Majority of Kiwis think New Zealand wages are too low
Latest survey from Canstar reveals 65% of Kiwis think that NZ wages compare poorly to other countries.
Commenting on the survey findings, the results of questioning over 2,500 Kiwis, Canstar general manager, Jose George,
says:
“This is obviously a subject Kiwis feel very strongly about and to be honest, they may have a point. According to the
OECD, New Zealand’s average wage is lower than that of many other countries including UK, Australia and the USA.
“These countries also tend to be the places that large numbers of Kiwis spend their OE and/or live before returning
home. In addition, a large number of immigrants to New Zealand originated from these countries (Australia and UK in
particular) so personal experience could be of higher wages.”
In addition to lower average wages, according to the OECD, New Zealand continues to experience a growing disparity
between our highest and lowest earners. This is in spite of a healthy New Zealand economy, GDP growing by an average
2.8% per annum and employment growth averaging 2.5% per annum, over the last five years.
George continues:
“On a national level we have positive economic and employment growth, but at a consumer level there is the much
publicised ‘inflated housing market’, talk of insurance rate hikes and fuel prices rising, to name but a few. It’s not
surprising that people are feeling like inflation is evident everywhere other than their wage packet.
“Our survey revealed a staggering 71% Kiwi Gen Xers – who make up the major part of our workforce – feel that wages in
New Zealand are low. We think it’s reasonable to assume that GenXers are more likely to have experience of different
jobs and job markets and have stronger opinions of their own value, so their views should be pretty well formed.
“Labour market shortages have already been highlighted by some industries and by some regional agencies. As our
population is set for continued growth wage disparity, and the role it plays in attracting skilled workers, does not
look like an issue that is going to disappear.”
Who thinks what?
• Woman (68%) more than men (61%) feel that wages are low in New Zealand compared to other countries.
• 60% of Baby Boomers, 71% of Gen Xers and 63% of Gen Yers think wages are low in New Zealand compared to other
countries.
• 75% of people in Nelson feel that wages are low in New Zealand compared to other countries. This is higher than any
other region.
• 62% of people in Otago feel that wages are low in New Zealand compared to other countries. This is lower than any
other region and slightly less than the national average of 65%.
ENDS