The arrogance of this is unbelievable. It's the hard working owners of small/medium businesses that will bear the huge additional labour costs of your virtue signalling. I wonder how many will not survive it?
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75 cent increase is not 'huge'
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I rest my case
#economicilliterate -
If you can’t afford to run a small-medium business the. You shouldn’t have one
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NZ taxpayer is already paying close to $2b per year for private accommodation costs (and subsidizing wages as a result) because these business owners are not paying staff enough money to pay rent. Our low wage economy is the problem. Wage growth has been near 0% for too long.
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Average NZ wage now $2 higher than just 3 years ago.https://tradingeconomics.com/new-zealand/wages …
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Just because wages have gone up $2 in two years doesn’t mean there has been real wage growth. If the cost of living has skyrocketed (as it has over the last decade) then wages remain stagnant. Treasury forecast in May 2017 was that real wage growth would be 0.6% 2017-2021.
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I was addressing your statement that "Wage growth has been near 0% for too long." In fact wage growth has been around 2% pa. Not high, but not near zero either
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And then prices will go up, quality of service everywhere will degrade just that little bit and jobs will become harder to find. This cycle of pricing labour out of the New Zealand economy can't continue.
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Someone is going to pay that $129m. Can you guess who? Not the employers. Yes those tax paying consumers that you took the $1000 tax break off. You're welcome.
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I'm generally a supporter of this government, but this does me no good due to the cutoff for student allowances. As it is, if I work more than 13 hours (very easy to do with just weekend work), I'm basically working for free.
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This screws me, as I can't save for when I can't work as much, because my allowance will be cut. Current policy basically forces me to live paycheck-to-paycheck.
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When I was on the unemployment benefit, I only lost 70c(ish) from my benefit per dollar I earned, meaning I could work more when I had the opportunity. As a student, taking on extra work when my uni workload is low is completely pointless.
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I'll be honest, and cut right to the heart of the issue: if my rent weren't so high, none of this would be an issue. But we've had almost a decade of a government who hasn't done anything to keep housing—a fundamental human right—affordable.
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The cost of living in New Zealand is high, and our wages and benefits are low. If this government doesn't have the guts to do something about it, I will be extremely disappointed, and left even more disillusioned than I was under the previous government.
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An increase in minimum wage in great; but it doesn't address the fundamental systemic issues that we're facing as a country.
End of conversation
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To hear the Minister answer some questions about the minimum wage tune in to Parliament TV today for question 11.
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