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Small rise in Minimum Wage doesn't address needs of low paid
Tuesday, 26 February 2013, 1:15 pm
Press Release: New Zealand Council of Trade Unions
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26 February 2013
Small rise in Minimum Wage doesn't
address needs of low paid
"The decision by the
Government to raise the minimum wage by just 25 cents from
$13.50 an hour to $13.75 - less than 1.9 percent - does
nothing to address the increasingly obvious needs of low
paid workers", says Peter Conway, CTU Secretary.
The
minimum wage is inadequate to keep low income families out
of poverty, as the research on the Living Wage has shown. A
significant rise is overdue. It would help reverse rising
income inequalities as well as help those on or near the
minimum wage. "The evidence from New Zealand and
internationally is that it would not increase unemployment,"
Conway said.
He said that "the Government should make much
better use of the minimum wage to address the problems of
low incomes. The so-called 'Starting Out Wage' which
discriminates against young people by allowing employers to
pay them 20 percent lower wages is a step
backward."
"Instead, the CTU considers that a much more
positive step would be a concerted plan to lift pay levels.
That includes a higher minimum wage, more firms and
organisations adopting the living wage, expanded collective
bargaining, and support for workplace collaboration between
employers and workers to increase productivity with
assurances that the benefits will flow through to higher
wages."
ENDS
© Scoop Media

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