Jobs not dividends should be focus

John Key’s plan to take a dividend from TVNZ despite the recession biting into its margins shows he’s unwilling to walk the talk on saving Kiwi jobs, say the Engineering, Printing and Manufacturing Union and the Public Service Association.

With advertising revenue down due to the recession the iconic public broadcaster is facing a $30 million shortfall despite restructuring operations over the last two years.

TVNZ paid a $10.3 million dividend to the government in the last financial year that ended on June 30, 2008.

EPMU national secretary Andrew Little says many shareholders are seeing their dividends reduce as a result of the recession and the Government should be no different.

“Rather than encouraging TVNZ to cut staff Mr Key should be willing to accept a reduced or nil dividend in order to make sure TVNZ can continue to operate properly through the recession.

“The government has to take a lead in relation to the businesses it owns, so as well as talking about saving jobs they’ve got to demonstrate action when the opportunity arises to do so.

“This is not a time to choose dividends over jobs.”

PSA national secretary Richard Wagstaff says he is extremely disappointed the Prime Minister has no plans to waive the Government’s dividend to help save jobs at TVNZ.

“This raises questions about how serious John Key and his government are about keeping all New Zealanders in work”, says Wagstaff.

“It’s no good making bold statements about how other parts of the economy have to keep people in work, using taxpayers’ money if necessary, and then turning your back on workers at assets that the Government owns like TVNZ.

“TVNZ has already shed staff through a major restructuring in recent times and now Mr Key seems to be happy to see more of these hard working New Zealanders lose their jobs because of the recession.

“The Prime Minister needs to recognise that we are all in the recession together. There’s a personal and public cost when any worker loses their job, whether it’s in the public or private sector.”

The EPMU and the PSA are the country’s two largest unions, representing nearly 100,000 working New Zealanders between them including more than 200 at TVNZ.

ENDS

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