Editorial
Mind the gap
In the same week that thousands of Contact Energy customers received letters telling them of 10 percent price rises, the company was also preparing to double its directors’ fees pool to $1.5 million.
That was no doubt welcome news for deputy chairman Phil Pryke—who is already paid $1000 a day from a pool of $770,000—but the company’s customers and small shareholders were decidedly unhappy. The pay increase was labelled obscene and arrogant and, not surprisingly, there were fireworks at the annual shareholders’ meeting.
On the very day the Contact Energy story made the lead in the New Zealand Herald, I spotted an interesting newsbrief on page three. It seems New Zealand is in the bottom quarter of OECD countries for income inequality. While the gap between rich and poor has narrowed slightly since 2000 under the Labour-led Government, it is still wider than in 21 of the 30 OECD countries.
The figures are from a new report—Growing Unequal? Income distribution and poverty in OECD countries—which says the gap between rich and poor in most OECD countries has widened over the past two decades. In other words, the economic growth of recent decades has benefited the rich more than the poor.
In New Zealand’s case, it seems that back in the mid-80s to mid-90s, when social protections were reduced, our income gap widened more than in any other OECD country except Mexico. Its recent narrowing can be largely attributed to our high employment levels. But with lay-offs increasing in the current recessionary climate, that’s likely to change.
One of the interesting points in the report is that social mobility is lower in countries with high inequality. OECD secretary-general Angel Gurria warns: “Greater income inequality stifles upward mobility between generations, making it harder for talented and hard-working people to get the rewards they deserve. Ignoring increasing inequality is not an option.”
He might have us believe differently, but National leader John Key’s rags-to-riches story might therefore be increasingly the stuff of fairytales.
Gurria says countries have to do better at getting people into work and giving them in-work benefits to provide working families with a boost to income.
Despite all the rhetoric about people being a business’s greatest asset, when times are tough it’s often staff—or at the very least their development—that prove expendable. If that happens, then the gap between our rich and poor can only widen further.
—Lyndsey Swan
Feature articles
Coaching for control
Last year DSS Animal Management came from nowhere to win a category at the Manukau Business Excellence Awards, an achievement it repeated this year. Miriam Bell talks the company’s managing director into revealing the secrets of their success.
Trouble no more
When the going gets tough, as it sometimes does, then an employee assistance programme may be just what’s needed to help troubled staff. But do these programmes really help? Steve Hart investigates.
Coaching for success
Coaching has long been popular in organisations overseas and it is gaining popularity in New Zealand. But with the country slipping into recession, will coaching still be considered a key tool in our workplaces, asks Miriam Bell.
Love me tender
For HR departments and recruiters alike, the Request for Tender process can often be a real chore. But it needn’t be. Lucy Nichols explains how to make the process as painless as possible—and beneficial for everyone involved.
Women at work
A commitment to diversity and equality leads to superior business results, says Philippa Reed. She profiles two organisations whose efforts to boost the number of women in management led to success at the EEO Trust Work & Life Awards 2008.
From coast to coast
A walk across Auckland provides the setting for a shared learning experience designed to strengthen team cohesion and identity. Winston Pond explains how a team of IT managers benefited from walking and talking their way across the city.
Built to perform
Why is it that some teams achieve amazing results while others don’t? Gaylene Hughes checks out the secrets of high-performing teams and offers six key steps for creating success.
Best behaviour
Have you ever wondered why your team is behaving the way it does—and what you can do about it? Gordon Davidson discusses a range of approaches that may help you understand what’s going on.
Future indicative
Futurist and commentator Daniel Silke took a look into the crystal ball at the recent RCSA conference to predict what’s ahead for recruiters. Louisa Clery reports on his top ten trends.
Into the open
If one of your employees is being victimised in the workplace, it’s important to address the situation openly. That means talking with the group in front of the person, and making it clear that he or she has your support, says John Gill.
Departments
Strategic HR: Serious about partnership
There is often a great deal of cynicism about the role of HR, especially when it goes beyond traditional core functions, says Ruth Kim. Is faith enough, or do we need to do more to ensure that HR is perceived as a genuine business partner, she asks.
Case in point: Manage risk—or ban it?
When it comes to working with danger, how much is too much, ask Grant Nicholson and Charlotte Hatlauf. They examine a recent case which suggests that if a risk cannot be properly managed, work should not proceed.
HRINZ news: A common connection
Just as New Zealand has become part of the wider Asia-Pacific business community, so too has our HR community become part of an HR network that extends across the region, says Crispin Garden-Webster. And they’re keen to know how HR is practised here.
Recruitment: Talent acquisition
With increased competition and globalisation, it is more challenging than ever to find the right talent—but along with a shortage in talent comes a great opportunity to achieve a competitive advantage, says Nick Simcock.
Learning & development: Needs must
Before you can carry out an effective training needs analysis, it’s important to first understand your organisation’s approach to training, says David Glover.
Leadership: Leading performance
If you want to build a high performance culture, it’s important to first establish a clear behavioural framework, says Paddy Steinfort. That way, everyone will be clear about what actions they need to take to help the team.
Wellness at work: Prevention focus
Both alcohol and drug use and back pain have an impact in the workplace, but a new guide for employers and a US stretching programme aim to change that.
Public sector: Bad blood
Although his behaviour was called into question, the Employment Relations Authority found a polytechnic tutor had suffered unjustified disadvantage because his employer failed to address an unsatisfactory workplace relationship, says Paul Robertson. |
