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Press release | 1 May 2007

NZAID welcomes development potential of the RSE Scheme

The movement of labour, including low-skilled labour, can make an important contribution to development in developing countries. It provides opportunities for individuals to earn an income, acquire skills, and be exposed to new ideas.

NZAID is pleased to be involved in New Zealand’s response to the Pacific’s requests for greater access to the seasonal labour market in New Zealand in the form of the Recognised Seasonal Employer RSE scheme.

RSE has been designed with the development of Pacific countries and New Zealand’s horticulture and viticulture industries at its heart. It is an attempt to provide a win-win solution where NZ employers have a secure labour supply that they can utilise in successive years - thus having a reason to invest in it to reap productivity gains over time - and for the Pacific to have income opportunities. There is an excess supply of low-skilled workers in Pacific Island countries and only limited opportunities domestically for them to get a job.

Development outcomes feature throughout the RSE policy and are one of the five key principles agreed by the New Zealand Government, the five Kick Start states, and employers.

NZAID is keen that those in the region who benefit are those who have few other prospects; particularly people in rural areas and the unemployed. We want the scheme to help build skills in the Pacific, not contribute to the loss of much needed skills by recruiting highly skilled people.

We would encourage New Zealand industry to look to establish broader development relationships with communities in the Pacific, rather than simply viewing this as an employer-employee relationship. Additional training of workers, support to community projects, or even joint ventures, are all ways in which this could occur.

We know that there will be costs as well, such as the social disruption in the communities from which the workers come from. These should not be discounted. Monitoring will be important so that Pacific Island countries and New Zealand can better understand the development implications and improve the policy over time. Nor does the RSE diminish the urgent need for domestic economic policies in the islands that promote growth in job creation.

NZAID is providing some funding (managed by MFAT) for start-up activities to help ensure Kick Start States do benefit from the scheme, and to monitor its effect over time.

Peter Adams
Chief Executive, NZAID

Page Last Reviewed: 4 May, 2007

Document URL: http://www.nzaid.govt.nz/library/press-releases/070501-rse.html

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