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Low-wage Earners—Government Action

Wednesday 5 April 2006 Hansard source (external site)

Gosche9. Hon MARK GOSCHE (Labour—Maungakiekie) Link to this
to the Minister of Labour

What action is the Government taking to support New Zealand’s lowest paid workers?

DysonHon RUTH DYSON (Minister of Labour) Link to this

Successive Labour-led Governments since 1999 have lifted the minimum adult wage by 46 percent. That minimum adult wage now applies for people aged 18, rather than the previous 20 years of age. We have lifted the minimum youth rate by 95 percent.

GoscheHon Mark Gosche Link to this

[ Interruption] I raise a point of order, Madam Speaker. I understand that the ruling in the House is that members do not speak when a question is being asked. Mr Rodney Hide was actually doing that. Given the Opposition’s desire to have this House run in order, I think he should be asked to leave the Chamber. I have tried to ask this question about five times while spurious points of order were taken. I think I have a right as a member of this House to ask a question without interruption, and I have been interrupted. I ask the Speaker to take some action on it.

WilsonMadam SPEAKER Link to this

The member is correct. I heard Mr Hide laugh. I did not hear him actually make an interjection. We had that discussion yesterday, as I recall. There is always a crossover between members coming to their feet and asking their question. I ask members to please maintain a level of silence and order in the House.

GoscheHon Mark Gosche Link to this

Has the Minister seen any reports that are opposed to the idea of supporting New Zealand’s lowest-paid workers having higher-quality working lives?

DysonHon RUTH DYSON Link to this

Yes, as a matter of fact, I have. I have seen a report that suggests we abandon not only the minimum wage but also abandon minimum holiday entitlements, parental leave, and any moves to close the gender pay and employment gap. Those are the wishes of Dr Don Brash.

BradfordSue Bradford Link to this

What is the Minister’s view of employers who are circumventing the just announced increase in the minimum wage by reducing service pay or skill allowances by the amount of the increase, thus, in fact, leaving some low-paid workers no better off?

DysonHon RUTH DYSON Link to this

Under the Employment Relations Act any change to employment agreements must be renegotiated in good faith between the employer and the employee. Employers cannot reduce terms and conditions already agreed to in their employment agreements without renegotiating the agreements. If the member knows of any specific instances of this happening, then I warmly invite her to provide them to either me or the department for investigation.

BrownPeter Brown Link to this

Does the Minister accept that, in some cases, people who are employed casually are worse off than those who are employed permanently, even those who are employed permanently on a lower wage; if she does accept that, what is the Government doing to address the problems of casualisation?

DysonHon RUTH DYSON Link to this

I do accept that people whose employment is on a casual basis are more vulnerable than those who are in permanent employment, but the minimum wage provisions apply to both situations. At the direct request, again, of the deputy leader of the National Party, I seek leave to table Dr Don Brash’s comments confirming what I relayed in my answer to the supplementary question from the Hon Mark Gosche.

WilsonMadam SPEAKER Link to this

Leave is sought to table that document. Is there any objection? There is.

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