3. JOHN KEY (Leader of the Opposition) Link to this
to the Prime Minister
Does she stand by her reported statement from 2000 that the main driver of the number of well-skilled New Zealanders choosing to move to Australia was the state of the two economies, and does she think this remains the case today?
Rt Hon HELEN CLARK (Prime Minister) Link to this
At that time I was very concerned about the huge growth in the earnings gap between New Zealand and Australia under the last National Government. That gap in the 1990s increased by 50 percent. Since that time, and despite the minerals boom in Australia, the gap has increased by around only 2 percent, and, of course, New Zealand’s average annual economic growth under Labour in the first 8 years of our Government exceeded that of Australia.
What does it say about her Government’s management of the economy when, after 9 years of Labour, 46,000 people went to live permanently in Australia last year and only 13,000 came back the other way, making that the largest ever net exodus across the Tasman?
Rt Hon HELEN CLARK Link to this
As I have said to the member on many occasions, he should focus on the overall net migration figure, which is positive. I repeat that in 1999, under the sad, last—and I repeat, last—National Government, overall net migration outwards was negative by over 11,000, in contrast with a positive figure today.
Is the Prime Minister aware that, according to figures independently produced by Statistics New Zealand, the average net loss to Australia under National in the 1990s was 9,800 people a year, whereas under Labour the average net loss to Australia has been 19,800 and is rising, and what does that say about the fact that for 9 years her Government has not bothered to cut taxes—except, that is, until election year?
Rt Hon HELEN CLARK Link to this
At last the member comes close to acknowledging that under the National Government, in 8 out of 9 years in the 1990s, there was a net loss to Australia. But what he will not own up to is that in the last, sad 9th year of the National Government in the 1990s net migration overall was over 11,000. That was an indictment of that Government.
What does it say about her Government’s record when, according to figures independently produced by the Parliamentary Library, the after-tax wage gap between Australia and New Zealand has blown out from 20 percent in 1999-2000 to 38 percent last year, therefore almost doubling—and she should pay attention to this, because she is always getting it wrong—whereas under the previous National Government the gap went from 16 percent to 20 percent; so just so she understands that, I say that under a National Government it went from 16 percent to 20 percent, and under a Labour Government it has gone from 20 percent to 30 percent?
Rt Hon HELEN CLARK Link to this
I am sure the member would know better than anyone else the old saying “there’s lies, damn lies, and statistics”, and the member will plug out any index he likes in order to try to prove his figures. But I say our legacy of the Employment Contracts Act and of Kiwi workers getting a bad deal for 9 years was what really opened up that wage gap. It is still National’s policy to drive workers’ wages down.
Is the Prime Minister saying that it is a damn lie when the Parliamentary Library produces a set of records that show the wage gap under the National Government from 1990 to 1999 moved up 4 percent, and under her Government it has doubled?
Rt Hon HELEN CLARK Link to this
What I am saying is that the information I have long had is that the wage gap between New Zealand and Australia blew out by 50 percent under the National Government in the 1990s. That is what I rest my case on.