyanand i preface – of The Hon Justice Sir David Baragwanath v editor’s iNtroductioN ix Dr Alex Frame, Wayne Rumbles and Dr Richard Benton 1 Dr Alex Frame 20 Wayne Rumbles 29 Dr Richard A Benton 38 Professor John Farrar 51 Helen Aikman QC 66 certaiNtY Dr Tamasailau Suaalii-Sauni 70 Dr Claire Slatter 89 Melody Kapilialoha MacKenzie 112 The Hon Justice Sir Edward Taihakurei Durie 152 Robert Joseph 160 a uNitarY state The Hon Justice Paul Heath 194 Dr Grant Young 213 The Hon Deputy Chief Judge Caren Fox 224 Dr Guy Powles 238 Notes oN coNtributors 254 foreword 1 University, Distinguished Guests, Ladies and Gentlemen, I greet you in the Niuean, Tokelauan and Sign Language.
    [Show full text]
  • Constitutional Nonsense? the ‘Unenforceable’ Fiscal Responsibility Act 1994, the Financial Management Reform, and New Zealand’S Developing Constitution
    CONSTITUTIONAL NONSENSE? THE ‘UNENFORCEABLE’ FISCAL RESPONSIBILITY ACT 994, THE FINANCIAL MANAGEMENT REFORM, AND NEW ZEALAND’S DEVELOPING CONSTITUTION CHYE-CHING HUANG* ‘Once again, in promoting this legislation New Zealand leads the world. This is pioneering legislation. It is distinctly New Zealand – style.’ (22 June 1994) 541 NZPD 2010 (Ruth Richardson) ‘[It] is constitutional nonsense. The notion that this Parliament will somehow bind future Governments on fiscal policy…is constitutional stupidity.’ (26 May 1994) 540 NZPD 1143 (Michael Cullen) The Fiscal Responsibility Act 1994 (the ‘FRA’) was part of New Zealand’s Financial Manage- ment Reform, a reform said to have introduced new values – efficiency, economy, effectiveness and choice – into the law.1 The FRA is peculiar because the courts may not be able to enforce it. Despite this, the authors of the FRA expected it to impact profoundly on the thinking and behav- iour of the executive, Parliament, and the electorate.2 The debate about how the FRA has affected the executive, Parliament, and the electorate con- tinues.3 Yet no one has analyzed thoroughly how the FRA has affected – or might affect – judicial reasoning.4 This article attempts that analysis, and concludes that the FRA may have profound legal and even constitutional effects, despite being ‘unenforceable’. The finding that the FRA may have legal and constitutional effects could be useful for two reasons. First, the FRA’s constitutional effects suggest that judicial reform of the constitution may tend to privilege the neo-liberal values that the Financial Management Reform wrote into law. Parliamentary sovereignty could be said to encourage a free and contestable market place of ideas, but this supposed strength may be paradoxically used to legally entrench values.
    [Show full text]
  • Judicial Review in Kingdom and Dominions the Historical Foundations of Judicial Review in the U.K., Canada, and New Zealand
    University of Pennsylvania Judicial Review in Kingdom and Dominions The Historical Foundations of Judicial Review in the U.K., Canada, and New Zealand Abstract: Judicial review, whatever else it may be, provides a mechanism by which the judiciary can affect the implementation, contours, and the formulation of policy. As such, it provides a possible avenue of access to a variable ‘open’ state. Westminster democracies have historically avoided judicial review in order to concentrate policymaking authority in the legislature and responsible executive. In recent years a number of Westminster polities have incorporated and expanded judicial review. This paper explores how this occurred in three Westminster states, arguing that long-run processes shaped the conceptions of judges of their role in the constitutional order, affecting their willingness to assert powers of review. Importantly, structures of imperialism and federalism provided varying opportunities for the judiciary to assert this power. A full account of the emergence of judicial review needs to take account of these structural/institutional factors— the available resources of judges to assert a power to invalidate legislation and their institutionally shaped willingness to do so. I conclude with a discussion of how the different constructions of judicial review at the different moments in each state’s history affected the mobilization strategies of indigenous peoples, and the varying imposition of control by the state. David Bateman Doctoral Fellow – Penn Program in Ethnic Conflict
    [Show full text]
  • The Institutions and Governance of Economic Reform’1: Theoretical Extensions and Applications
    University of Pennsylvania ScholarlyCommons Management Papers Wharton Faculty Research 1999 ‘The Institutions and Governance of Economic Reform’1: Theoretical Extensions and Applications Witold J. Henisz University of Pennsylvania Follow this and additional works at: https://repository.upenn.edu/mgmt_papers Part of the Business Administration, Management, and Operations Commons Recommended Citation Henisz, W. J. (1999). ‘The Institutions and Governance of Economic Reform’1: Theoretical Extensions and Applications. Public Management Review, 1 (3), 349-371. http://dx.doi.org/10.1080/14719039900000011 This paper is posted at ScholarlyCommons. https://repository.upenn.edu/mgmt_papers/61 For more information, please contact [email protected]. ‘The Institutions and Governance of Economic Reform’1: Theoretical Extensions and Applications Abstract This articls uses the reform of New Zealand's state-owned enterprises from 1984–1995 to highlight two lessons for public sector reform from New Institutional Economics. First, failure to apply agency, property rights and transaction cost theory in tandem can lead to time-consuming pauses and policy shifts in a reform programme. Second, a discriminating alignment between the institutional environment and the regulatory governance structure chosen is crucial for successful privatization in industries characterized by economies of scale, large non-redeployable investments and extremely political output such as telecommunications and electricity. Keywords new institutional economics, New Zealand,
    [Show full text]
  • The Structure of the Courts
    REPORT NO 7 The Structure of the Courts March 1989 Wellington, New Zealand 2 Other Law Commission publications: Report series NZLC R1 Imperial Legislation in Force in New Zealand (1987) NZLC R2 Annual Reports for the years ended 31 March 1986 and 31 March 1987 (1987) NZLC R3 The Accident Compensation Scheme (Interim Report on Aspects of Funding) (1987) NZLC R4 Personal Injury: Prevention and Recovery (Report on the Accident Compensation Scheme) (1988) NZLC R5 Annual Report 1988 (1988) NZLC R6 Limitation Defences in Civil Proceedings (1988) Preliminary Paper series NZLC PP1 Legislation and its Interpretation: The Acts Interpretation Act 1924 and Related Legislation (discussion paper and questionnaire) (1987) NZLC PP2 The Accident Compensation Scheme (discussion paper) (1987) NZLC PP3 The Limitation Act 1950 (discussion paper) (1987) NZLC PP4 The Structure of the Courts (discussion paper) (1987) NZLC PP5 Company Law (discussion paper) (1987) NZLC PP6 Reform of Personal Property Security Law (report by J H Farrar and M A O'Regan) (1988) NZLC PP7 Arbitration (discussion paper) (1988) NZLC PP8 Legislation and its Interpretation (discussion and seminar papers) (1988) NZLC PP9 The Treaty of Waitangi and Maori Fisheries - Mataitai: Nga Tikanga Maori me te Tiriti o Waitangi (background paper) (1989) 3 The Law Commission was established by the Law Commission Act 1985 to promote the systematic review, reform and development of the law of New Zealand. It is also to advice on ways in which the law can be made as understandable and accessible as practicable. The Commissioners are: The Rt Hon Sir Owen Woodhouse KBE DSC - President Jim Cameron CMG Sian Elias QC Jack Hodder Sir Kenneth Keith KBE Margaret A Wilson The Director of the Law Commission is Alison Quentin-Baxter.
    [Show full text]
  • Employment and Union Issues in New Zealand, 12 Years On
    Kelsey: Employment and Union Issues in New Zealand, 12 Years on EMPLOYMENT AND UNION ISSUES IN NEW ZEALAND, 12 YEARS ON JANE KELSEY* New Zealanders have always liked to see themselves as leading the world. In the 1890s, New Zealand became the first country to grant women the vote, unions were incorporated into the state industrial relations machin- ery through the Industrial Conciliation and Arbitration Act 1894, and old- age pensions were introduced. The Labour Party was founded in 1916 and, constitutionally linked to the union movement, grew steadily as a political force. The first Labour government, elected in 1935, institutionalized the embryonic welfare state with subsidized housing, free education and health care, and more generous income support. This model of welfarism topped up the income of the "working man and his family," a policy which as- sumed the existence of full employment and two-parent families led by men. In the 1950s and 1960s, a corporatist style of welfarism continued un- der the (conservative) National government. Substantial state investment in transport, electricity, and communications infrastructure-and in projects such as forestry-was designed to support domestic production for domestic consumption, provide jobs, and foster regional development. This delivered a high standard of living for most Pakeha (non-Maori), but it also fostered a dangerous degree of complacency and political and intellectual laziness. As a result, the "left" was badly placed to anticipate and resist the neo-liberal tide that began sweeping the country in 1984. The union movement had particular problems. The hierarchy was overwhelmingly white, male, and politically sectarian.
    [Show full text]
  • Trans Judicialism, International
    GLOBALIZATION OF JUDGMENT: TRANSJUDICIALISM, INTERNATIONAL HUMAN RIGHTS LAW AND COMMONWALTH COURTS Reem Bahdi A thesis submitted in conformity with the requirements for the degree of LL.M. Graduate Department of Law University of Toronto @ Copyright by Reem Bahdi, 201 National Library Bibliothéque nationale 1*1 of Canada du Canada Acquisitions and Acquisitions et Bibliographie Services seivices bibliographiques 395 Wellington Street 395. rue Wellington Onawa ON K1A ON4 OttawaON KlAûN4 canada canada The author has granted a non- L'auteur a accordé une licence non exclusive licence ailowing the exclusive permettant à la National Library of Canada to Bibliothèque nationale du Canada de reproduce, loan, distribute or seil reproduire, prêter, distribuer ou copies of this thesis in microform, vendre des copies de cette thèse sous paper or electronic formats. la fome de microfiche/film, de reproduction sur papier ou sur format électronique. The author retains ownership of the L'auteur conserve la propriété du copyright in this thesis. Neither the droit d'auteur qui protège cette thèse. thesis nor substantial extracts fiom it Ni la thèse ni des extraits substantiels may be p~tedor otherwise de celle-ci ne doivent être imprimés reproduced without the author's ou autrement reproduits sans son permission. autorisation. Globalization of J~idgment: Transj~idicialism,International Human Ri& Law and Commonwealth Courts LLM 2001 Reem Bahdi Graduate Department of Law, University of Toronto This paper develops a theory of international human rights law's relationship to domestic law that mediates between local values and international law's ambition to govem. It is divided into four parts.
    [Show full text]
  • Here Is a Specific Power Enabling the Council to License Other Providers of Practical Legal Training
    THIRTIETH REPORT OF THE NEW ZEALAND COUNCIL OF LEGAL EDUCATION (from 1 January 2020 to 31 December 2020) LAID BEFORE THE HOUSE OF REPRESENTATIVES PURSUANT TO SECTION 150 OF THE CROWN ENTITIES ACT 2004 2 STATEMENT OF RESPONSIBILITY THE NEW ZEALAND COUNCIL OF LEGAL EDUCATION FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 The New Zealand Council of Legal Education (the Council) is responsible for preparation of the Financial Statements and Statement of Service Performance, and for the judgments used in the production of these statements. The Council is also responsible for establishing and maintaining a system of internal control designed to provide reasonable assurance as to the integrity and reliability of financial reporting and non-financial reporting. In the Council’s opinion, the attached Financial Statements, the Statement of Service Performance, and the notes which should be read in conjunction with those statements, fairly reflect the operations of the Council for the year ended 31 December 2020 and the financial position of the Council at that date. The Honourable Justice M Cooper Professor M Hickford Chairman Council Member 6 May 2021 3 4 NEW ZEALAND COUNCIL OF LEGAL EDUCATION ANNUAL REPORT REPORT FOR THE YEAR FROM 1 JANUARY 2020 TO 31 DECEMBER 2020 1. BACKGROUND Between 1841 and 1930 legal education, and the requirements for admission to the profession in New Zealand, were the responsibility of the Judiciary of New Zealand pursuant to a number of Colonial Ordinances and Acts of Parliament, and prescribed in consecutive sets of Judges’ Rules. After the establishment of the University of New Zealand in 1870 the practical implementation of the admission requirements was progressively delegated by the Judiciary to the University.
    [Show full text]
  • The Impact of New Zealand's Employment Contracts Act on Industria
    Harbridge and Crawford: The Impact of New Zealand's Employment Contracts Act on Industria THE IMPACT OF NEW ZEALAND'S EMPLOYMENT CONTRACTS ACT ON INDUSTRIAL RELATIONS RAYMOND HARBRIDGE* AND AARON CRAWFORD** INTRODUCTION Wage determination matters in New Zealand have long been a source of international fascination. For the best part of a century, New Zealand and Australia stood alone as the only industrialized market-oriented countries that used an arbitration-based award system to resolve wage fixing matters in preference to collective bargaining.' Since 1991, New Zealand has adopted policies that have totally abandoned industrial conciliation and ar- bitration, and have promoted individual employment contracts at the ex- pense of collective bargaining. The Industrial Conciliation and Arbitration Act 1894 established the principles of wage fixing in New Zealand--conciliation and arbitration. Those principles were based on four features: (i) multi-employer arbitral awards which provided minimum terms and conditions of employment; (ii) subsequent party clauses which, by law, extended blanket coverage of awards over specified industries or occupations, regardless of whether they had participated in the process of award negotiation; (iii) procedures de- signed to make membership in trade unions2 compulsory; and (iv) compul- sory arbitration to settle disputes of interest. The principles of conciliation and arbitration were developed and rein- forced in various amendments to the Industrial Conciliation and Arbitration Act 1894, the Industrial Relations Act 1973, and the Labour Relations Act * Professor, Graduate School of Business and Government Management, Victoria Uni- versity. ** Research Fellow, Graduate School of Business and Government Management, Vic- toria University of Wellington. The research reported herein was supported by a grant from the Foundation for Research Science and Technology (F603).
    [Show full text]
  • Seventh Report Of
    TWENTY SIXTH REPORT OF THE NEW ZEALAND COUNCIL OF LEGAL EDUCATION (from 1 January 2016 to 31 December 2016) LAID BEFORE THE HOUSE OF REPRESENTATIVES PURSUANT TO SECTION 150 OF THE CROWN ENTITIES ACT 2004 1 2 STATEMENT OF RESPONSIBILITY THE NEW ZEALAND COUNCIL OF LEGAL EDUCATION FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2016 The New Zealand Council of Legal Education (the Council) is responsible for preparation of the Financial Statements and Statement of Service Performance, and for the judgments used in the production of these statements. The Council is also responsible for establishing and maintaining a system of internal control designed to provide reasonable assurance as to the integrity and reliability of financial reporting and non-financial reporting. In the Council’s opinion, the attached financial statements, the Statement of Service Performance, and the notes which should be read in conjunction with those statements, fairly reflect the operations of the Council for the year ended 31 December 2016 and the financial position of the Council at that date. The Honourable Justice S France Professor M Hickford Chairman Council Member 28 April 2017 3 4 NEW ZEALAND COUNCIL OF LEGAL EDUCATION ANNUAL REPORT REPORT OF THE CHIEF EXECUTIVE FOR THE YEAR FROM 1 JANUARY 2016 TO 31 DECEMBER 2016 1. BACKGROUND Between 1841 and 1930 legal education, and the requirements for admission to the profession in New Zealand, were the responsibility of the Judiciary of New Zealand pursuant to a number of Colonial Ordinances and Acts of Parliament, and prescribed in consecutive sets of Judges’ Rules. After the establishment of the University of New Zealand in 1870 the practical implementation of the admission requirements was progressively delegated by the Judiciary to the University.
    [Show full text]