About 2000 of the 11,100 overseas workers allowed into NZ under the Recognised Seasonal Employer (RSE) scheme are allocated to the kiwifruit orchard and packhouse sector and NZ Kiwifruit Growers will be part of a wider horticulture industry request to the Government to increase those numbers, chief executive Nikki Johnson said.
Unless a lot more workers are attracted to the industry the country’s 2500 kiwifruit growers face severe seasonal labour shortages during several years of rapidly increasing production.
They started the latest harvest, packing and pruning season 1200 staff short of the required number, creating the risk fruit might not be picked in time to meet export standards, she said.
Publicity over the shortage brought in another 600 workers, New Zealanders and overseas backbackers who were able to turn visitor permits into work permits under special immigration rules.
The labour shortage came earlier and was more severe than predicted.
The fruit was picked in time but the issue highlighted the need for industry and Government planning for future labour needs, Johnson said.
The highest labour-inputs are in fruit picking, the time-urgent task, and winter pruning, which is the most time-consuming.
Growers has presented a report to the Government describing the issues it faces and in time will be going back with requests for specific support to ensure there is a sustainable workforce.
Seasonal staffing needs are for about 15,678 seasonal workers but that will rise to about 22,700 by 2027 as the number of export trays increases to 190 million from 123m.
Growers, mostly in Bay of Plenty, are investing heavily to double industry value by that year but a critical labour shortage would severely hamper that growth, Growers says.
The group’s analysis shows the staff shortages are caused by several factors including low unemployment rates. It is working with the Ministry of Social Development to employ New Zealanders “under-utilised in the workforce”.
Other factors are fewer overseas people on working holiday visas choosing to work int the industry, the short-term nature of a lot of the work, reduced numbers of international students and what it describes as outdate preconceptions around pay rates and worker welfare.
The casual contracts also mean workers do not get paid for work stoppages, in wet weather for example, so other industries looked more attractive.
Pay rates have been improved, with pickers getting an average $20.95 an hour and rates for the more consistent and less demanding packhouse work being $16.13 an hour for unskilled staff, ahead of this year’s increase in the minimum wage. Skilled packhouse workers are at average rates of $19.23 an hour. The industry os also planning for increased accommodation amenities.
The Growers report to the Government said the RSE scheme is critical for the industry with the overseas workers being extremely efficient and reliable.
The are relied on for nightshift and weekend work as well as winter pruning where growers have difficulty recruiting New Zealanders. As the numbers of RSE workers allocated to kiwifruit by the Government do not meet demand and fluctuate year-on-year there is a lack of certainty for the industry in investing in accommodation.
The seasonal kiwifruit work period, involving the several different activities, covers about 40 weeks from March to November with some people working right through. Most of them are New Zealanders and Johnson said there is potential to move them into permanent roles to improve labour retention rates.
Most of the growth in production over the next decade will be in Gold fruit. Production trails the standard Green crop but by 2027 Gold will make up two-thirds of total production and is more labour-intensive than Green.
The report said a mechanical harvester system is being tested but is at least five years away from practical implementation. An automated system for winter pruning is unlikely in the next 10 years.
