Workplace Relations and Safety Minister Brooke van Velden Photo: RNZ / Angus Dreaver
The government's return to 90-day trials for all businesses will be progressed faster and with no public consultation, after a decision by Cabinet.
The government's Leader of the House Chris Bishop had at the post-Cabinet briefing a fortnight ago set out plans for the legislation to be referred to a select committee before Christmas.
This would allow the MPs from various parties who make up the committee to debate and recommend any changes needed to the bill, after receiving submissions from the public.
However, the last line in a statement from Workplace Relations and Safety Minister Brooke van Velden said the full bill would instead be passed in full under urgency in that time.
This much faster timeline would be achieved by the government adopting a Member's Bill from ACT MP Todd Stephenson to bring back the 90-day trials.
Van Velden repeated that stance at the post-Cabinet media briefing in the afternoon, saying using the Member's Bill would allow the government to "progress quickly to give certainty to businesses ... without the risk of a costly dismissal process".
Her office later confirmed the change to RNZ, saying it had been agreed to by Cabinet.
It adds to the government's 2023 workload, with promises to pass legislation reversing a range of other laws including the Reserve Bank's employment mandate, the Fair Pay Agreements, the replacements for the Resource Management ACT, and the clean car discount or ute tax.
That's on top of the ceremonial procedures of Parliament, including the Commission and State Openings, the Address in Reply debate and maiden speeches.
Bishop had hoped about half the 42 maiden speeches could be completed before the Christmas break.
The 90-day trials were initially brought in by the previous National-led government, allowing workers to be dismissed within 90 days of starting work, with no need for the employer to provide a reason.
Labour had in 2017 campaigned on abolishing the law, but in coalition with New Zealand First decided to merely limit the scheme to businesses with 19 or fewer employees.
BusinessNZ identified the reinstatement of the full scheme as a wishlist item in its Election Priorities.
Research from Motu in 2016, commissioned by Treasury, found "no evidence that the ability to use trial periods significantly increases firms' overall hiring", and "no evidence that the policy increased the probability that a new hire by a firm was a disadvantaged jobseeker".
It also did not appear to affect the likelihood of new hires remaining in the long term, or make workers less likely to move jobs. The researchers did find a weak increase in hiring in the construction and wholesale trade industries, however.
"The main benefit of the policy was a decrease in dismissal costs for firms, while many employees faced increased uncertainty about their job security for three months after being hired," the research concluded.
Reinstating the scheme was included in the National-ACT coalition agreement, and was included in the new government's 100-day plan.
