Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Annual Wage Growth Continues

Labour Cost Index and Quarterly Employment Survey: March 2006 quarter

Embargoed until 10:45am — 8 May 2006

Annual Wage Growth Continues

Salary and wage rates (including overtime), as measured by the Labour Cost Index (LCI), rose 3.3 percent in the year to the March 2006 quarter, Statistics New Zealand said today. This is the largest annual increase since the series began in the December 1992 quarter. Strong earnings growth was also shown in the Quarterly Employment Survey (QES) over the March 2006 year.

In the year to the March 2006 quarter, salary and wage rates (including overtime) increased 4.0 percent for the public sector, and 3.0 percent for the private sector. These are the largest annual increases since the LCI began in the December 1992 quarter.

In the year to the March 2006 quarter, 61 percent of salary and ordinary time wage rates in the surveyed sample increased. Twenty-five percent of these recorded an increase of between three and five percent, and 21 percent an increase of more than five percent. These are the largest annual proportions since the LCI began in the December 1992 quarter.

In the QES, the average total hourly earnings increased 5.2 percent (to $21.63) in the March 2006 year. This is the largest March annual increase since the year to March 1990.

The number of full-time equivalent employees (FTEs) rose 3.1 percent over the March 2006 year, driven by increased full-time employment (up 3.7 percent). Part-time employment was relatively unchanged over the same period.

The QES average earnings statistics reflect not only changes in pay rates, but also compositional and other changes in the paid workforce. By comparison, the LCI measures changes in salary and wage rates for a fixed quantity and quality of labour input.

Brian Pink Government Statistician


© Scoop Media

Business Headlines | Sci-Tech Headlines


Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>


Half A Billion Accounts: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>


Half Full: Fonterra Raises Forecast Payout As Global Supply Shrinks

Fonterra Cooperative Group, the dairy processor which will announce annual earnings tomorrow, hiked its forecast payout to farmers by 50 cents per kilogram of milk solids as global supply continues to decline, helping prop up dairy prices. More>>



Meat Trade: Silver Fern Farms Gets Green Light For Shanghai Maling Deal

The government has given the green light for China's Shanghai Maling Aquarius to acquire half of Silver Fern Farms, New Zealand's biggest meat company, with ministers satisfied it will deliver "substantial and identifiable benefit". More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news