Alliance Party backs Unite Union petition to boost minimum wage

Alliance Party media release FOR IMMEDIATE RELEASE Thursday 11 June 2009

Alliance Party co-leader Kay Murray says the Alliance Party is one hundred percent behind Unite Union's campaign to raise the minimum wage.

The Unite campaign kicked off on Thursday 11 June with a petition for a Citizen's Initiated Referendum asking for an immediate rise to $15 an hour followed by annual increases until the minimum wage is brought up to 66% of the average total hourly earnings.

This would bring it into line with national superannuation which is currently set at 66% of the average wage. Unite hopes to collect enough signatures to call for a national referendum on this.

Ms Murray says the Alliance has long argued that the minimum wage is too low, with the minimum wage in Australia is $17.50 being an example of this.

"There is little evidence to the negative view that higher wages somehow reduce job opportunities. It is more probable that wage increases stimulate the economy and create new jobs."

A higher minimum wage would also mean more income for the government via an increased tax take to pay for vital social spending, something it sorely needs at the moment with its soaring budget deficits, she says.

Ms Murray says higher wages mean less money spent on subsidies for low income earners such as the working for families package and rent subsidies.

"Some employers are paying workers a pittance and the government is making up the difference between what they get paid and the amount workers need to live on, while the employer pockets the extra profit. This is not fair on workers or taxpayers."

Ms Murray says "I think all New Zealanders would agree people deserve a decent day's pay for a decent day's work which is what the campaign is all about."

She says the Alliance hopes that all political parties, organizations and individuals who support a fair deal for everyone will get behind this campaign and see the minimum wage lifted to a liveable wage as soon as possible.

ENDS

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