The unions haven’t wasted much time in flexing their muscles and making outrageous demands

The unions haven’t wasted much time in flexing their muscles, they are now demanding 8% wage increases:

Employers and Manufacturers Association (EMA) chief executive Kim Campbell said the initial increase was not much more than what a National-led Government would have implemented.

However, he saw the $20-an-hour target as too high and it meant New Zealand would have among the highest minimum wages in the world.

“The first step was well signalled… and it’s not very responsible signalling it so well in advance because it sets up inflationary expectations,” he said.

“You can already see a reflection of that in our exchange rate, which has gone down because overseas they can sees that New Zealand’s costs are going up.

“Exporters are going to do a bit better but you’d have to do the sums to see how they land but it will all turn into an inflationary spiral which is a really good way to bring the economy to a grinding halt.

Campbell said businesses would be worried by what the cost increases would mean for them.

The problem with Labour ministers is they’ve never run a business, and it is clear that some of them have never run a bath, much less a business.

His comments are starkly contrasted by those of First Union, whose general secretary Robert Reid said in a statement the incoming Government acknowledged the huge economic pressure working people – especially low paid workers – had been facing for the last decade.

“Today marks a sea change. We now have a Government showing respect for working people.”

The union was especially pleased to see the minimum wage will move to $20 per hour by 2021.

“Business leaders often say the main thing they need is certainty. This announcement gives them that certainty and now they need to start factoring in significant wage increases for all their workers over the next three years.”

Reid added that the era of 2 per cent a year wage offers was over and employers would need to be looking at annual increases of about 8 per cent to stay at or ahead of minimum wage rises.

“Our reading of the coalition agreement on employment relations is that Labour’s election policy remains either intact or is enhanced by NZ First and Greens policy.”

This typifies the lack of joined-up thinking by the left-wing.

Employers are warning of business collapses and job losses as a result of massive increases in the minimum wage and yet the unions are demanding even more for those workers in peril.

I’ve heard dire news from good finance sector sources. Labour thinks they can create pay rises with the wave of a magic wand and some new laws…all they will be creating is larger unemployment and it will happen really rather quickly.

No amount of botox is going to keep Jacinda’s frown from appearing when things start going awry.

 

-NZ Herald


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As much at home writing editorials as being the subject of them, Cam has won awards, including the Canon Media Award for his work on the Len Brown/Bevan Chuang story. When he’s not creating the news, he tends to be in it, with protagonists using the courts, media and social media to deliver financial as well as death threats.

They say that news is something that someone, somewhere, wants kept quiet. Cam Slater doesn’t do quiet and, as a result, he is a polarising, controversial but highly effective journalist who takes no prisoners.

He is fearless in his pursuit of a story.

Love him or loathe him, you can’t ignore him.

To read Cam’s previous articles click on his name in blue.

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