Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Stagnating productivity another sign of economic failure

18 March 2013

Stagnating productivity another sign of economic failure


The Government’s programme to build a more productive and competitive economy is failing, the Green Party said today.

Statistics New Zealand today released industry and labour productivity statistics which show that labour productivity increased one percent in 2012 but, when the effects of a good agricultural growing season are removed, labour productivity actually fell.

“Labour productivity, when you exclude agriculture, is going backwards under National,” said Green Party Co-leader Dr Russel Norman.

“The high New Zealand dollar is hollowing out our manufacturing and export sectors and businesses are struggling to invest in the technology and skills which will lift productivity.

“National’s strategy to rely on intensified agriculture is producing a simpler economy which does fine when it rains but is vulnerable to external shocks like climate-induced drought.

“We need a diverse economy which has more to offer than milk powder and a housing boom.

“As Westpac noted in its commentary this morning, we are heading into another cycle of rising house prices which will induce another round of consumer borrowing and spending, with the booming construction sector provoking inflationary pressures.

“We need to start working smarter to increase our prosperity, but the current Government’s economic settings are not moving the New Zealand economy towards a productive, sustainable, diverse, high wage future.”

Statistics New Zealand found that the average labour productivity over 2008–12 was 0.6 percent. This was the lowest average cycle growth in labour productivity since the series began.

“A smart green economy is one that deals with our external imbalances while simultaneously moving our economy to a more environmentally sustainable footing,” Dr Norman said.

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

More Rent Assisstance, Less State-Owned Housing:
John Key Speech - Next Steps In Social Housing

"We are going to ensure that more people get into social housing over the next three years, whether that is run by Housing New Zealand or a community provider.

The social housing budget provides for around 62,000 income-related rent subsidies a year. We are committed to increasing that to around 65,000 subsidies by 2017/18, which will cost an extra $40 million a year." More>>

ALSO:

The Future Of Work: Andrew Little - State Of The Nation 2015

In 2005 when I led the EPMU we worked together with Air New Zealand to find a way to keep engineering jobs that were heading overseas. A lot of these workers were people I’d known for years and they were facing not just losing their jobs but not being able to find the kind of work they do without going overseas. A lot of people were facing personal and financial upheaval.

It was hard work but in the end we kept more than 300 skilled and well-paid jobs in New Zealand. And we managed to benefit Air New Zealand and its workforce with productivity gains too... More>>

 

Gordon Campbell: On The Sabin Case, The Pressures On Greece And (Songs About) Coyotes

Mike Sabin is a National MP, and the current chairman of Parliament’s law and order committee. Yet reportedly, he is being investigated by the Police over an assault complaint... However, the PM will not comment on any aspect of the story. More>>

ALSO:

Houses, ISIS, King (& Catton): PM Post-Cabinet Press Conference

The Prime Minister met with reporters to discuss: • Social housing, the Auckland housing market • The prospect of joining international forces to combat ISIS • David Bain’s compensation • The lowering of the flag for the King of Saudi Arabia's death ... More>>

ALSO:

Gordon Campbell: On Tomorrow’s Speeches By John Key And Andrew Little

The Key government has already kicked off the political year on a stridently ideological note, with Environment Minister Nick Smith choosing to lay all manner of sins at the door of the RMA. Tomorrow, the government will wheeling out its best salesman – Prime Minister John Key – to sell its plans for state housing… . More>>

ALSO:

Transport: Auckland Looks To Light Rail

The Board of Auckland Transport has called for an investigation into a light rail network, which could relieve traffic congestion on some of the region’s busiest roads. This stems from work in 2012 (the City Centre Future Access study) which responded to a government request to develop a robust and achievable solution for access to the CBD. More>>

ALSO:

RMA: Smith's Claims Don't Match Evidence - Greens

The Motu group’s research into the impacts of planning rules looked at the costs related to housing development but not the benefits of environmental protections and does not recommend significant changes to the RMA to reduce the cost of new house builds. More>>

ALSO:

Gordon Campbell: On The Similarities Between John Key And David Cameron

For years now, David Cameron has been the closest available thing to a mentor/analogue to our Prime Minister, such that Key watchers could be interested in an analysis of Cameron that appeared in the British press over the Christmas break. More>>

Gordon Campbell: On Ian Fletcher Resignation & GCSB’s New Role

It may well be that after being shoulder-tapped in Queensland for the GCSB job, three years of living in Wellington has been enough for Fletcher and his family, given that the pending review of the GCSB would have required an even longer commitment from him. Three years of Wellington’s weather is enough for anyone... More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news