How long before union muscle tries to destroy the franchise industry?

The Washington Post has an article outlining how the union movement in the US is marshalling its forces to attack franchise operators.

Those slimy SFWU scumbags will want the same for New Zealand.

The franchising industry in NZ worth about $20b. Unions wanting to unionise entire franchise systems would destroy much of that value.

Learn from the US, what happens there eventually comes here.

Franchising, one of the great American business success stories, is increasingly and unfairly under attack. Lawmakers need to pay attention and ask some questions.

More than 770,000 franchise businesses operate in 100 different business categories in the U.S., including restaurants, hotels, business services, retail stores, real estate agencies and automotive centers. These businesses employ 8.5 million workers and contribute more than $494 billion to the U.S. Gross Domestic Product, or 3.1 percent of total private sector GDP.

Unfortunately, franchising is the target of a well-financed, national campaign by the Service Employees International Union. The SEIU has launched a multi-pronged assault at the local, state and national levels of government.

The SEIU wants to undermine franchise contracts so it can more easily unionize entire franchise systems. The union and its affiliates want government officials to designate entire franchise systems as a single unit rather than the collection of separate, small business owners they actually are.

The reason is simple: It is much more difficult for unions to organize employees of thousands of independent small businesses than to unionize a single, large entity.

The effort is a desperate, special-interest ploy to replenish the union’s dwindling coffers and declining private-sector membership. The policy advanced by SEIU is meritless and stands in sharp contrast to years of federal and state legal and regulatory precedent.    Read more »

Back in ya box El Presidente


Via the Fish-gang tip-line.

Regular readers will know the Government has finally shut the door on the cartel-like rort that was (and still is) the little known Building Service Contractors New Zealand or BSC for short.

A reader has sent through the recent BSC AGM minutes. They’re interesting reading.

Some may know that El Presidente Patrick Lee-Lo got a slapping for attacking the $1b franchise industry – despite having so-called members actually being franchise members.

Looks like Paddy is doing a flip-flop and now sees the BSC as a franchisor keen on flogging off their recent CleanSweep event.


Will the BSC now be seeking membership of the Franchise Association of New Zealand?   Read more »

1 Day to go for El Presidente


Via the Fish Gang tip-line

Key members of the Building Services Contractors are meeting Wednesday to decide the fate of El Presidente Patrick Lee-Lo.

Sparks will be flying as the BSC’s governing body try to figure out whether it’s better to cut their losses and tuck into their share of the millions in the BSC’s bank account, or let Paddy continue to abuse the franchise sector which their members are now a part of and, in the process, bring down the BSC.

Either way, it’s not looking good for Paddy, especially as a major player is starting to emerge and is being tipped to sort out the BSC debacle once and for all. According to industry sources this is OCS’s MD James Fletcher.  Read more »

What’s up with Simon Bridges special treatment of the SFWU?


Sometimes you really have to wonder. National is supposedly the Party that supports business in NZ. Meanwhile Labour and the Green Taliban, who don’t understand how businesses operate, keep banging on about how close the Nats are to big business. They like to frame businesses as evil.

On this basis then, it was understandable that insiders are asking why Simon Bridges meet with the dodgy SFWU that rips off its own members on 18th September. The SFWU, remember are the deep pockets for Labour, wanted to discuss proposed amendments to Part 6A of his Employment Relations Amendment Bill.

Business owners should find this cosy little meeting a little confusing. Then I hear via the tip-line that the SFWU have launched an attack on NZ’s $21 billion franchise sector saying;

“the growing use of franchising arrangements and that franchisers as a group have an antagonistic attitude towards Part 6A”,    Read more »

El Presidente gets blindsided

It was really only a matter of time. A while back El Presidente Patrick Lee-Lo launched an attack on NZ’s franchising sector. Looks like the Franchising Association has bided its time and has now launched a stunning attack blind-siding the BSC. Nice work.

In their submission to Simon Bridges Employment Relations Amendment Bill, the Franchising Association says:


Let’s have a look at what this means.   Read more »

El Presidente Patrick Lee-Lo takes one in the chook

It really must be time that the BSC packs up its bags and closes shop.

Looks like El Presidente has offended more people, this time the New Zealand Franchising Association (FANZ). Who are they you ask?


Just a group representing the franchising sector that contributes about $20 billion to New Zealand’s economy and a sector that employs more than 100,000 people.

FANZ gave Paddy a good slap saying in November “his article will surely raise questions amongst franchising companies that are members of the BSC.”

In other words, if you are a franchising company and a member of the BSC that tucks you for $20k a year, think twice about being a member as Patrick clearly doesn’t like franchising companies.

Even in today’s Herald El Presidente slags off the franchising sector.

With the Government’s new procurement policy that treats all suppliers equally and doesn’t discriminate, the BSC cartel is heading the way of the dinosaur. No wonder El Presidente Patrick Lee-Lo is keeping tight lipped about what’s happening to the $1.8m he’s sitting atop of.

But with Labour’s union mouthpiece Darien Fenton now publicly supporting El Presidente the question about where that $1.8m will end up becomes even more intriguing. Has Darien Fenton got a wiff of the wad of cash sitting in the BSC and sees it as a potential slush fund for her beloved Party?