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Regular Wage Increases Needed to Retain Staff

CTU MEDIA RELEASE
11 July 2006

Regular Wage Increases Needed to Retain Staff

“Pay rates in New Zealand are still not responding to the labour and skills shortages, and employers need to recognise that boosting wages and improving working conditions are critical if they want to retain staff,” CTU President Ross Wilson said today.

He was responding to a seek.co.nz survey on employee loyalty, published today.

“There have been labour shortages for more than 5 years, yet wages movements have taken some time to catch up after strong economic growth in those years,” said Ross Wilson.

"Last year wages rose by 3.3%, the same as inflation. If we are to solve New Zealand’s problem of low wages then regular increases above the level of inflation are needed.”

Unions would continue wage campaigns this year in support of decent pay increases for workers, and push employers to share the benefits of several years of strong economic growth, Ross Wilson said.

ENDS

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