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22 May 2013
Hamilton Ratepayers Should Call On Minister to Intervene.

Hamilton and Wellington City Councils are arousing ratepayers' anger by seeking to introduce a ‘minimum living wage’ policy for council staff, and possibly for staff of contracted suppliers.

The ability of Councils to set remuneration policies and levels was put into the Local Government Act by an amendment last year.

Its original intention was to control levels of salary paid to chief executives and other senior staff!

Hamilton City Council is now using this legislation to introduce a ‘minimum living wage’ policy of $18.40 per hour.

There is a real danger that if this policy goes through it will trigger changes to wage rates generally which will have a flow-on effect throughout the labour market.

However the same legislation also included provision for the Minister to intervene in Councils financial management.

Hamilton ratepayers should approach the Minister and ask him to appoint a Crown Review Team to look at a situation where apparently the Council has very high debt and a growing interest bill.

ENDS

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