CTU official Bill Rosenberg has raised the spectre of Warner Brothers suing a future NZ Government if it tries to unwind “the Hobbit” law.
At the TPP stakeholders day in Auckland this morning, Rosenberg said the CTU’s interest in the trade negotiations is not limited to labour rights.
Rosenberg instanced the NZ Government’s decision to change labour laws to ensure Warner Bros made The Hobbit films in New Zealand. “What if a future Government restored the previous labour rights?,” Rosenberg said. “Warners could claim a loss as a result of the failure to ‘maintain a stable and predictable legal and business framework in line with the investors’ legitimate expectations.”
“Given the previous negotiations there would be a strong argument for them there.”
He questioned whether Governments could be sued by investors if they raised the minimum wages which could affect profitability or strengthened collective bargaining.