IPS WP 10/10 - “Essential” workers in the dairy industry
Over the past decade the dairy industry has grown in land area, number of cows, milk production and dairy exports to the point where it is New Zealand’s premier exporter. This growth has been associated with significant structural changes to the industry. In particular, there has been a widespread conversion from small, family-owned and managed farms that were traditionally characterised by high levels of self-employment to large-scale "factory" style farms that are dependent upon non-family, mainly casualised, and partially seasonal labour who typically work long hours. Not surprisingly, the industry has been plagued by issues of recruitment and retention of employees and its social sustainability has been in question.
The future of the dairy industry to a large degree depends on its people. In both the shorter and the longer terms a migrant component to the dairy farm labour force will be essential. There is a question as to whether this migrant labour can be provided in a way that gives benefits to all stakeholders as has been achieved so far via the Recognised Seasonal Employer scheme for horticulture and viticulture. A profound change in the dairy industry may be necessary to ensure that stakeholders make the effort necessary to negotiate such a multi-win outcome. That needs to be supported by an evidence base to ensure an enduring rather than a temporary solution.
Key words: low skill migration, dairy industry, seasonal work
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Published in July 2010
