Minimum Wage Increases Deal Another Blow

Yesterday’s announcement that the minimum wage will increase by 6% to $21.20 in April is just another blow for clubs, says Clubs New Zealand.

“We have all been struggling under the incredibly restrictive Alert Level System and now Covid Protection Framework in excess of two years and the stark reality is that the reserves are empty”, says Chief Executive Larry Graham.

“There is nothing left to fund these increases.”

“The club industry along with the wider hospitality industry is crying out for help following the discontinuation of the Wage Subsidy and Business Resurgence Payment, so to slap an additional cost onto struggling businesses at this time is demoralising and demonstrates to our members that the decision makers are not willing to listen.”

“Despite now being able to open, the capacity limits, seated and separated rules, prohibitions on sports and fear is keeping customers away and our clubs are running at a loss under the Red Setting.”

“The club industry wants nothing more then to see the wages of our workforce lifted, and this will be an important step alongside training and development, once restrictions are eased and the peak of Omicron has passed.  Until then these mandatory cost increases are nothing more than a kick in the guts.”

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