The Issue 28 • Summer 2009/2010MaritimesMagazine of the Maritime Union of New Zealand ISSN 1176-3418 Conference 2009 Special www.munz.org.nz The Maritimes | Summer 2009/2010 | 1 ACC Hands off ACC Stop the privatization of our scheme What’s going on with Some of the reasons ACC’s financial ‘crisis’ ACC? the Maritime Union Since the election the Government has and others oppose the sought to promote the idea that the ACC The Maritime Union is opposing the was in a financial crisis so severe that the “privatization by stealth” of ACC by the privatization of ACC only remedy was radical surgery. National Government. The Minister even used the word The Union is part of the ACC Futures • It is our scheme funded by levies paid “insolvent” to describe the financial state Network which is campaigning to keep by New Zealanders. Privatizing it will of the scheme. The truth is somewhat ACC as it is. hand our money over to Australian owned different. If ACC or parts of it are privatized, insurance companies. Merrill Lynch in ACC has revenue of over $4 billion a year workers will be worse off. Australia last year predicted a $200 million and expenditure of around $3 billion a In 2008 the National Party was elected to killing for insurers if ACC was privatised; year. It also has reserves of more than $10 government with a policy to investigate • ACC is administratively more efficient billion - it is far from insolvent. the opening of the work account of ACC than a system managed by private sector It is true that ACC has been facing to “competition” – which really means providers. The scheme was established increased costs as claims are increasing at privatization. as a public-owned provider precisely to a rate greater than population growth and By October 2009 this had become avoid the unnecessary costs of duplicating the cost of claims is increasing at a rate a clear commitment (without the systems and providing a profit to higher than inflation. promised investigation) subject only to insurance company shareholders; The impact of the recession on investments the Government’s ‘Stocktake’ of ACC • Levies will inevitably increase over and the change in accounting standards confirming the feasibility of the policy. time to meet these costs. When the work have also impacted on the Corporation, The Government has already said that it account was privatised in the late 1990s but the real driver for increases in levies is likely to get the answer it wants from private insurers were prepared to accept is the commitment of the Government to the Stocktake and is now speaking openly losses initially as they competed for fully fund ACC by building in the future about the possibility that more of the market share. costs of injuries today into today’s levies. ACC’s accounts could be handed over to These initial losses would have to be made Professor Tim Hazledine has exposed the private business. up at a later date. the problems with this approach in this The prospect of privatization of the work • Employer levies are more than twice as article in the NZ Herald. In it he likens account is what led to the formation of the high in Australia, Canada, and the USA full-funding of ACC to paying for all of ACC Coalition. where the private sector has a greater role your child’s education through to their in provider services than under ACC in graduation from university on the day Who and what is the NZ. they start school aged 5. • When the work account was privatised That is not an approach we take with any ACC Futures Coalition? last time unions and treatment providers other government services so why would reported that some employers were we do it with ACC? The ACC Futures Coalition formed placing pressure on workers not to lodge The answer is probably that it will make following a seminar held in September claims for workplace injuries. the privatization of the work (and other) 2008 on the future of ACC in light of the • When the work account was privatised accounts easier to undertake as it is the policies the political parties were taking last time treatment providers reported that same approach that private insurers are into the election. private insurers were reluctant to approve required to use when establishing their Our aim is to keep the current model of claims and were often late in honouring premiums and managing their funds. ACC as a single, publicly owned provider invoices. and to seek to maintain and improve the • When the work account was privatised scheme. We currently consist of a number last time workers were unsure about their of participating organisations representing entitlements and who their employer’s treatment providers, academics, insurer was. consumers and recreation providers, plus • ACC is not an insurance company unions. and the profit motive has no place in its Information about us can be found on our operations. In the words of the founder website www.accfutures.org.nz. of the scheme, Sir Owen Woodhouse, the scheme always had a “social welfare purpose and intent”. Overall we will end up paying more and getting less and the only beneficiaries will be the Australian insurers. 2 | The Maritimes | Summer 2009/2010 www.munz.org.nz EDITORIAL A time of transition Edition 28, Summer 2009/2010 by Victor Billot Contents There has been what might be termed a changing of the guard in the Maritime Union over the last few months. This was evident at ACC 2 Conference 2009 page 10 our Triennial Conference in Wellington in October. Editorial and contents 3 I thought it was the most well run conference we have had so far. General Secretary’s report 4 It also came to my attention that we are seeing many long stand- Update from National President 5 ing members of the Union, including officials at the national and Union elections 6 branch level, move into retirement. News 7 Four well known and respected officials were awarded life mem- CTU report 8 ITF report 9 berships as acknowledgement of their contribution. Conference 2009 10 But their departure leaves a gap. Labour Party report 28 This transition period will have to be managed as we are moving MUA report 29 into uncharted waters with an economic recession and a National Port Roundups 30 Government to contend with. Health and fitness 40 It is good to see we have a mix of old and new national officials Wages 42 Port roundups page 30 following the Union elections. Viewpoint 44 I am confident that we have a good combination of officials age- Sports 46 Obituary 47 wise and geographically speaking as well as representing wharf Port contacts 47 and seafaring areas of the Union. There were a couple of remits passed at the Conference which I ‘The Maritimes’ is published quarterly by believe are vital to the future of the Union. the Maritime Union of New Zealand. Contact the One was a commitment to youth training and education. Maritime Union The other was a remit that affirmed the Maritime Union (now ISSN 1176-3418 affiliated to the Labour Party) must also seek to support other National Office parties who are potential allies on the left. National Office: Telephone: 04 3850 792 PO Box 27004 Both these remits are the example of the forward thinking we Fax: 04 3848 766 Wellington need to succeed as a union. Address: PO Box 27004, Wellington New Zealand While it was good to hear from all speakers, including the inter- Office administrator: Ramesh Pathmanathan Telephone: 04 3850 792 national speakers, I think in future it would be useful to break the Email: [email protected] Fax: 04 3848 766 Conference up into discussion groups, and have some presenta- Email: [email protected] General Secretary: Joe Fleetwood tions from rank and file members, or specific sectors within the Web: www.munz.org.nz Direct dial: 04 8017 614 Union such as youth, women or veterans. Mobile: 021 364649 Having said that, there were plenty of contributions from the Editor: Email: [email protected] Victor Billot Conference floor and it could never be said that maritime workers Mobile: 021 482219 are a shy and retiring bunch. National President: Phil Adams Fax: 09 9251125 As someone into gadgets, it was interesting for me to hear some Direct dial: 03 4728 052 Email: [email protected] different views on new technology. Some thought as unions we Mobile: 0274 377601 Mail: PO Box 339, Dunedin Email: [email protected] need to move into the “iPod age” whereas others stressed the New Zealand need for face to face organizing. I think we need both. National Vice President: Garry Parsloe We’ve got to be able to communicate and relate using the lat- Editorial Board: Direct dial: 09 3032 562 est tools. We’ve also got to always keep the focus on organizing, Joe Fleetwood, Phil Adams, Garry Parsloe Mobile: 021 326261 and Ray Fife training, stopwork meetings, political campaigning and the social Email: [email protected] side of union life. Deadline for all Port reports, submissions, Transport is a global industry and our links with global unions Assistant General Secretary: Ray Fife photos and letters: are important to us. Direct dial: 03 2128189 12 February 2010 for next edition Mobile: 0274 475317 At our Conference, speakers from different countries seemed to Email: [email protected] have different approaches. Cover photo: Despite the different styles, the message was the same.