National Forces Businesses To Discriminate

ACT on Campus - the ACT party's youth wing - has described the announcement that National will increase the minimum wage from 1 April as a discriminatory policy that must be a bad-taste April Fool's joke.

"Raising the minimum wage in the current economic climate will cost thousands of Kiwis - particularly young Kiwis - their jobs at precisely the time when they can least afford to lose them", said Peter McCaffrey, ACT on Campus Finance Spokesman.

"National suggests that the increase will bring 'negligible' job losses - but that loss will impact most heavily on young workers and Maori, those typically involved in low skilled, manual labour jobs. Perhaps National believes these vulnerable workers would be better off unemployed with a higher minimum wage, than employed at a lower rate.

"This is exactly the sort of policy Helen Clark and Labour specialised in, offloading a financial burden onto employers, and leaving businesses which are already struggling with no choice but to reduce the number of hours worked or lay off staff.

"The best policy for young workers would be to scrap the minimum wage altogether. Young people in particular should be free to negotiate any pay rate they wish with an employer in order to allow them to gain the experience, confidence and skills that will earn them higher wage rates in the future", Peter McCaffrey said.

ENDS

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