HPSNZ ordered to engage in good faith bargaining with TAC

The High Performance Sport New Zealand (HPSNZ) is obligated to engage in good faith bargaining despite not employing any member athletes from The Athletes' Cooperative (TAC), the Employment Relations Authority (ERA) has ruled.

The TAC, which represents around 60 elite cyclists and rowers, has previously initiated bargaining with the HPSNZ for collective agreement covering elite athletes.

This is despite the TAC member-athletes not being employed by the HPSNZ. Instead, the athletes have direct relationships with their respective national sporting organisations (NSOs), such as the Cycling New Zealand and Rowing New Zealand.

The TAC, however, pointed out that there are funding arrangements between the HPNSZ and the NSOs that are relevant to TAC athletes.

The TAC, headed by Mahé Drysdale, told the ERA that this funding model for athletes is a "cause for concern."

"Those concerns include that the funding model results to low levels of funding to athletes, associated concerns as to athlete wellbeing, and uncertainty and unfairness said to arise from the way funding can be withdrawn without consultation or warning," the ERA document said, citing Drysdale.

There is no relevant collective bargaining between the TAC and the HPSNZ, but the cooperative initiated one in July 2022.

The HPSNZ, however, turned this down due to the lack of formal employment relationship with athletes.

ERA ruling

In its decision, the ERA sided with the TAC, concluding that the initiation of collective bargaining does not require that the employer have employees within the proposed coverage.

"Nor is it a requirement that the union seeking to initiate bargaining have members that are, at the time of initiation, employees of the proposed employer party," the ERA ruled.

Drysdale, who is also a two-time Olympic gold medallist, told the media that there is a "sense of vindication" from the ERA's ruling.

"This has gone our way, but ultimately it is the start of the process. Now we have to get around the table and the hard work begins," he said as quoted by the New Zealand Herald.

The HPSNZ, however, said they were "surprised and concerned" about the ERA's ruling.

Steve Tew, director of high performance at HPSNZ, said they are considering their next steps, which could include appealing the decision in the Employment Court.