Scott Simpson: Minister for ACC on pausing a controversial new initiative to reduce injuries in the manufacturing sector

A controversial new initiative to reduce injuries in the manufacturing sector has been put on pause by ACC. 

The tender process specifically focused on Māori and Pasifika workers. 

ACC Minister Scott Simpson initially stood by ACC, saying its tender “aligns with the Government’s desire to support New Zealanders based on evidence of need”.

However, he then U-turned by asking ACC to review the policy after the ACT Party complained. 

Scott Simpson joins the show to discuss the initiative. 

LISTEN ABOVE. 

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Episode Transcript

Speaker 1 (00:00):
Heather, do the CLA. Now.

Speaker 2 (00:02):
The government's found itself caught up in another race based
targeting controversy in the last few days. This time, of course,
it featured ACC and so far we haven't heard from
the minister at the center of it. But Scott Simpson
is with us now.

Speaker 1 (00:12):
Scott, Hello, Hello Heather, thank you for being so patient.

Speaker 2 (00:16):
Thank you for thank you for turning up. I appreciate it.
Now tell me what happened. Why did you support this
and then reverse your position on it.

Speaker 1 (00:23):
Well, look, this is ACC's tender and we do have
an issue with under reporting and overexposure to manufacturing workplace
incidents relating to MARI and Pacifica. But that said, our
government's very clear that services, public services need to be
provided on the basis of need, not race. So ACC

(00:47):
I think now understand that I've made it very clear
to the Chief Executive and to the Chairman of the
Board that any future initiatives of this sort need to
be in conformance with the Cabinet Memo on service delivery.

Speaker 2 (01:02):
Yeah, so what happened? Did you just not see the
cabinet memo?

Speaker 1 (01:06):
No, No, I certainly saw the Cabinet memo. I got
some advice from ACC. They gave me advice that in
their view it met the cabinet memo. I had a
chance to reflect on that Thursday evening and decided that
in my view, it did not come on.

Speaker 2 (01:24):
Tell me how on earth you thought that that was
the case, because this was clearly race based targeting, right
it had. There was a target for Maori and a
target for Pacifica, and that is not allowed. So how
on earth did you look at that and go that's
not race based?

Speaker 1 (01:38):
I looked at the statistics related to Mari and Pacifica
manufacturing workplace injuries and accidents. That is a real problem.
But it's ACC's tender. They got it wrong, and I've
reflected on it, and so I got ACC's chief executive
to change her position. She's pulled the tender, and I

(01:59):
think you will find that when that tender goes back
out for public consultation, that it won't have these aspects.

Speaker 2 (02:06):
And Okay, look, I don't want to be insulting to you, Scott,
but if it's not obvious to you that that is
actually in breach, are you not a smart man? It's
obvious that it's in breach of the memo.

Speaker 1 (02:20):
Well, as I said, I received advice from ACC that
in their view, it met the memo. Now I had
a chance to reflect on that, and I don't agree
with him. That's why I asked the chief executive to
be about.

Speaker 2 (02:34):
The Scott It's not you only reflected on it after
you defended them publicly.

Speaker 1 (02:39):
Well, I defended it in one media comment, and Ben
had a chance to reflect on it, as I said,
So I didn't agree ultimately with the advice. It was
a mistake, I guess now with the benefit of hindsight
to have done that in the first place, and I've
learned a valuable lesson.

Speaker 2 (02:58):
Now can you guarantee because I've paused it and they're
reflecting on it. But does that necessarily mean they're going
to abandon it.

Speaker 1 (03:06):
No. I think they will still go ahead with the tender,
but they will take out the ethnic and race based
provisions that they put in it. So that's the request
that I've made to them. I've made that position very
clear to them because we still do have an issue
with manufacturing accidents. Look, there are huge issues with ACC, Heather.

(03:28):
I'm very focused on getting those right. ACC needs a
big turnaround project. Rehabilitation rates are slipping and have done
for the last several years. We've got huge financial implications
for ACC. There are much much bigger issues at ACC
that I need to be focused on. I'm addressed with.
I get the point that you make.

Speaker 2 (03:48):
Now listen, is it possible because from my understanding, what's
going on here is that there are certain parts of
the manufacturing sector that are particularly dangerous, right and those
are predominantly, that is, predominantly where you have Mary and
Pacific are working, so they are at the highest risk
because of where they work. Is it not possible to
simply target those areas for everybody who works there and

(04:09):
then clean up the stats.

Speaker 1 (04:11):
Yeah, look, that makes sense to me, and that's what
I've asked ACC officials to do.

Speaker 2 (04:15):
Okay, Scott, listen, Thank you. I really do appreciate your
time and I know you're busy. That's got Simson, Minister
for ACC.

Speaker 1 (04:21):
For more from Heather Duplessy Allen Drive listen live to
news Talks.

Speaker 2 (04:25):
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on iHeartRadio.