Labour proposing new tax targeting business employing foreign workers

Labour is proposing a skills shortage tax to target firms who employ foreign workers and don't train up their staff

Source: 1 NEWS

The policy is designed to encourage businesses to train up Kiwis to fill the jobs.

This new "skilled shortage levy" will target chefs, tour guides, construction, agriculture and ICT workers and other industries that are struggling to find manpower.

The cash will be used by the government to boost skills training.

However the ideas aren't policy yet and so do lack firm details - like how much the levy will be. Source: 1 NEWS

"Firms that can demonstrate they are actively engaged in the training process would be exempt from such a levy," the recommendation says.

It's contained in a report from their Future of Work Commission - a two year investigation.

Finance spokesman Grant Robertson is expected to announce further details this afternoon at the party's annual conference.

Around 550 party faithfuls are in Auckland as the party gears up for election year and tries to regain some momentum in the polls.