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MTA: Government must prioritise automotive sector before general election

by Robert Barry
January 26, 2023
in Featured, News
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The Motor Trade Association of New Zealand (MTA) says incoming prime minister Chris Hipkins and his team must prioritise the automotive sector before the October election.

MTA advocacy and stakeholder manager Brian Anderton says the industry is the lifeblood of local communities, and literally keeps the country moving.

“There’s a number of issues affecting our industry that can’t wait until a new government is sworn in at the end of the year,” Anderton says.

“In signalling a reprioritisation of government policies, the prime minister has already stated his government will be focussed on small businesses that are finding it tough going – that includes many in our sector,” he says.

For instance, more roles must be added to the immigration Green List to alleviate the labour shortage that’s affecting many automotive sector businesses says the MTA.

In December, on the advice of MTA and other agencies, the government added skilled motor mechanics to the list, but it says there is still a severe shortage of panel beaters and vehicle painters.

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“We know that coupled with the high cost of living, many businesses are doing it tough,” Anderton says.

“If repairers and panel-beaters are short-staffed or forced to close, it can mean more unsafe vehicles on the road, as much-needed repairs and maintenance are deferred.

“It also means crucial government targets in emissions reduction and road safety are affected,” he says.

While changing immigration settings will provide a short-term fix to the labour shortage, the MTA also urges the prime minister and his cabinet to help encourage and support young people in the automotive sector as a long-term solution.

One way to do so is to extend Apprenticeship Boost, which pays businesses $500 a month for each apprentice for two years.

Last year, as education minister, Hipkins sang the praises of the scheme, which last year saw the 50,000th apprentice pass through the programme.

“A locally trained workforce provides for greater economic security. It delivers a highly skilled workforce to build infrastructure, or design the technology needed to future-proof the economy, while ensuring good jobs for New Zealanders,” Hipkins says.

Now the MTA is calling on Hipkins to back that up by extending Apprenticeship Boost past its December expiry date.

Like many New Zealanders, MTA members are concerned by violent crime, which puts service stations at risk of ramraids and aggravated robbery.

As police minister, Chris Hipkins called the number of ramraids “unacceptable” and pledged to help businesses stay safe.

“Now he’s in the top job, we urge the prime minister not to lose this focus,” Anderton says.

MTA will be engaging with all political parties in the run up to the election to ensure the transport sector, and every New Zealander who depends on it, are supported.

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