New Zealand Increases Minimum Wage

By
Kazeem Tunde
-
181
WELLINGTON, NEW ZEALAND - JUNE 08: Prime Minister Jacinda Ardern speaks to media during a post cabinet press conference at Parliament on June 08, 2020 in Wellington, New Zealand. Prime Minister Jacinda Ardern announced that New Zealand will move to COVID-19 Alert Level 1 at midnight on June 8. Alert Level 1 will see people return to work, school, sports events and domestic travel without restrictions. There will also no longer be any restrictions on numbers at mass gatherings. Controls at the borders will remain in place for all people entering New Zealand, including health screening and testing for all arrivals, and mandatory 14-day managed quarantine or isolation. There are no longer any active cases of COVID-19 in New Zealand. (Photo by Hagen Hopkins/Getty Images)

New Zealand Increases Minimum Wage

 

New Zealand will from April 1, 2021, raise the national minimum wage to 14.26 U.S. dollars per hour, Workplace Relations and Safety Minister, Michael Wood, said on Thursday.

According to the minister, as the country recovers and rebuilds from COVID-19, the government is committed to supporting New Zealanders by raising wages.

“There are many Kiwis who earn the wage that has gone above and beyond in our fight against COVID.

‘I think everyone agrees with those who served us so well during lockdown -including supermarket workers, cleaners, and security guards -they deserve a pay rise.

‘This increase will lift the incomes of around 175,500 New Zealanders, which means 44 New Zealand dollars more each weekly before tax for Kiwis working 40 hours a week on the minimum wage,” Wood said.

The rise is estimated to boost wages across the economy by 216 million New Zealand dollars, giving New Zealanders more money to spend at local businesses.

”Increases in the minimum wage can also promote productivity, which is good for businesses too.

“Signalling the minimum wage increases over three years has helped give businesses much-needed certainty,” the minister said.

The starting-out and training wages will also rise to 16 New Zealand dollars per hour, to remain at 80 percent of the adult minimum wage.

RELATED ARTICLESMORE FROM AUTHOR