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

 


Labour’s Minimum Wage Proposal a Backward Step

Labour’s Minimum Wage Proposal a Backward Step


Democrats for Social Credit finance spokesperson Chris Leitch has attacked Labour’s proposals to increase the minimum wage labelling it ”a backward step for low and middle income earners”.

“Far from making low wage earners better off, the proposed increase will have the reverse effect and will actually make low and middle income earners far worse off than they are now”, Mr Leitch says.

“What Mr Cunliffe doesn’t seem to realise is that manufacturers, importers, and all employers faced with having to pay the increase will be unable to absorb the increase and will be forced to increase their prices”.

“Just a few of the cumulative effects of that will be :-

1. Prices on everything in the shops will go up

2. Services like taxi, train and bus fares will rise

3. The GST component on everything will be greater

4. To counter the inflationary effect, the Reserve Bank will increase the OCR forcing interest rates up

5. Some low paid workers will lose their jobs, putting more onto social welfare

And there are many more”.

“The effect will be to leave low and middle income earners far worse off than they are already”.

“What Labour should be proposing is scrapping GST and putting in place a transactions tax at a rate of a tenth of one percent (10 cents per $100) on all withdrawals from bank accounts”.

“This would give wage earners an immediate increase in spending power of nearly fifteen percent – far more than Mr Cunliffe proposes”.

“The transactions tax would catch in the tax net, the massive top end market in financial speculation, currency trading and the like, which currently is untouched by the GST regime”.

“Given that New Zealand is the 9th most traded currency in the world, the amount collected from a transactions tax that includes currency trading would be more than the entire GST tax take”.

“Labour should bow its head in shame over a silly proposal that directly makes its traditional voter base far worse off”.

Ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell:
On Anne Tolley’s
Callous Folly

Years ago, I remember someone in the Heath Ministry telling me off the record that regulatory oversight in this country largely consisted in ‘waiting for something to turn green or fall off somebody’ before the authorities would swing into action...

Last week’s conflict between Social Development Minister Anne Tolley and District Court judge Carolyn Henwood illustrated quite a few of the flaws in the system. More>>

 

Members’ Bills: Greens' Domestic Violence And Loans Bills Pulled From Ballot

Jan Logie’s Domestic Violence-Victims' Protection Bill introduces workplace protections for victims of domestic violence, including allowing victims to request paid domestic violence leave for up to 10 days... Gareth Hughes’ Bill allows Kiwis with student loans to defer their student loan repayments into a first home savings scheme. More>>

ALSO:

IPCA: Police Did Not 'Deliberately' Use Pepper Spray On 10-Year-Old

"When spraying the man, the officer did not properly consider the necessity of using pepper spray in a confined space, the likelihood that it would affect the other innocent passengers or the fact that he was using a more powerful spray." More>>

ALSO:

Donor Bill Passes: Full Income Compensation For Live Organ Donors

Unanimous cross-party support for the Compensation for Live Organ Donors Bill represents a critical step in reducing the burgeoning waiting list for kidney donations, according to Kidney Health New Zealand chief executive Max Reid. More>>

ALSO:

Earthquake Response: Emergency Legislation Prepared

Three new Bills have been drafted in the wake of the magnitude 7.8 earthquake on November 14 to ensure the government can enable affected communities to respond quickly and efficiently. More>>

ALSO:

Housing MPs: New Building(s) For Parliament

A new building will be erected on Parliament grounds to house Members of Parliament and their staff who currently work in leased accommodation in Bowen House. The plan has cross-Party support, apart from NZ First, said Parliament’s Speaker, Rt Hon David Carter. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news