https://search.dev.ndltd.org/etd/massey/oai:mro.massey.ac.nz:10179/6269
type: CreativeWork
name: Sweden & New Zealand, a comparative analysis of an alternative to the Employment Contracts Act 1991 : a thesis presented in partial fulfilment of the requirements for the degree of Master of Philosophy in Social Policy at Massey University
description: The Employment Contracts Act 1991 (ECA) was extremely controversial when it was introduced and it remains so to this day. In fact, the future of the ECA is very uncertain. Pressures are coming to bear upon it and it is possible that key aspects will be amended, or the Act repealed, in the near future. This thesis analyses the current industrial relations frameworks in Sweden and New Zealand. An alternative to the ECA is sought with a view to alleviating what is clearly a very imbalanced and inequitable framework. The emphasis throughout has been placed upon the social policy consequences of the application of the market-liberal/classical economic model of perfect competition to the real world. This analysis indicates that the most notable 'achievement' of the ECA (and the application of the perfectly competitive model to real world labour market problems), in all likelihood, lies in reinforcing greater income inequality (increasing wage dispersion or widening income gaps), particularly between those in strong versus weak labour market positions. Further, it does not provide, but reduces opportunity for many and, in fact, will not achieve much that it was claimed it would, without increasing income inequality. Further, it will be argued that an ECA style framework is likely to exacerbate unemployment, particularly amongst those who comprise the secondary labour market, even in a growing economy. Any country, it seems, which applies the perfectly competitive model will suffer such an increase in inequality. Sweden is no exception. The rising level of unemployment, coupled with more 'performance oriented' pay schemes are examples of the increasing segmentation which is taking place within the Swedish labour market. However, it will be argued that the degree to which income inequality increases is very dependent upon the level of decentralisation/individualisation, and general marketisation, that takes place. A range of factors (all discussed in the body of this thesis)…
abstract: The Employment Contracts Act 1991 (ECA) was extremely controversial when it was introduced and it remains so to this day. In fact, the future of the ECA is very uncertain. Pressures are coming to bear upon it and it is possible that key aspects will be amended, or the Act repealed, in the near future. This thesis analyses the current industrial relations frameworks in Sweden and New Zealand. An alternative to the ECA is sought with a view to alleviating what is clearly a very imbalanced and inequitable framework. The emphasis throughout has been placed upon the social policy consequences of the application of the market-liberal/classical economic model of perfect competition to the real world. This analysis indicates that the most notable 'achievement' of the ECA (and the application of the perfectly competitive model to real world labour market problems), in all likelihood, lies in reinforcing greater income inequality (increasing wage dispersion or widening income gaps), particularly between those in strong versus weak labour market positions. Further, it does not provide, but reduces opportunity for many and, in fact, will not achieve much that it was claimed it would, without increasing income inequality. Further, it will be argued that an ECA style framework is likely to exacerbate unemployment, particularly amongst those who comprise the secondary labour market, even in a growing economy. Any country, it seems, which applies the perfectly competitive model will suffer such an increase in inequality. Sweden is no exception. The rising level of unemployment, coupled with more 'performance oriented' pay schemes are examples of the increasing segmentation which is taking place within the Swedish labour market. However, it will be argued that the degree to which income inequality increases is very dependent upon the level of decentralisation/individualisation, and general marketisation, that takes place. A range of factors (all discussed in the body of this thesis)…
author: Turner, Christopher John
keywords: Industrial relations, Labour policy, New Zealand and Sweden, Employment Contracts Act 1991
date published: 1994
date modified: 2026-07-27T20:17:21Z
provider: Massey University
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: Massey University