Declining opportunities grim news for struggling Kiwis
The fact that the number of full-time equivalent jobs and total paid hours declined in the December quarter shows that thousands of hard-working Kiwis are not sharing in the economic recovery, says Labour Finance spokesperson David Cunliffe.
David Cunliffe said both the Quarterly Employment Survey and Labour Cost Index released today contained grim news for struggling Kiwis who have borne the brunt of the recession.
“The Quarterly Employment Survey shows demand for labour has been in decline for more than a year, with the number of FTEs decreasing 2.5 percent and the number of total paid hours decreasing 1.8 percent on a seasonally adjusted basis.
“The Labour Cost Index reveals that the recorded annual increase of 1.8 percent in salary and wage rates in 2009 is the lowest in eight years. Only 44 percent of salary and wage rates increased in the year, the lowest proportion since June 2000,” David Cunliffe said
“The Government has been coasting with no plan to ensure that those Kiwis who have faced the hardest struggle to pay their weekly bills share in the recovery.
“Now these same Kiwis should be afraid that the Government is not ruling out tax changes like increases to GST that may make it even more difficult for them to cope,” David Cunliffe said.
"Many Kiwi families have gone without pay rises and overtime hours during the recession. Many thousands more have lost their jobs and hopes.
“Last year National offered a Jobs Summit talkfest and precious little else. It is vital that in this year's budget National offers hope to all Kiwis and puts in place systematic policies to lift wages, productivity, savings and exports to get this economy going again.
“The fruits of growth must not be limited to top earners who were the main beneficiaries of last April's tax cut, and who stand to gain the most in the current tax review.”
