For the second year running, the government has effectively cut wages for the lowest paid workers in New Zealand.

“With inflation at 2.2%, the government’s decision to only lift the minimum wage by 1.5% means their take home pay goes backwards,” Labour workplace relations and safety spokesperson Camilla Belich.

“The groceries and other goods they’re purchasing rise with inflation, so the money is worth less. The government has announced an effective wage cut, right before Christmas.

“Many lower paid New Zealanders would’ve been hoping they’d be back on the up come April next year, given the government cut their wages in April this year too. Despite advice that recommended a 4% increase to the minimum wage, they chose to only lift it by half that.

“This Government dished out $2.9 billion to landlords and $216 million to tobacco companies this year, but have only found 35c for a minimum wage worker. They also scrapped the top up for workers with disabilities. They are looking after the wrong people,” Camilla Belich said.

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