Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search


Invest in young people, don’t cut their wages

CTU Media Release

5 December 2012

Invest in young people, don’t cut their wages

The Council of Trade Unions (CTU) opposes moves by the Government to reduce youth incomes, and calls for investment in skills development and decent jobs for young people.

CTU is appearing in front of the Transport and Industrial Relations Select Committee at Parliament today, and is calling on the Government to scrap the Minimum Wage (Starting-Out Wage) Amendment Bill.

Peter Conway, CTU Secretary said “youth unemployment is driven by a shortage of decent jobs rather than a problem over the rate of youth pay. We are calling on the Government to invest in young people, support training and expand job schemes and subsidies rather than reduce pay.”

Peter Conway said “this Bill doesn’t make sense. For instance it means one 18 year old worker could have two years’ experience at work, but have been on an unemployment benefit for 6 months meaning they can be paid 20 percent less than another 18 year old worker who has no experience at all”.

“In our submission we cite detailed economic research that shows that lifting the minimum wage has no, or only small, effects on employment opportunities. Employers surveyed this year by MBIE also said clearly that reducing wage rates would not act as an incentive for them to hire new staff. Reducing the minimum wage will not therefore boost job opportunities.”

Peter Conway said that the Government used similar arguments in 2008 and 2010 when it removed the right of workers to appeal against unfair dismissal in their first 90 days of employment.

“They claimed then”, he said “that young people and the long-term unemployed would especially benefit from such policies. But youth unemployment as well as long-term unemployment has only got worse”.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines


Police Authority: Use Of Taser Was Disproportionate And Unjustified

The Independent Police Conduct Authority has found that an officer’s second use of a Taser on a mentally unwell Hokitika man was disproportionate and unjustified. More>>


Gordon Campbell: On Holidays, Hekia Parata And Badlands

Hekia Parata, adieu. Reportedly, she’s been ‘passionate’ about education. She has “bravely’ led the charge on the government’s education reforms. In the past week , many of the postscripts to Hekia Parata’s career as Education Minister have sounded like a schoolteacher desperately trying to find some reason why a D student can be marked up to C minus. More>>


Minister of Finance: Plan Shows $100 Billion Infrastructure Projects

Finance Minister Bill English has today launched the Government’s Ten Year Capital Intentions Plan (CIP) which shows a pipeline of $100.9 billion worth of infrastructure projects over the next decade. More>>


Werewolf: Safe Landings Gordon Campbell on the safety challenge to the Wellington runway extension.

The safety-related legal challenge revolves around the size of the 90 metre long Runway End Safety Area (RESA) being proposed for the runway extension. More>>


Environment Commissioner: We Need To Work Together On Climate Change And Farming

“The debate around agricultural emissions and the ETS has been polarised for too long,” said the Commissioner. “But the ETS is not the only way forward – there are other things that can be done.” More>>


NZ Super Fund: Seeking To Put A Market Price On Climate Change

Oct. 19 (BusinessDesk) - The New Zealand Superannuation Fund says it will devise a set of rules to assess investment winners and losers under climate change, a strategy that could rule out fossil fuels or producers such as current portfolio member Exxon ... More>>


Rejuvenation: Parata Will Not Contest 2017 Election

Education Minister and National List MP Hekia Parata has today announced that she will not be contesting the next election. She advised the Prime Minister of her decision earlier this year. More>>

Prisons Grow: Government Approves Plans For Increased Prison Capacity

Despite significant progress in reducing crime the number of prisoners has increased faster than projected. This is because the proportion of offenders charged with serious crimes has risen, meaning more people are being remanded in custody and serving more of their sentences in prison. More>>


Get More From Scoop



Search Scoop  
Powered by Vodafone
NZ independent news