National Minister Scott Simpson "asked ACC to have another look at the proposed tender" for a workplace injury prevention tender. Photo: RNZ / Daniela Maoate - Cox
ACC has ditched Māori and Pasifika targets in a new workplace injury prevention proposal after the ACT party intervened and forced a National Party minister to make a U-turn.
ACT had accused the government agency of not complying with a directive that public services be delivered on the basis of need not race.
MP Laura McClure said ACT had negotiated a needs-based approach as a coalition commitment, and expected to "see our coalition commitments delivered".
ACC Minister Scott Simpson supported ACC's original tender, citing disproportionate levels of injuries for those ethnic groups, but later asked the agency to "have another look" at it.
In April, ACC released a tender to 'Deliver Evidence-Based Initiatives to Reduce the Incidence and Severity of Injuries in the Manufacturing Sector.'
It specified the need for a supplier to deliver "outcomes-focused programme initiatives that cost-effectively reduce work-related injuries". It included a target of 5461 claims to be saved in the 10 years after the project was delivered. At least 18 percent of those claims saved needed to be from Māori, and 11 percent from Pacific peoples.
Simpson backed the initiative, saying the approach aligned with the government's desire to support New Zealanders based on evidence of need.
He cited ACC's own data that showed Māori and Pacific people experience "disproportionately high rates of injury in the manufacturing sector".
Further information provided to Newsroom from ACC said in 2024, 18 percent of work-related weekly compensation claims in manufacturing impacted Māori while 11 percent of work-related weekly compensation claims in manufacturing affected Pacific people. Māori made up 14 percent of the workforce and Pacific peoples made up 10 percent of the workforce.
ACT MP Laura McClure Photo: RNZ / Samuel Rillstone
McClure had written to the Minister, highlighting the targeted claims in the tender and saying it was "inconsistent" with a government directive that "public services should be prioritised based on need, not race".
She quoted the Cabinet Office Circular directly, which stated: "Cabinet expects agencies will recognise that there are many variables that can be used to identify and assess need, and that all variables should be considered before ethnic identity is automatically used to determine need.
"The circular makes clear that ethnicity should not be used as a proxy for need and that services must be justified through empirical evidence about actual disparities and why general services are insufficient to address them," she said.
McClure argued ACC didn't make an "analytical case" for targeting a particular population subgroup based on empirical evidence as required by the circular and asked for that information to be shared with her if it existed.
"Is it the view of the Minister that Māori or Pasifika are inherently more susceptible to workplace accidents? If ACC has shared any data suggesting that the difference in injury rates cannot be explained by other factors such as the risks associated with a particular job, please share this with me."
Simpson later backed down, saying he had considered the issue and "asked ACC to have another look at the proposed tender".
"It is important service delivery aligns with the Cabinet circular and is based on need."
ACC's deputy chief executive strategy, engagement and prevention Andy Milne confirmed this, saying a new tender had been issued with the "targets removed."
"We invite suppliers to propose programmes and initiatives focused on outcomes for the wider manufacturing sector, including all individuals and communities within it. "
