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CfP IJTR: Contemporary issues and future trends in food tourism

Contemporary issues and future trends in food tourism

Guest Editors: Babak Taheri (Heriot-Watt University, UK) & Martin Gannon (Edinburgh Napier University, UK)

Submission deadline (abstracts): August 2019

The Guest Editors of this special issue call for new theoretical and empirical research that renews our understanding of interdisciplinary and contemporary issues in food tourism, identifying new and future trends in the process. This can include, but is not limited to, studies combining survey and interview data; textual analysis; documentary and archival research; linguistic analysis; and historical or geographical case studies. However, all papers consistent with the theme of the special issue will be considered.

CALL FOR PAPERS

Culinary experiences play an increasingly crucial role in social life, with shifting tastes shaping consumer preferences and service offerings across the globe (Bourdieu, 1984; Flemmen, Hjelbrekke, & Jarness, 2018; Hennion, 2007). In response, food tourism has flourished, with the wider hospitality and tourism embracing tourists’ desire to consume the traditional, new, and/or unusual culinary heritage available at the destinations that they visit (Robinson, Getz, & Dolincar, 2018). Here, the mobility of different cultures and their associated culinary traditions hold the power to influence how eating values in host societies are transformed and reorganised. Food tourism has thus emerged as a significant component of consumers’ lived experiences, regardless of country of origin, shaping decision-making processes, dining choices, and holiday destinations (Ellis, Park, Kim, & Yeoman, 2018; Henderson, 2009; Okumus et al., 2018). The established link between the image of some destinations (e.g., France, Italy, Thailand, etc.) and indigenous cuisine is not solely underpinned by the quality and variety of food, but also because ‘eating’ serves as a core leisure and social activity therein. This is especially pronounced when food tourism underpinned by culinary experiences involves sharing a meal in service settings, where dining atmosphere and the opportunity to socialise with others impacts on the consumption of food (Flemmen et al., 2018; Guillemi et al., 2006; Jafari, Taheri, & vom Lehn, 2013).

Food tourism therefore constitutes the mode in which consumers relate to some destinations/places, the local populace, and to each other. Thus, food tourism, food-related activities, and culinary experiences and attractions have been characterised as services worthy of promotional focus by tourism marketers. To this end, food tourism is perceived as significant, providing multiple benefits to local economies and contributing to local service development in the process (Kim, Eves, & Scarles, 2009). Given the inherently multi-experiential nature of tourism and hospitality experiences, experiential food consumption and food tourism in any given destination/place can therefore facilitate and contribute to memorable service experiences (Okumus et al., 2018; Tsai & Wang, 2017). To this end, recent decades have seen the industry evolve rapidly, with novel vessels for experiential food tourism emerging with increasing regularity (Robinson, Getz, & Dolincar, 2018). Nonetheless, there are several issues and challenges with regards to the increasing demand for food tourism, surrounding: food tourism policy, (in)authentic experiences manifest through in-situ food consumption, food loss and waste, sustainability challenges, the anti-consumption of food, well-being, overeating, lack of ‘good practice’ in culinary and gastronomy tourism, portion sizes, the protection of indigenous cuisines, and special food consumption (Hogg, Banister, & Stephenson, 2009; Horng & Tsai, 2012; Juvan, Grün, & Dolnicar, 2018; Lee, Pennington-Gray, & Kim, 2019; Minton, Johnson & Liu, 2019; Okumus et al., 2018; Promsivapallop & Kannaovakun, 2019; Taheri, Jafari, & Okumus, 2017; Taheri et al., 2018).

Therefore, the guest editors call for new theoretical and empirical research that renews our understanding of interdisciplinary and contemporary issues in food tourism, identifying new and future trends in the process. Further, the guest editors encourage articles that adopt various methodological approaches. This can include, but is not limited to, studies combining survey and interview data; textual analysis; documentary and archival research; linguistic analysis; and historical or geographical case studies. However, all papers consistent with the theme of the special issue will be considered, with no exclusions beyond the requirement that submissions include original research. As such, the editors welcome papers that are intellectually challenging, innovative, and paint on a broad canvas – identifying future trends within the industry while recognising the challenges inherent to destinations built upon food tourism and the potential benefits therein.

The guest editors welcome empirical and applied research including, but not limited to, the following topics: • Consumer welfare and food anti-consumption • Future trends in food tourism • Food wastage and loss in food tourism • Food quality and food security in food tourism • The experiential pleasure of food tourism • Critical perspective on food tourism • Omnivorousness and overeating • Globalisation, taste and food tourism • The role of cuisine in promoting regional tourism • Religiosity and special food consumption in food tourism • Food service ecosystems • Food festivals • Destination foodscapes • The application of technology and innovative food tourism development • Foodservice and food tourism education • Local food and the sustainable tourism experiences

Key Dates: • Submission of abstract (up to 750 words): August 2019 • Notification of abstract acceptance: September 2019 • Submission of full paper: November 2019 • Peer review report: End of January 2020 • Authors to revise and resubmit based on peer review reports: March 2020

References: Bourdieu, P. (1984). Distinction: A Social Critique of the Judgement of Taste. Cambridge, Mass: Harvard University Press. Ellis, A., Park, E., Kim, S., & Yeoman, I. (2018). What is food tourism? Tourism Management, 68, 250- 263. Flemmen, M., Hjellbrekke, J., & Jarness, V. (2018). Class, culture and culinary tastes: Cultural distinctions and social class divisions in contemporary Norway. Sociology, 52(1), 128-149. Guillemin, I., Marrel, A., Arnould, B., Capuron, L., Dupuy, A., Ginon, E., & Urdapilleta, I., (2016). How French subjects describe well-being from food and eating habits? Development, item reduction and scoring definition of the well-being related to food questionnaire. Appetite, 96, 333–346. Hennion, A. (2007). Those things that hold us together: Taste and sociology. Cultural Sociology, 1 (1), 97–114. Henderson, J. C. (2009). Food tourism reviewed. British Food Journal, 111(4), 317-332. Horng, J-S., & Tsai, C-T. (2012). Culinary tourism strategic development: an Asia-Pacific perspective. International Journal of Tourism Research, 14, 40-55. Hogg, M.K., Banister, E.N., & Stephenson, C.A. (2009). Mapping symbolic (anti-) consumption. Journal of Business Research, 62, 148-159. Jafari, A., Taheri, B., & vom Lehn, D. (2013). Cultural consumption, interactive sociality, and the museum. Journal of Marketing Management, 29 (15-16), 1729-1752. Juvan, E., Grün, B., & Dolnicar, S. (2018). Biting off more than they can chew: food waste at hotelbreakfast buffets. Journal of Travel Research, 57(2), 232-242. Lee, Y.L., Pennington-Gray, L., & Kim, J. (2019). Does location matter? Exploring the spatial patterns of food safety in a tourism destination. Tourism Management, 71,18-33. Kim,Y.G., Eves, A. & Scarles, C. (2009). Building a model of local food consumption on trips and holidays: A grounded theory approach. International Journal of Hospitality Management, 28(3), 423- 431. Minton, E.A., Johnson, K.A., & Liu, R.L. (2019). Religiosity and special food consumption: The explanatory effects of moral priorities. Journal of Business Research, 95, 442-454. Okumus, B., Koseoglu, M.A., & Ma, F. (2018). Food and gastronomy research in tourism and hospitality: A bibliometric analysis. International Journal of Hospitality Management, 73, 64-74. Promsivapallop, P., & Kannaovakun, P. (2019). Destination food image dimensions and their effects on food preference and consumption. Journal of Destination Marketing & Management, 11, 89-100. Robinson, R.N.S., Getz, D., & Dolincar, S. (2018). Food tourism subsegments: A data‐driven analysis.International Journal of Tourism Research, 20, 367-377. Taheri, B., Jafari, A., & Okumus, B. (2017). Ceremonious politeness in consuming food in VFR tourism: scale development. The Service Industries Journal, 37(15-16), 948-967. Taheri, B., Gannon, M. J., Cordina, R., & Lochrie, S. (2018). Measuring host sincerity: scale development and validation. International Journal of Contemporary Hospitality Management, 30(8), 2752-2772. Tsai, C-T., & Wang, Y-C. (2017). Experiential value in branding food tourism, Journal of Destination Marketing & Management, 6, 56-65. Ting, H., Fam, K-S., Hwa, J.C.J., Richard, J.E., & Xing, N. (2019). Ethnic food consumption intention at the touring destination: The national and regional perspectives using multi-group analysis. Tourism Management, 71, 518-529.

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Food Tourism: The Impact of Food TV Shows on Local Industries

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The widespread popularity of food television programs and related social media have impacted local industries, and have become a catalyst for the increase in food tourism. Consequently, the demand for professionals with experience in hospitality is on the rise. This increasing demand comes from various sources, including companies in the food and beverage industry as well as local and national governments that are looking to promote food tourism.

What Is Food Tourism?

Food tourism, also referred to as culinary tourism and gastronomy tourism, is engaged in by individuals who seek out culinary experiences to broaden their understanding of a culture or lifestyle while traveling. Food tourists embark on tours that not only expand their palate, but afford them the education to identify the link between food and local customs. They search for authentic culinary experiences that expose them to new tastes, textures and traditions.

From 2012 to 2018, food tourism entered the mainstream with the help of social media platforms and food television programs featuring world-renowned chefs, restaurants and events. Food tourism evolved into an experiential industry that included festivals, wine tastings and other personalized offerings, as well as the advent of food-tourism companies.

According to Robin Back of the University of Central Florida’s Rosen College of Hospitality Management, food tourists “pursue activities where authentic culinary and other food and beverage-related activities are the primary motivator for travel. Such activities may include visits to local producers, restaurants, food festivals, markets, wineries, distilleries, and breweries” to embrace an authentic cultural experience. According to the WFTA, 63% of millennials search for restaurants that are socially responsible. The association also recognizes that a majority of food tourists want an “eclectic and authentic experience.” Moreover, 40% of tourists spend their money on food tourism according to the 2019 president, Roi Correa, of FIBEGA, an internationally recognized gastronomy tourism fair.

Social media is incredibly popular among millennials and Generation Z, and they utilize social media platforms such as Facebook, Instagram and YouTube to document their experiences. In turn, marketing departments of food and beverage companies can leverage social influencers to promote their restaurants, products or food festivals. This exposure provides a mass audience for organizations that translates into profit.

According to the WFTA, the top four food-travel activities are: eating at gourmet restaurants, dining at a famous bar/restaurant, enjoying street food, and enjoying an overall remarkable dining experience. The Journal of Gastronomy Studies reports that food tourists obtain information about gastronomic destinations mostly through television programs that feature chefs and gastronomists.

TV programs are a powerful tool that have the ability to promote destinations and can influence tourists to flock to featured restaurants. As an example, the late Anthony Bourdain’s television show Parts Unknown exposed American audiences to unfamiliar places and unique culinary experiences. His program was able to connect American audiences to a country’s culture through the lens of food tourism. Another example is the Netflix cable show Chef’s Table that exposed a global audience to food as an art form.

Top Chef on Bravo is a reality competition show that pits chefs against each other. Its season 15 premiere attracted over 2 million viewers. The show has such an influence on food tourism that the media has created the term: “Top Chef Effect.” Various cooking shows on the Food Network by world-renowned chefs such as Bobby Flay, Rachael Ray and Sandra Lee continue to contribute to food tourism.

The Impact of Food Tourism on Local Communities

The impact of food tourism can be beneficial to the growth of a local economy. However, there are downsides to food tourism that can challenge a community and destroy its cultural heritage in the search for profits.

According to Back, “A growing number of destinations are promoting their cuisine as a core tourism product. This is particularly relevant to destinations with well-known cuisines as well as wine-producing regions, where fine wine and fine food frequently go hand-in-hand.” Yet, it is important that food tourism is sustainable and retains a destination’s cultural identity. Those pursuing a career in hospitality must develop the skills and knowledge to balance the benefits of food tourism while limiting its potential negative drawbacks.

• Benefits of food tourism: According to the WFTA, food tourists spend about 25% of their travel budget on food and beverages. This can mean an increase in profits for a local community as well as the local government’s budget due to the taxes imposed on the goods purchased by tourists. This rise in revenue can afford local governments the ability to invest in marketing to tourists, which in turn can boost profits for local shops, restaurants, hotels and transportation services. An increase in culinary tourism can also instill in locals cultural pride and help ensure unemployment rates remain low, especially in rural areas with low economic activity.
• Drawbacks of food tourism: Though food tourism can have many desirable effects on a local community, in some cases the negatives may outweigh the positives. For communities that are suffering from a lack of natural resources — food, water, electricity — tourism can negatively affect the lives of those in the community. Fresh water may be re-routed to crops to sustain tourists’ demand for food, while the locals’ ability to have fresh water and food can be diminished.

Some communities can face loss of cultural identity, because the local economy has transitioned to supporting the needs of tourists. Restaurants may begin to refrain from serving local cuisine and change menus to suit the culinary needs of tourists. In some cases, the influx of tourists can drive up the prices of goods and services, which forces many locals out of their communities, thus destroying a community’s unique character.

Hospitality and Food Tourism Management

To mitigate and help avoid the negative effects of food tourism, it is crucial that local governments and businesses hire knowledgeable professionals in hospitality and management positions. Food tourists want to participate in culinary experiences that embody and celebrate the heritage of local communities. Those pursuing managerial positions in hospitality and tourism have the opportunity to educate food tourists and help them enjoy a culinary-centric vacation, while also minimizing the negative impact on local communities.

The COVID-19 pandemic has forced the food-tourism industry to discover new ways of offering innovative food-tourism experiences. Now more than ever, hospitality professionals need to ensure a safe environment for tourists to experience culinary adventures. Moreover, professionals with knowledge of technology and social media can provide food tourists with the convenience of virtually exploring wineries, distilleries and culinary destinations. As food tourism continues to change, hospitality and tourism management professionals have the unique opportunity to be a critical part of an evolving industry.

Prepare for a Career in Hospitality and Tourism

Those looking for a career in food tourism would do well to pursue a college degree. The bachelor’s online restaurant management and hospitality degree programs at the University of Central Florida are designed to help students pursue careers in restaurant and foodservice management and hospitality management. UCF offers a variety of online degree options — bachelor’s, master’s and graduate certificates — as well as multiple food-centered electives.

At the graduate level, a certificate in Event Management offers students the knowledge and skill set to effectively organize private and public events. A certificate in Destination Marketing and Management prepares students to understand the economic and socio-cultural impact that tourism has on a local community. This certificate also equips students with the skills to efficiently execute marketing campaigns.

UCF’s MS in Hospitality and Tourism Management program prepares students to pursue leadership positions throughout the industry. It also teaches the skills to analyze and implement strategic marketing and financial planning to help an organization reach its financial goals.

To highlight, UCF offers a Bachelor of Science in Restaurant and Foodservice Management that prepares students with the unique opportunity to work with professors who are skilled experts in the industry. The program teaches students the managerial and business skills essential for leadership roles in the restaurant and food-service industry. The program also offers a unique opportunity for students to get hands on experience by participating in paid internships. UCF Rosen College has entered into an exclusive partnership with LongHorn Steakhouse of Darden Restaurants to offer Restaurant and Foodservice Management students a three-semester progressive internship that encompasses kitchen-operations training, dining room operations training and manager training.

Learn more about how UCF’s online hospitality degree programs can help students pursue careers in hospitality and tourism — and become the future leaders of their industry.

Online Hospitality Degrees at UCF

• Destination Marketing and Management
• Event Leadership, MS
• Event Management
• Event Management, BS
• Financial Management for the Hospitality and Tourism Industry
• Hospitality and Tourism Management, MS
• Hospitality and Tourism Technologies
• Hospitality Management, BS
• Leadership and Strategy in Hospitality and Tourism
• Lifestyle Community Management, BS
• Lodging and Restaurant Management, BS
• Travel Technology and Analytics, MS

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Global Roadmap for Food Waste Reduction in the Tourism Sector

A consistent framework for Tourism stakeholders to embrace the sustainable management of food so that it never becomes waste

“ Action on food waste must be a top priority for the tourism sector. The Roadmap provides the framework within which tourism organizations can play their part whilst bringing benefits to their own operations, guests, the environment, and the sector as a whole. ”

Zurab Pololikashvili, UNWTO Secretary-General

Food is a key element of the tourism experience. Food is also a precious resource. The way that food is handled has significant economic, social and environmental impacts, for both for tourism destinations and businesses. Tackling food loss and waste is one of the concrete actions needed to transform agrifood systems for people, planet and prosperity.

The objective of the Global Roadmap for Food Waste Reduction in the Tourism Sector is to accelerate the uptake of food waste reduction strategies by tourism stakeholders. The Roadmap aims to raise awareness among tourism stakeholders of the opportunities deriving from a more sustainable and circular management of food, with special emphasis on reducing food waste as a cost-effective and environmentally responsible strategy.

The Roadmap sets out how the tourism sector can contribute to the achievement of target 12.3 of the Sustainable Development Goals (SDGs), which aims at halving food waste globally by 2030. It provides an action framework to accelerate food waste reduction in tourism, sharing practical insights and guidance for the sector .

All in all, the Roadmap aims to guide the tourism sector to make a contribution towards a more sustainable and regenerative global food system, reflecting the sector’s role in the food value chain and its potential to shape production and consumption patterns.

Read the full GLOBAL ROADMAP FOR FOOD WASTE REDUCTION IN THE TOURISM SECTOR

The Roadmap proposes a consistent framework for tourism stakeholders to reduce food waste based on:

Rooted in the principles of the food waste hierarchy, the Roadmap sets out an action framework with the prevention of food waste is as the primary strategy to avoid food surplus and waste being generated in the first place. In a second instance food surplus needs to be redistributed to feed people, followed by animal feed or reuse in biomaterial processing. Thirdly, where food waste can no longer be prevented, it should be diverted from landfill or discharge to sea by applying circular and value added processes, such as recycling, (i.e. composting, anaerobic digestion and land spreading) or energy recovery; so as to avoid disposal (i.e. to landfill, incineration -without energy recovery-, sewer or discharge to sea, or littering).

Tourism businesses are involved in various stages of food management: procurement; inventory management, preparation and presentation of menus; consumption by the guests; and waste management, with food waste occurring at each of the stages and hence being a cross cutting issue. Therefore, by addressing food waste, changes at all stages can be triggered, leading to a more sustainable management of food.

The Roadmap promotes the “Target – Measure – Act” approach proposed by the high-level food loss and waste coalition Champions 12.3. and its call to action to scale up action on food waste reduction.

Find out more here  

The Roadmap builds on the UNWTO Recommendations for the Transition to a Green Travel and Tourism Economy . It also supports the transition towards sustainable gastronomy, building on the Guidelines for the Development of Gastronomy Tourism released by UNWTO and the Basque Culinary Center. In addition, it supports the implementation of the Glasgow Declaration on Climate Action in Tourism by stressing the importance of reducing GHG emissions associated with food waste.

Related links:

Sustainability on the frontline of online education.

Tools and Resources to Reduce Food Waste Reduction in Tourism

7th UNWTO World Forum on Gastronomy Tourism

UNWTO Recommendations for the Transition to a Green Travel and Tourism Economy

Glasgow Declaration on Climate Action in Tourism

Food waste in tourism is a bigger issue than previously thought

There are major gaps in how food waste in tourism is understood and calculated, according to researchers at the University of Eastern Finland and the University of Southern California. Food waste originating from hotels, restaurants and events is recognised and can be estimated and calculated, but as the tourism industry is becoming more and more diverse, so are the sources of its food waste.

According to the researchers, a focus on preventing food waste only in the traditional food service and accommodation establishments ignores the reality of growing tourist households and will stifle sustainability efforts.

Food waste is a major issue globally, and it has also been identified as the most prominent type of hospitality waste. Annually, roughly 1.3 billion tons of food is lost or goes to waste, which is equivalent to one third or even up to one half of all food intended for human consumption. Food waste is a major environmental, social and economic issue.

Indeed, the tourism industry is facing ever-growing economical, societal and legislative reasons to address food waste. Today's tourism is not limited to package travel and hotel stays, thanks to the emergence of alternatives such as camping, couch surfing, AirBnB, staying at friends' and relatives' homes or travelling across the country in a recreational vehicle, for example. Food waste is created in all these tourist households, but very little research into the topic has been carried out so far. Yet, there is a need to mitigate food waste from these sources as well.

"We can already see that there are savvy players in the tourism industry who have succeeded in reducing their food waste and have even managed to turn that into an asset. Yet, it is not enough for only the traditional food service and accommodation establishments to reduce their food waste, we need to get all tourist households on board. As the tourism sector changes, research into food waste and sustainability becomes ever more important," Research Manager Juho Pesonen from the University of Eastern Finland says.

According to the researchers, comprehensive reduction of food waste requires that its sources and amounts are identified and that its disposal by tourist households is addressed. In addition, there is a need to study the drivers of tourist household food waste and barriers to its reduction.

"We need models that describe how food waste is created in tourist households, and how that possibly changes over time. Moreover, we need to identify platforms and intersections where food waste can be addressed, for example through social media. In the end, it all boils down to sustainable tourism and the circular economy," Pesonen notes.

• Agriculture and Food
• Food and Agriculture
• Hazardous Waste
• Recycling and Waste
• Environmental Science
• Retail and Services
• Resource Shortage
• Popular Culture
• Hazardous waste
• Radioactive waste
• Waste management
• Gastrointestinal tract

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Materials provided by University of Eastern Finland . Note: Content may be edited for style and length.

Journal Reference :

• Ulrike Gretzel, Jamie Murphy, Juho Pesonen, Casey Blanton. Food waste in tourist households: a perspective article . Tourism Review , 2019; ahead-of-print (ahead-of-print) DOI: 10.1108/TR-05-2019-0170

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Agritourism around the globe: Definitions, authenticity, and potential controversy

• R. David Lamie Clemson University
• Claudia Schmidt Penn State University
• Thomas Streifeneder Eurac Research

This commentary identifies the variability in definitions of agritourism that exists in a variety of different countries, discusses reasons why this variability might produce problems, and provides examples of efforts to harmonize these definitions, including an ongoing international dialogue on the topic.

Author Biographies

R. david lamie, clemson university.

Professor, Sandhill Research and Education Center, Department of Agricultural Sciences

Lisa Chase, University of Vermont Extension, Vermont Tourism Research Center

Extension Professor

Emilio Chiodo, University of Teramo

Faculty of Bioscience and Technology for Food, Agriculture and Environment, Campus

Lori Dickes, Clemson University

Associate Professor and Associate Chair and Program Director (Public Administration), Parks, Recreation and Tourism Management

Sharon Flanigan, The James Hutton Institute

Researcher in Rural Social Science; Social, Economic, and Geographical Sciences (SEGS) Department

Claudia Schmidt, Penn State University

Assistant Professor, Agricultural Economics, Sociology, and Education

Thomas Streifeneder, Eurac Research

Head of Institute, Eurac Research, Institute for Regional Development

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Please note you do not have access to teaching notes, food tourism reviewed.

British Food Journal

ISSN : 0007-070X

Article publication date: 18 April 2009

The purpose of this paper is to review the contribution of food to tourism with particular reference to the importance of food tourism and the factors which are critical to its success, highlighting topics for future research.

Design/methodology/approach

Findings are based on analysis of academic and practitioner materials in the public domain collected from a range of print and electronic sources.

Food is the subject of various types of tourism product and is a common theme in marketing, by businesses and destination authorities. Tourism in which food plays a primary or supporting role is already popular and has good prospects, but there are also challenges for the food and tourism industries to overcome, which vary with location.

Practical implications

Opportunities are suggested as well as some of the problems to be resolved by suppliers and marketers if the potential of food tourism is to be fully exploited.

Originality/value

The paper is a reassessment of the significance of food tourism as a product and market and a reminder of possible pitfalls regarding its successful sales and marketing.

• Food products

Henderson, J.C. (2009), "Food tourism reviewed", British Food Journal , Vol. 111 No. 4, pp. 317-326. https://doi.org/10.1108/00070700910951470

Emerald Group Publishing Limited

Copyright © 2009, Emerald Group Publishing Limited

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Minister for ACC Matt Doocey says he will ensure any levy increases are "absolutely justified". Photo / File

Home insurance premiums aren’t the only ones continuing to soar while inflation abates.

The country’s state injury insurer, the Accident Compensation Corporation (ACC), is proposing to hike its levies by two or three times that of the inflation rate every year over the next three years.

The agency says it’s taking longer and costing more for injured New Zealanders to recover, so it’s asking for public feedback on a raft of proposals aimed at topping up its coffers.

ACC is proposing to hike the levies it collects from vehicle owners to cover the costs of injuries that involve moving vehicles on public roads by 7.8% in 2025/26 and 7.4% in each of the following two years.

It recognises these increases won’t be spread evenly. For example, it wants motorcyclists to pay proportionately more, because they’re currently heavily subsided by other motorists less likely to injure themselves in an accident.

ACC is also suggesting upping the levies it collects from wage and salary earners to cover injuries suffered by workers outside of the workplace by between 4.3% and 4.8% a year over the next three years.

And, it’s proposing to hike the levies it collects from employers and self-employed people to cover injuries that happen in the workplace by between 4.3% and 4.8% a year over the next three years.

ACC receives almost two million new injury claims a year, and spends about $7 billion annually in medical treatment, rehabilitation support and compensation for loss of income.

“The levies we currently collect are lower than they need to be to cover the forecast cost of claims we expect each year. Any recommendations for levy increases are capped to smooth out the increase,” ACC chief executive Megan Main said.

“Despite our best efforts and in line with international trends, our client rehabilitation performance in the short-term has been declining.”

Members of the public have until October 9 to provide feedback on ACC’s proposals. From there, it will make recommendations to the Government, which will ultimately decide on how levies are changed.

Minister for ACC Matt Doocey said: “The Government’s expectation has been made clear to ACC that it must deliver greater value for the funds it receives.

“I am monitoring this very closely and will be ensuring ACC is improving its financial performance. It is my expectation ACC will look at existing costs within the scheme to ensure that any levy increase is absolutely justified before final decisions are made.

“I have also set clear expectations to ACC around improving rehabilitation performance by the end of the parliamentary term, and it is my expectation ACC will better use injury prevention as a lever to improve its performance.”

The consultation on levy rates is a requirement by law. ACC is also proposing to make other changes to the way the insurance scheme operates.

Jenée Tibshraeny is the Herald ’s Wellington Business Editor, based in the parliamentary press gallery. She specialises in government and Reserve Bank policymaking, economics and banking.

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