PSA MEDIA RELEASE
21 July 2011

Labour has announced they will change the way government procures goods and services to ensure New Zealand jobs and economic development opportunities, while the current government remains silent on the issue, says the PSA, the country’s biggest union.

“We’d like to hear similar assurances from the current government. Other countries such as the US, China and India have procurement policies that give preference to local companies,” says PSA National Secretary Brenda Pilott.

“For a small country like New Zealand, it makes no sense to pass over local manufacturers if they can produce goods and services of similar quality and price. “

“Just last week the Parliamentary Service awarded a contract to a German company to repaint the historic Parliamentary Library and one of New Zealand’s most innovative companies, Resene, missed out despite being able to supply the special protective paint at the same price.”

“Government spending makes up such a large sector of the economy so it should be taking a lead and ensuring that as much of that money remains in New Zealand as possible.”

“New Zealanders are fed up reading about Kiwi jobs being exported, whether it’s KiwiRail carriages being manufactured in China or Remembrance Day poppies made in Australia.”

“We know that this government has a strong focus on cost cutting but we also know from Treasury’s Better Administrative and Support Services report that with the right government procurement policy in place there are savings to be made.”

“ A more integrated and government-wide approach to the provision of such things as IT systems, equipment and office supplies would enable local manufacturers to reduce costs and compete with overseas suppliers, keeping jobs and skills in New Zealand,” says Brenda Pilott.

ENDS

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