The Government's decision to increase the minimum wage may have an impact on the number of jobs being offered to New Zealanders, National's spokesman on Labour Max Bradford warned today.

"At least the economy at present is in a robust enough state, thanks to the policies of the last Government, to absorb this increase. Nevertheless, it would be foolish to pretend there will not be fewer jobs as a result of this decision.

"I am pleased that the Government has been wise enough to leave the youth rate alone, as scrapping that would have seen an 80 percent increase in the hourly cost of employing young New Zealanders, which would have had a disastrous effect on youth employment.

"The Alliance's desire to get rid of the youth rate shows how little they care for young workers. They were happy to support a measure that would have seen too many young kiwis out of work.

"Time will tell what effect this minimum increase will have on employment rates, but if the economy starts to deteriorate once ACC changes and repeal of the Employment Contracts Act are passed, the Government may regret this decision," Mr Bradford said.

ENDS

© Scoop Media

On one level. New Zealand First has been the agent of its own misfortune. The New Zealand First Foundation handling the donations at the centre of the Serious Fraud Office investigation was reportedly (a) authorised by the NZF party’s board and (b)the money was apparently used to finance the party’s activities. Yet the disclosure trail remained opaque. According to its critics, NZF can’t have it both ways: it can’t claim that the foundation and the party were entirely separate legal entities, and then go to court to try and block the SFO from releasing its findings because of the likely impact on the party’s electoral fortunes... More>>