Adams Paul: Questions for Oral Answer — Questions to Ministers 
Adams Paul: Questions for Oral Answer — Questions to Ministers 
[Volume:620;Page:15657] 
4.  
PAUL ADAMS (United Future) 
 to the  
Minister of Labour 
: On how many occasions in the past 5 years have labour inspectors exercised their powers under section 103 of the Fisheries Act 1996 to ascertain whether work permit holders employed on foreign charter fishing vessels are being paid at the levels required under the Minimum Wage Act 1983 and the Wages Protection Act 1983 and what has been the result of those inspections? 
Hon PAUL SWAIN (Minister of Labour) 
: 
 Since 1999 the labour inspectorate has conducted two such investigations. In one of these three Russian seamen approached the inspectorate and complained of non-payment of wages. When the New Zealand agent for the vessel was approached by the inspectorate the matter was remedied by immediate payment of the outstanding amounts due. The second case involved a vessel that was not fishing in New Zealand territorial waters so the provisions of section 103 of the Act did not apply. However I am aware that concerns have been expressed about labour issues in the industry and officers from the Department of Labour and the Immigration Service will be undertaking an investigation to ensure compliance with New Zealand labour and immigration laws. 
Paul Adams 
: Is the Minister aware that a number of foreign charter vessel operators evade employment laws such as the minimum wage by making substantial deductions from their employees’ pay packets for expenses like airfares food and accommodation which result in them receiving net rates of pay far below the minimum wage; and is he concerned about the implications of such practices for the competitiveness of fishing vessels that employ mainly New Zealand crews? 
Hon PAUL SWAIN 
: Yes I am and that is precisely why officials from the Department of Labour and the Immigration Service are due to start an investigation into the industry to ensure that New Zealand laws when people are fishing in New Zealand are complied with. It is for the reasons outlined by the member that that is happening. 
Phil Heatley 
: Why are the wages of foreign fishing crews half those of New Zealand fishing crews when section 7 of the Minimum Wage Act expressly states that employers may not deduct wages by more than 15 percent for board or 5 percent for lodging? 
Hon PAUL SWAIN 
: That is one of the issues that will be looked into. The Wages Protection Act has a lot to say about the kinds of things the member has raised. There is also the issue of the Minimum Wage Act which the member from United Future has raised. As I said the officials will be conducting an investigation shortly. 
Keith Locke 
: When the department conducts this long overdue investigation that the Minister has just referred to will the department follow up on the leads provided through New Zealand third parties and not apply the policy until now of trying to get direct evidence from the seamen when we know that Ukrainian Filipino and other workers on foreign vessels are reluctant to come forward with direct information because they fear they will be put on the first boat or plane back? 
Hon PAUL SWAIN 
: That is a fair point and the point I make now is that if people have information on the kinds of things that have been going on that would help the investigation I would welcome it. 
Paul Adams 
: Is the Minister concerned that the practice of minimising payment obligations to work permit - holding foreign fishing crews has created an environment in the fishing industry that is so uncompetitive for New Zealand crews of fishing vessels that a number of New Zealand - owned deep-water fishing vessels have had to be sold or tied up in recent times and their crews laid off; and has he discussed this issue with his colleagues the Minister of Fisheries and the Associate Minister of Immigration? 
Hon PAUL SWAIN 
: I have seen reports similar to what the member has said. I am not sure how much of that is due to things like quota around hoki and changes to quota or whether in fact it is due to labour or immigration laws. As a result of the investigation we should be a little clearer in regard to knowing what is happening. 
Gordon Copeland 
: I raise a point of order Mr Speaker. The Minister was asked also whether he had discussed this with the Minister of Fisheries and the Associate Minister of Immigration. He did not address that part of the question. 
Mr SPEAKER 
: He does not have to but if he would like to he may. 
Hon PAUL SWAIN 
: I certainly have discussed the matter with the Associate Minister of Immigration. I have had reports from the Minister of Fisheries about quota issues. 
Paul Adams 
: What steps if any will the Government take to investigate and then eliminate the anti-competitive and unfair practices of minimising payment obligations to work permit - holding foreign fishing crews? 
Hon PAUL SWAIN 
: As I have said we will begin an investigation into this matter very shortly and the investigation will be addressing precisely the matters that the member has raised. 
Paul Adams 
: Will the Government consider making it mandatory for inspectors to be present at all times on all foreign-crewed charter vessels; if not why not? 
Hon PAUL SWAIN 
: I am not sure how many fishing vessels there are and therefore requiring an inspector on each one might be a little burdensome not just on the industry but also on the taxpayer. I think what I would like to be able to do is get to the bottom of the issue and then work out what we do about it after that.