Lees-Galloway Iain: Financial Reporting Bill — Second ReadingText is incorporated into the Bound VolumeLees-Galloway Iain: Financial Reporting Bill — Second Reading[Sitting date: 02 July 2013. Volume:691;Page:11517. Text is incorporated into the Bound Volume.]IAIN LEES-GALLOWAY (Labour—Palmerston North):Tēnā koe Mr Speaker. Ngā mihi o Te Wiki o Te Reo Māori. Labour supports the Financial Reporting Bill because our primary focus in all things right now is to get New Zealanders back to work and to grow jobs in this country. That is why in the way that this bill seeks to do we are seeking in all possible ways to reduce structural costs for businesses such as seeking to reduce the price of electricity for businesses as well as households and to try to boost innovative companies through things like research and development tax credits. It is only by doing those sorts of things that we will really see job growth in New Zealand.I am not talking about the kind of job growth that sees everybody working at Burger King McDonald’s or Pak ’N Save I am talking about the kind of job growth that gives people decent salaries so that families have enough to take home so that they can make ends meet so that they can afford their house in Auckland and so that they can raise their families in a stable and financially secure situation. That is the kind of thing that Labour is focused on.We believe that in a small way this bill contributes to that. It will do two things. One it does reduce unnecessary compliance costs for businesses so that they can get on with the job of growing their business and creating those jobs that New Zealand so desperately needs. The other thing it does is that it improves transparency and gives the public greater confidence in the conduct of those entities.What I particularly like about this bill is the flexibility that is contained within it. Large companies and large overseas companies that carry out business in New Zealand will have quite stringent reporting expectations on them although those larger companies where there are 10 or more shareholders with a 95 percent majority vote can opt out of the compliance if their shareholders are comfortable with that. Indeed in respect of smaller companies if their shareholders want their companies to adhere to greater levels of compliance so that there is greater transparency then that is possible in this bill as well.A lot has been made of the select committee process. I know that the Hon David Parker talked about the excellent process we have whereby companies organisations accounting firms and the people who have knowledge about the issues of business financial reporting were able to come and suggest changes to the bill and it has come back to the House in a better form than when it went to the select committee. That is part of creating a robust transparent and secure business environment in New Zealand knowing that we have a sound legislative process that is designed to make for good lawmaking and that is important for growing businesses as well.An important aspect of this is also that charities will be required to prepare financial information in accordance with generally accepted accounting practices. A lot of charitable organisations rely on public money as well as money raised from our communities. It is important that they are able to transparently advise the public of how those moneys are being spent.All in all although this is pretty minor in comparison to the significant economic shift that the Labour Party proposes and that the Labour Party will institute once it is next in Government in its own small way this bill helps towards the Labour Party’s vision for New Zealand where people are working in high-paid high-skilled and meaningful jobs. For that reason we will support the bill.Bill read a second time.