New Zealand's minimum wage rises to $23.50, but inflation will lead to a real-terms decrease.

New Zealand's government has announced a 1.5% increase in the minimum wage to $23.50 per hour, effective April 2025. However, this increase is less than the forecasted 2% inflation rate, resulting in a real-terms wage cut for minimum wage workers. The New Zealand Council of Trade Unions criticizes this decision, arguing it worsens the financial situation of low-income earners. Meanwhile, employers support the increase, noting it provides time for businesses to adjust their budgets. The government claims the modest increase helps support workers while limiting costs on businesses.

December 16, 2024
32 Articles