The New Zealand Taxpayers’ Union is warning against the Government’s plan for Fair Pay Agreements, calling the policy a form of wage control.

Union spokesman Jordan Williams says, “This is an incredibly backward policy that lets Wellington decide pay rates for entire sectors and industries. It’s a major step towards central control of the New Zealand economy, and a complete denial of the diverse circumstances and needs of individual businesses.”

“Higher wage costs will ultimately be passed on to consumers – an enormous regulatory tax. And bureaucratic, inflexible wage agreements will create avenues for costly litigation.”

“The Government’s handout for Business New Zealand stinks of a cynical attempt to buy support for the policy. But the group being paid to support wage control are sticking to their guns and pointing out how destructive it is. Good on them.”

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