2. Hon DAVID CUNLIFFE (Labour—New Lynn) Link to this
to the Prime Minister
Does he stand by his statement “the employment rate in New Zealand is actually higher than it is in Australia”?
Hon GERRY BROWNLEE (Acting Prime Minister) Link to this
That is a very important point. I am pleased that the Speaker picked it up. The answer is yes.
Hon David Cunliffe Link to this
Which aspect of today’s announcement from Statistics New Zealand that unemployment has blown out to 6.8 percent supports his claim that the economy will grow aggressively out of recession, and his expectation in March that unemployment will drop?
Hon GERRY BROWNLEE Link to this
The member set down a question about the employment rate and its relativity to Australia’s. I would like at least to have the opportunity to explain to him that the employment rate in New Zealand is 63.4 percent compared with 61.8 percent in Australia. It is better. On the unemployment figures that came out today, there is no doubt that the Government would express some disappointment about those numbers. I also say to him that last December’s unemployment figure was 7.1 percent. That figure coming back to 6.8 percent in that relatively short period of time is encouraging. We have always said it would be a bumpy ride.
Hon David Cunliffe Link to this
How can employment in New Zealand be better than Australia’s when Statistics New Zealand revealed that 19,000 Kiwis have lost their jobs, while in Australia unemployment has dropped and 19,000 new jobs were created last month alone?
Hon GERRY BROWNLEE Link to this
The member is doing what Labour has done a lot lately, and that is choosing to select bits and pieces of figures all over the place. The question related to the employment rate; I have given the difference there. Let us now talk about the participation rate, which is 68 percent in New Zealand and 65.2 percent in Australia.
Hon David Cunliffe Link to this
Does the Prime Minister agree that he got it wrong when he said in May this year: “We’ve now got the economy back on track.”, given that over the past year 22,000 Kiwis have lost their jobs, and unemployment is still bouncing along at the trough of the recession?
Hon GERRY BROWNLEE Link to this
Let me acquaint the member with the situation that existed in the later part of 2008, when we had four successive quarters of decline in the size of the New Zealand economy. The last four quarters measured have shown us to be growing. I do stand by that statement.
Hon David Cunliffe Link to this
When GST is 50 percent higher in New Zealand than in Australia, when the pay gap with Australia has increased by at least $23 a week since he took office, and when unemployment is higher here than it is across the Tasman, does that show National simply does not have a plan to build a stronger recovery?
Hon GERRY BROWNLEE Link to this
Far from it. We have articulated parts of our plan on numerous occasions throughout the week. I would also say that when we have a growing economy, a natural consequence of that, ultimately, will be more work and higher wages.
John BoscawenDoes he believe that Labour’s decision to scrap the youth minimum wage has contributed to the increase in unemployment, and in particular the increase in youth unemployment—a move that the Government could have reversed by supporting Sir Roger Douglas’ member’s bill to reintroduce youth rates?
Hon GERRY BROWNLEE Link to this
It has been my experience always that if one earns less, one is not as well off. I do not think that would be particularly helpful.