Fifth Labour Government of New Zealand
| Fifth Labour Government | |
|---|---|
| ministries of New Zealand | |
| 1999–2008 | |
| Date formed | 10 December 1999 |
| Date dissolved | 19 November 2008 |
| People and organisations | |
| Head of government | Helen Clark |
| Deputy head of government |
Jim Anderton (1999–2002) Michael Cullen (2002–2008) |
| Head of state | Elizabeth II |
| Member party | Labour Party |
| Opposition party | National Party |
| Opposition leader |
|
| History | |
| Election(s) | |
| Predecessor | Fourth National Government of New Zealand |
| Successor | Fifth National Government of New Zealand |
The Fifth Labour Government of New Zealand was the government of New Zealand between 10 December 1999 and 19 November 2008.
The fourth National government, in power since 1990, was widely unpopular by 1999, with much of the public antagonised by a series of free-market economic reforms, and was bedevilled by weakness and instability. In the general election of that year, the Labour Party led by Helen Clark defeated National easily, becoming the largest single party in the House of Representatives. Labour formed a minority coalition government with the left-leaning Alliance, supported by the Green Party.
During this first term, the government pursued a number of reforms. The controversial Employment Contracts Act was repealed, replaced by an Employment Relations Act more friendly to unions and collective bargaining; a state-owned bank, Kiwibank, was created at the behest of the Alliance; a majority stake in the national airline, Air New Zealand was purchased; and the public health sector was reorganised with the re-establishment of partly elected District Health Boards. More controversial was "Closing the Gaps", an affirmative action strategy pitched at Māori, which was widely criticised as showing favouritism to Māori at the expense of other equally disadvantaged groups.
With the disintegration of the Alliance in 2002, Helen Clark called a snap election, even though she still had the confidence of the House. Labour handily won the election. The Alliance failed to return to parliament, although a rump returned as Jim Anderton's Progressives. Labour formed a coalition with the Progressives, and turned to the centrist party United Future for confidence and supply. This second term was notable largely for its social and constitutional legislation, with the Government establishing a Supreme Court and ending appeals to the Privy Council, decriminalising prostitution, and providing for civil unions, the latter two changes in particular supported by the Green Party and opposed by United Future. The Government was also faced in this term with the foreshore and seabed controversy. While Labour, in cooperation with the New Zealand First party, eventually resolved the legal dispute by vesting foreshore and seabed title in the Crown, a dissident Labour minister, Tariana Turia, formed the Māori Party, while on the other side of the spectrum a resurgent National Party, now under former Reserve Bank governor Don Brash, became considerably more popular. Going into the 2005 election, the Government was returned with a slim margin on the strength of the Working for Families assistance package and financial assistance to students, benefiting also from mistakes in National's campaign.
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