Education Policy | Post Primary | Preschool | Primary | Tertiary | Search

 


Maori could be affected by minimum wage rise

23 May 2006

Maori would be most adversely affected by a rise in the minimum wage, says an AUT senior economics lecturer.

Gail Pacheco studied rates of employment and inactivity among people who find the minimum wage binding in her thesis: Minimum wages in New Zealand: An empirical inquiry.

"There are high numbers of Maori and Pacific Island people on minimum wage," she says. "Together they account for more than a fifth of minimum and sub-minimum wage workers, therefore they'll attract more negative impact if the wage rise drives employers to reassess their options."

Pacheco says a rise in minimum wage means unskilled and young workers, especially between ages 16-19, could be displaced.

"Given the option employers might switch to hiring people with more skills and education or older people with more experience."

"My study found for Maori who find the minimum wage binding, a 10% rise in the real minimum wage would see a 15.8% point fall in employment propensity, a drop of 13.5 hours usually worked each week, a 5.7% point increase in unemployment propensity and a 10.9% point increase in inactivity, that is, not working or studying."

Pacheco says the minimum wage is a blunt instrument and there needs to be a more balanced debate around increasing it.

"I want policy makers to debate and consider the negative affects of a rise in minimum wage. There needs to be some reasoning to show the positive affects outweigh the negative affects."

ENDS

© Scoop Media

 
 
 
 
 
Culture Headlines | Health Headlines | Education Headlines

 

Fringe Review: Rossum’s Universal Robots

Written in 1920 by Karel Capek in a newly independent Czechoslovakia, its prophetic tale of artificial intelligence, automata and human morality was initially a big hit, but it then vanished from view, in New Zealand at least, before being revived in Hamilton last year. More>>

SELECT FRINGE SHOWS:

Pictures Of Media: Call For Photographs For Reimagining Journalism

In August this year Freerange Press is launching its next big book. This time we are gathering the best writers and thinkers in the country to look at the changing media landscape in New Zealand. To illuminate and give voice to the writing we want to include around 25 excellent photos. We want these photos to document the different aspects of how journalism is made, how it used to be, and how it is changing. More>>

Safer Internet Day: Keeping Safe Online More Important Than Ever

Tuesday 9 February marks Safer Internet Day. Safer Internet Day is designed to create awareness about the importance of Internet safety and encourages positive use of technology - with a strong focus on young people. More>>

ALSO:

We Have The Technology: Zephyrometer Up And Moving

“The needle’s stoppers had to be repaired because of the extra impact caused by the balance not being correct. We also added an extra 300kgs counter-balance – made from zinc coated steel triangle plates. These adjustments will now stop it bending low over the road in high winds.” More>>

ALSO:

Waitangi Day: Treaty Of Waitangi - Found In Translation

To celebrate the Society of Translators and Interpreters's 30th anniversary, over 90 translators will work together to translate the English and Māori versions of the Treaty of Waitangi into 30 languages... More>>

ALSO:

Northland Development: Trust Applauds $4m Government Funding For Art Centre

Today's announcement of central government support, made by Minister of Economic Development Steven Joyce, provides a key step forward in funding for Whangarei’s Hundertwasser Art Centre & Wairau Maori Art Gallery. More>>

ALSO:

Get More From Scoop

 
 

LATEST HEADLINES

 
 
 
 
Education
Search Scoop  
 
 
Powered by Vodafone
NZ independent news