CTU Media Release

22 November 2011

Exodus to Australia Worsens

Statistics New Zealand has reported today that “New Zealand's net loss of migrants in the October 2011 year was due to a net loss of 35,000 people to Australia. This is only just below the highest recorded net loss to Australia (35,400 people in the December 2008 year). The October 2011 year figure resulted from 49,500 departures to Australia, offset by 14,500 arrivals from Australia. In both directions, most migrants were New Zealand citizens.”

Peter Conway, CTU Secretary says “the loss of people to Australia continues to be a huge concern. While the Canterbury earthquakes have understandably increased emigration – the number of departures from Christchurch since the 22 February earthquake increased by 2,300 compared to the same period last year – that is only a small part of the increase of 14,500 departures to Australia from New Zealand nationally, compared to the year to October 2010.”

“The media statement from Statistics NZ focused on the good news of visitors for the Rugby World Cup. But that good result is overwhelmed by the bad news that the exodus to Australia has worsened.”

“We need major policy changes to build more hope for Kiwis that they have a promising future in our country – rather than overseas.”

“That means we need to lift the minimum wage, improve our wage bargaining system, share the benefits of improved productivity, provide more skills training, and reduce inequality.”

“It is misleading for John Key to say that after tax wages have grown faster in New Zealand in the last 3 years. Of course after-tax wages change if you give big tax cuts but we know that the tax cuts favoured those on above average earnings whereas two-thirds of workers earn less than the average wage.”

Peter Conway said “in New Zealand, the average ordinary time hourly wage has risen 7.5 percent between December 2008 – the closest date to when his government took office – and September 2011. After CPI inflation it fell 0.8 percent. After tax and inflation it rose 3.2 percent.
In Australia, the average ordinary time hourly wage has risen 14.4 percent in the same period, and 5.9 percent after inflation – 6.7 percent faster than in New Zealand. It rose 5.0 percent after tax and inflation – 1.8 percent more than in New Zealand. This is for full time adult employees, but could be expected to rise at a similar rate to the overall average.”

ENDS

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