20 Jul 2009

Grapegrowers told to ensure contract workers well treated

7:08 am on 20 July 2009

Wine Marlborough is warning grapegrowers in the region to make sure contractors they employ to prune vines during the winter are treating their workers properly.

Board chairman Blair Gibbs says there have been instances of shoddy practices and pruners being paid less than half the legal minimum wage.

He says in other instances, contractors don't pay their tax, and as soon as the Inland Revenue Department comes knocking they close down and reopen under another name.

Mr Gibbs says pay rates are being pushed down by competition for jobs during the recession and a minority of contractors are taking shortcuts.

He says there are a lot of absentee owners in the grape growing industry, but the onus is on the employer of the contractor to ensure that people working on their properties are legitimate.

Mr Gibbs says there are only a few bad contractors as the majority are registered under the Recognised Seasonal Employer scheme and are members of the Master Contractors organisation.

Image improving, says contractors group

The Interim Chairman of the NZ Master Contractors Mack Powhare says the organisation is already improving the image contractors have in the industries which employ seasonal labour.

Early last year the organisation launched aims to improve the professionalism and image of contractors who provide services for the horticultural and viticultural industries, and give them a political voice.

Mack Powhare who runs a contracting business in Marlborough says Master Contractors helps with issues such as GST, PAYE and immigration.

He says about 70% of the contractors in Marlborough have joined the organisation, but the uptake in Hawke's Bay and the Bay of Plenty has been lower.