Darien FENTON

Labour Spokesperson

31 March 2013                                                        

MEDIA STATEMENT

Minimum wage workers go backwards again

Tomorrow’s miniscule 25 cents an hour increase to the minimum wage wont matter a jot to our lowest paid workers says Darien Fenton, Labour’s spokesperson for Labour Issues.

“The real value of the minimum wage has hardly moved under National.  Since 2009 our lowest paid workers’ pay packets have only increased by 14 cents an hour in real terms, or just $5.60 a week. 

"This includes the 25 cents an hour increase due on 1 April, which will be further impacted by a 1% increase in employee Kiwisaver contributions and the 20% increase in student loan repayments.

“Young workers under 20 years old will be dramatically worse off, with their minimum wage cut to just $11 an hour from 1 May.

“Under Labour, the minimum wage increased by 36.2% in real terms in the decade from 1999 to 2009. Under National, it has increased by only 1.85 % in real terms.

“More than 90,000 New Zealand workers who rely on a fair minimum wage are going to continue to struggle to pay the bills and fund the necessities of life thanks to this uncaring, underachieving government.

“John Key needs to tell these Kiwis why they don’t deserve a decent wage. 

“Labour would immediately lift the minimum wage to $15 an hour, restore adult rates for all workers and champion the living wage of $18.40 an hour,” Darien Fenton said.

ENDS

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