KEY POINTS:
A major Government review of red tape has found that many of the issues irking businesses relate to the Beehive's underlying policies - which are outside the review's scope.
Commerce Minister Lianne Dalziel announced the review "with teeth" in May, and she took the first progress report to the Cabinet this week.
The report shows that while some problems affecting businesses can be quickly fixed, many are tougher and others simply cannot be addressed.
"Many of the issues raised by business thus far have been outside the scope of the review as they relate to underlying policy," the report states.
Many businesses said the Employment Relations Act was "stacked against the employer", particularly in relation to dismissing staff.
Interviews also highlighted that the hospitality and wine sectors in particular had found the transition to the pay rates required under the Holidays Act 2003 difficult.
National's economic development spokeswoman, Katherine Rich, argued that the report showed how impotent the review was.
"Most damning of all, the report says businesses have identified real concerns with areas like labour laws, the RMA [Resource Management Act] and ACC - areas Labour has declared off-limits," she said.
When the review was announced, Ms Dalziel made it clear that policy changes were unlikely to result.
She noted that the Government was elected on its policies, and the review was not questioning the actual policies, but whether the structure or frameworks around them were right.
She said this week that the progress report showed the Government was taking the concerns of business seriously.
"Tangible" improvements were likely, particularly where different regulatory frameworks overlapped, or where more than one regulator had jurisdiction, she said.
Among the complaints that did fall within the review's scope were:
* Tourism businesses questioning the need to complete surveys.
* Co-ordinating health and safety and hazardous substance inspections.
* Aligning dates for paying excise duties on alcohol products and alcohol advisory council levies.
Ms Dalziel said that while these might seem minor, they were significant in minimising the impact of regulation on business. The review is due to be finished next July.
