web analytics

We would love to see wages drop – Key

Written By: - Date published: 2:30 pm, January 23rd, 2009 - 18 comments
Categories: uncategorized - Tags:

Staying with today’s wages theme, The Herald is reporting: “Mr Key would not rule out pay cuts for public servants in the next three years”.

So will Mr Key be ringing the Herald’s editor, demanding a retraction and threatening Audrey Young for writing the article? This is after all what Key did last year when the Bay Report quoted him saying “We would love to see wages drop“. Outraged, Key lambasted the Bay Report (and the Standard when we reported it), yelling he would never want to see wages go down. But it looks like we simply caught a glimpse of the real John Key.

18 comments on “We would love to see wages drop – Key ”

  1. anyone for prices going down..?

  2. Whero 2

    Didn’t the Goober also say he wanted higher unemployemnt?

    John Key – Champion of the Underclass – in fact, he loves them so much, he wants more!

  3. QoT 3

    This is my surprised face.

    Why do I get the feeling that it’s not going to be the 100k+ paper-pushing report re-re-re-re-re-drafters who get it in the neck?

  4. infused 4

    Prices arn’t going down… In the IT world at least, thinks are going up up up.

  5. naughtybynature 5

    What a stupid beat-up. The article clearly quotes Key as saying this isn’t on the Government’s agenda at the present moment. More to the point, why would he rule them out in the fiscal environment the Government currently faces? Managing within the Government’s fiscal headroom was always going to be difficult after 2020 and it has got a whole a lot worse since the financial crisis.

    As a public servant I heartily agree that we shouldn’t expect large increases, as has occured over recent years, at a time when others are facing financial difficulties and inflation forecasts are dipping from where they were a year ago. Afterall we are there to serve the public interest not feather our own nests. Kudos to Key for calling for restraint in MP renumeration.

  6. burt 6

    Eddie

    So what would Labour have done?

    Argued that their 9% pay rise every year was OK because they were not responsible for setting it then put out a press releases requesting that pay rises are low to keep inflation in check while they spend our money like a drunken sailor in a brothel?

    Perhaps they would have put taxes up to reduce take home pay while people incapable of understanding net pay is what people spend would argue that since gross pay went up by CPI that Labour are good for low paid workers?

    Please tell us what Labour would have done, surely if you can tell us why National are so bad then you must have an alternative.

  7. Jono 7

    Burt you reactionary – pay rises in the public sector where usually about inflation, not 9% – try and get some idea about what you are talking about. the last govt might have done something – so far the current govt has done absolutely nothing

  8. burt 8

    Jono

    Yes I agree, pay rises for MP’s have always been about 9% and the self serving pricks have not allowed the public service to have the same level of pay rise.

    See it was good enough for them (the MP’s) to have 9% every year but Dr’s, Teachers, Police, Nurses etc got roughly CPI. Dr’s striked because the govt would not approve 12% over 3 years – at the same time as they (the MP’s) were getting 9% every year.

    One thing is for sure, National are not having one rule for themselves and another for everybody else. How quickly we forget how self serving the Labour govt were eh.

  9. SPC 9

    burt

    MP’s pay is not assessed every year.

    Doctors asked for more than 12% over 3 years.

    And nurses received increases above the CPI.

    ————————————————————————-

    I wonder which public servants are to be in fear of their pay being cut.

    Has no one told John Key that cutting the pay of government workers was a failed policy practice resort response of the Depression years.

    There is a case for a freeze (or CPI cap) on higher salaries in the public service – during a programme of sector spending review (it builds up common cause with staff asked to work harder to deliver value for money/review programmes). But efficiency in the public sector is not built on diminishing wages paid to staff – and it’s a poor policy option and example when one is trying to sustain demand in the economy.

    Is the centre-piece of National’s programme – the closing of the wage gap across the Tasman gone by lunch-time?

  10. the sprout 10

    And further on the Herald’s latest, how marvellous to see Helen Clark voted, by a significant margin, “Greatest Living New Zealand” on the Herald’s online poll that closed today.

    That must be unheard of for a PM deposed only a couple of months ago to win such an accollade. I bet the Herald are regretting having ever run it now – but I doubt they’ll make much of it despite it being such a remarkable feat.

    It’ll be a nice boost to developing the ‘What have we done!?’ frame as kiwis start to realise they’ve traded a great leader for a monkey, just when great leadership is needed more than ever before.

  11. SPC 11

    It appears so – if one reads the signs from this governemnt so far

    They intend to freeze the salaries of police, military, teachers and doctors and nurses etc to afford their tax cuts or perhaps to afford new ones to the corporate sector (Oz banks get to keep more of their profits – profits subsidised and protected at taxpayer risk).

    I wonder how they will retain staff once jobs become available again in the private sector …

    The whole ethos is contrary to the pre-election idea of a growing economy delivering higher wages to workers. Its just more of the pro employer paying less to workers mantra that helped get this country into a low wage hole in the first place.

    And its inferred Weldon is hosting the Jobs Summit because of his own ideas – which apparently include Cullen Fund cash being used to develop non ownership shares in corporates (help corporates fund raise – as an alternative to direct infrastructure investment) and for the same non ownership shares being issued in state assets.

    Personally I would transfer 10% of the power company shares to the Cullen Fund over the next 5 years (to the 50% level) rather than borrow to finance the Fund while we have these deficits. But later (say 2020’s) I would sell this half ownership to Kiwi Saver funds so they remained in some form of public ownership. A non government shareholder (but still public agent) would be good for the power companies and us.

    But otherwise I would prefer to leave the Cullen Fund free to to sustain investment diversity and only invest where it chose/saw reasonable opportunity.

    If government sees a need to support fundraising by corporates – because of investor or banker reluctance, it has better options.

    The most traditional would be via incentives (deducting the CPI off non ownership dividends and interest income before assessing tax), the most radical – limiting credit to banks and lending a portion of total credit (so made available) directly to corporates at say 5-10% (clear rent profit to government/Reserve Bank). If the idea of that did not make Oz banks open their wallets to business what would … .

  12. burt 12

    SPC

    I commented back here in June last year about Dr. Cullen saying public sector employees expecting big pay rises had lost touch with reality.

    The original article on Stuff is still there.

    Big state sector pay claims ‘unrealistic’

    But hey, that was before the full extent of the financial crisis was know and it was a Labour party person saying it so it was fine. Labour good – National Bad.

    Oh, and MP’s salaries are reviewed every year. Nurses have recently (in the last 3-4 years) had reasonable pay increases but are still very understaffed and attrition rates in nursing are appalling – still. Nurses are still underpaid on international standards.

  13. Zorr 13

    Nurses have recently (in the last 3-4 years) had reasonable pay increases but are still very understaffed and attrition rates in nursing are appalling – still. Nurses are still underpaid on international standards.

    So we are freezing their pay packets, why? So that the attrition rate goes even higher?

  14. burt 14

    SPC

    I did find a link to the Unite website. Junior doctors deserve support from CTU – not back-stabbing

    The union has said it wants a 10 per cent average increase over three years. The DHBs said 4.25 per cent, take it or leave it. What the media hasn’t reported is that the doctors offered to accept the same percentage the DHBs offered senior doctors.

    So the Junior DR’s were denied 10% over 3 years?

    I also found this Herald link.

    Details of pay deal to senior doctors

    Senior doctors have each been offered salary increases of 13.3 per cent over three years, and an immediate $10,000 lump sum payment as a “retention” bonus.

    So I stand corrected. It was not 12% over three years it was 13.3% over three years plus a one off bonus.

  15. burt 15

    Zorr

    So we are freezing their pay packets, why? So that the attrition rate goes even higher?

    I agree, foolish if you ask me. We should be working toward international pay parity in such fundamentally necessary occupations. Hopefully dropping the ideology that only the state run providers can be allocated state funding will ensure that staff have other avenues of employment outside the public service. Time will tell, not sure if it will work for the Police mind you.

  16. the sprout 16

    Helen Clark voted, by a significant margin, “Greatest Living New Zealander’ on the Herald’s online poll

  17. Draco T Bastard 17

    Is the centre-piece of National’s programme – the closing of the wage gap across the Tasman gone by lunch-time?

    It was never a part of Nationals policy platform – only a part of their slogans.

  18. SPC 18

    burt

    Laila Harre did a good thing for nurses getting them some real wage increases. Personally I support continued real increases in the pay of doctors and nurses. There is no future for public services in any country, in an increasingly international market, if pay lags behind for too long.

    National’s old fashioned idea of low wage economy being somehow cost-efficient is short sighted nonsense. Its the idiocy of those who think they can fight off a major recession/depression by cutting wage costs – it seems National is taking seriously “economic” advice from ratings agencies who made a real mess of their own financial sector credit ratings. They worry about a credit ratings downgrade from the same people who could not see a mess developing in their own financial sector. Talk about National being led by the blind and the stupid.

    The first thing that needs to be done though, is to move way beyond Nationals minute 2008 policy (which while token is still more than what Labour did – Labour tiotally failed to make any move on whatsoever in debt write-offs despite repeated urging) and deliver 10% pa cuts in tertiary debt (it being written off over 10 years work in Enzed) to doctors and nurses – effectively 10 years local work resulting in free medical training. This applying to existing staff as well as current and future trainees (thus we might attract back some of those who moved to Oz).

    The second thing is focus on areas of shortage – the growing probem is the lack of and ageing profile of our GP’s – this requires central provision of locums to allow GP’s holidays (if we show concern for GP’s being able to have such support then we attract people into this vocation).

Recent Comments

Recent Posts

  • Bill to transform drinking water safety passes
    The Government today passed legislation that will transform drinking water safety and improve environmental outcomes for our wastewater and stormwater networks. “The Water Services Act gives Taumata Arowai the legal authority to carry out its duties as New Zealand’s dedicated water regulator. This represents a major transformational advance for the ...
    BeehiveBy beehive.govt.nz
    4 hours ago
  • Trade and Export Growth Minister Damien O’Connor to travel to Europe and US to support economic re...
    Trade and Export Growth Minister Damien O’Connor will travel to Europe and the United States on Thursday this week to advance New Zealand’s trade and economic interests with key partners, including representing New Zealand at the G20 Trade Ministers’ Meeting in Italy. It follows recent engagement between Prime Minister Jacinda Ardern and ...
    BeehiveBy beehive.govt.nz
    7 hours ago
  • Asia New Zealand Foundation Chair and Board members announced
    Foreign Affairs Minister Nanaia Mahuta today announced the appointment of Dame Fran Wilde, DNZM, QSO, as the new Chair to the Board of the Asia New Zealand Foundation – Te Whītau Tūhono. “Dame Fran Wilde has been a trustee since 2019 and I am confident that her experience and deep ...
    BeehiveBy beehive.govt.nz
    9 hours ago
  • Latest KiwiSaver Annual Report shows promising benefits for members
    The latest KiwiSaver Annual Report from the Financial Markets Authority (FMA), highlights how Government’s recent policy tweaks have positively benefitted New Zealanders, Commerce and Consumer Affairs Dr David Clark said today. “Fourteen people so far have withdrawn their funds early thanks to a rule modification made in March this year. ...
    BeehiveBy beehive.govt.nz
    10 hours ago
  • Reasons for permitted travel across Alert Level boundary expanded
    From 11:59pm tonight additional reasons for permitted travel will be introduced for movement across the Auckland boundary, COVID-19 Response Minister Chris Hipkins says. “As this outbreak has shown Delta is highly transmissible, and in order to be confident of controlling its spread, restrictions at the Alert Level boundary have been ...
    BeehiveBy beehive.govt.nz
    10 hours ago
  • Tenancy measures introduced to further support COVID-19 impacted businesses and tenants
    The Government has introduced changes to help ease the impacts of COVID-19 restrictions on both commercial and residential tenancies. As part of the COVID-19 Response Legislation Bill introduced to Parliament, measures are being taken to help businesses resolve disputes over commercial rent, as well as provide greater certainty for landlords ...
    BeehiveBy beehive.govt.nz
    11 hours ago
  • Details of interest deductibility rules released
    The Government has released the draft legislation outlining the details of the policy limiting the deductibility of interest costs on residential property investments. Finance Minister Grant Robertson said the interest limitation proposals, announced in March, aim to stem investor demand for existing residential properties. They do not affect the main ...
    BeehiveBy beehive.govt.nz
    12 hours ago
  • GPS sets long-term direction for housing, urban development
    The Government has today laid out its long-term vision for housing and urban development in Aotearoa New Zealand, ensuring we have the infrastructure and homes needed to nurture thriving communities in the decades to come. The Housing Minister Megan Woods says the Government Policy Statement on Housing and Urban Development (GPS-HUD) ...
    BeehiveBy beehive.govt.nz
    13 hours ago
  • Government welcomes collaboration between Vector and X
    A move by Vector to form a strategic collaboration with X, (formerly Google X) to work together on the virtualisation of the Auckland electricity grid highlights the type of innovation that can help decarbonise and decentralise the electricity system, says Energy and Resources Minister Megan Woods. “The visualisation of New ...
    BeehiveBy beehive.govt.nz
    15 hours ago
  • PM farewells Governor General Dame Patsy Reddy
    The Rt Hon Dame Patsy Reddy completes her five year term as Governor-General of New Zealand today. “Today marks the end of an eventful term of office for Dame Patsy and I want to acknowledge and thank her for her tireless service to New Zealand over the last five years,” ...
    BeehiveBy beehive.govt.nz
    16 hours ago
  • Government delivers on improving health and equity outcomes for women
    ACC cover for maternal childbirth injuries Government working to improve and strengthen maternity services The Government is laying the foundations for a better future by improving equity and health outcomes for women through amending ACC legislation and an updated Maternity Action Plan. “Amongst a suite of changes, we’re proposing to ...
    BeehiveBy beehive.govt.nz
    17 hours ago
  • Speech at launch of the Dementia Economic Impact Report
    E nga mana E nga reo E nga iwi Tēna kotou katoa Ka huri ki nga mana whenua o te rohe nei. Tēna koutou. He mihi hoki ki a tatou kua tau mai nei I raro I te kaupapa o te rā. No reira tēna koutou katoa Acknowledgements Thank you ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Backing world-class innovation in New Zealand
    $12 million Government investment to support cutting-edge R&D in New Zealand by international businesses Dawn Aerospace and Merlin Labs join Innovative Partnership’s Airspace Integration Trials programme MOU signed with Air New Zealand to conduct a nationwide feasibility study into sustainable aviation fuels The Government is propelling cutting-edge innovation through a ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • One-way quarantine free travel dates confirmed for RSE scheme
    From 4 October RSE workers from Vanuatu can begin arriving into New Zealand From 12 October RSE workers Samoa and Tonga from can begin arriving into New Zealand As part of a programme of work to reopen our borders and reconnect with the world, the Government has announced quarantine free ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • More community grants to support youth mental wellbeing
    The Government continues to make more mental health and wellbeing supports available to young people to ensure services are there when and where they need them, Health Minister Andrew Little says. “More than twenty community-led projects have now received a funding boost through The Youth Mental Wellbeing Fund to keep ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Self-isolation pilot to start with 150 people
    The goal of safely re-opening our borders and developing new ways for people to travel will start with a self-isolation pilot, COVID-19 Response Minister Chris Hipkins confirmed today. “As part of the Reconnecting New Zealanders plan announced in August, the self-isolation pilot will look at self-isolation for vaccinated travellers who ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Poroporoaki: Waka Joseph Nathan
    E Waka e, kei hea ra koe, kua ngaro nei i te iwi e, E kawe nei i ngā rongo, i ngā mahara mōu, i ngā wawata i hua mai i a koe. E Waka e, haere ra, kei te tuahu koe o te ati a toa, Kei poho tonu ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Canterbury school students get hands-on with food and fibre careers
    Secondary school students in Canterbury will have the breadth of food and fibre careers showcased to them thanks to a new initiative launched today, Agriculture Minister Damien O’Connor said. Secondary School Employer Partnerships (SSEP) Canterbury is a collaboration between the Ministry for Primary Industries and SmartNZ, a charitable trust that connects ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Tuvalu language revival and COVID-19
    Te Vaiaso o te Gana Tuvalu 2021 - Tuvalu Language Week moves online due to the uncertainty around COVID-19 said the Minister for Pacific Peoples Aupito William Sio.  “However it is a timely reminder of the power of embracing both traditional and new ways of doing things. It has been ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Strengthened reporting will improve abortion and sterilisation services
    Associate Minister of Health Dr Ayesha Verrall has announced new data and reporting regulations which will help improve abortion and sterilisation services in New Zealand, by painting a clearer picture of the need in our communities. “The Government is committed to ensuring everyone who needs to access abortion services can, ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • United Nations General Assembly: 76th General Debate Statement
    E ngā Mana, e ngā Reo, Rau Rangatira mā o tēnei Whare Nui o te Ao Prestigious people, Speakers of note, Chiefs one and all of this General Assembly Ngā mihi mahana ki o koutou katoa, mai i toku Whenua o Aotearoa Warm greetings to you all from my home ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • APEC 2021 Women and the Economy Forum prioritises women’s economic empowerment
    Minister for Women Jan Tinetti today chaired the virtual APEC 2021 Women and the Economy Forum, which is working to address outstanding issues for women and girls across the region as it recovers from the COVID-19 pandemic. The forum brought together Ministers and representatives from 21 economies to discuss gender ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Government invests in restoring iconic South Canterbury river valleys
    The Government is investing up to $18.4 million over four years to create jobs and help restore braided river valleys, alpine and pastoral lands in the South Island as part of its Jobs for Nature programme Land Information Minister, Damien O’Connor announced. Toitū Te Whenua Land Information New Zealand (LINZ) ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Upper Hauraki to move to Alert Level 2
    Upper Hauraki will move to Alert Level 2 from 11:59pm tomorrow, 25 September, COVID-19 Response Minister Chris Hipkins confirmed today. After positive cases were detected in the Upper Hauraki area on Sunday, extra Alert Level restrictions were put in place to immediately prevent any wider transmission of the virus.  “We’ve ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Report into Aotearoa New Zealand’s export controls system released
    Foreign Affairs Minister Nanaia Mahuta today welcomed the findings of an independent review into Aotearoa New Zealand’s export controls system, which regulates the export of goods to foreign militaries, police forces or paramilitaries. Produced by David Smol, a former Chief Executive of the Ministry of Business, Innovation and Employment, the ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • New District Court Judge appointed
    Attorney-General David Parker has announced the appointment of Brett Crowley of Wellington as a District Court Judge.  He is currently the Wellington Public Defender and started his career as a staff solicitor working in a range of litigation including criminal defence work. He went to the bar in 1999 specialising ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Mental health stocktake shows strong progress
    The first report of the Government’s Implementation Unit has found strong progress has been made since the Mental Health and Addictions Package was announced in 2019. “The report notes most initiatives funded in the Budget 2019 package are on track to deliver what is expected by 2023/24,” Grant Robertson said. ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Working together to grow the West Coast
    A project that has been crucial in allowing businesses to continue during the tourism downturn is among a number of initiatives to receive a boost from the Government’s Jobs For Nature programme, Conservation Minister Kiri Allan says. Sustaining South Westland is an extension of an initiative set up last year ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Next steps to improve safety in wake of Whakaari White Island tragedy
    The Government is moving to improve safety in light of the Whakaari White Island tragedy and has released proposals to reinforce safety standards in registered adventure activities. The package of proposals includes: Strengthening requirements for how operators, landowners and the regulator manage natural hazard risks Improving how risks are monitored, ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • New Zealand donates more COVID-19 vaccines to COVAX and the Pacific
    Foreign Affairs Minister Hon Nanaia Mahuta and Associate Health Minister Aupito William Sio announced today that New Zealand is donating additional Pfizer vaccines to the Pacific and AstraZeneca vaccines to the COVAX Facility, to support equitable access to COVID-19 vaccines. “New Zealand is donating 708,000 doses of the AstraZeneca COVID-19 vaccine ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Speech to the Property Council of New Zealand
    Kia ora koutou katoa   Is it a pleasure to be able to speak with you today, and to be able to answer some questions you may have. I would like to acknowledge the organisers of this event, the Property Council. The theme of this year’s conference is City Shapers. Together ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Additional MIQ for Christchurch
    An additional hotel will be added to our network of managed isolation and quarantine facilities, COVID-19 Response Minister Chris Hipkins said today. “I have approved and Cabinet is in the final stages of signing off The Quality Hotel Elms in Christchurch as a new managed isolation facility,” Chris Hipkins said. ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • NZ COVID-19 response earns another major digital investment
    Minister for the Digital Economy and Communications Dr David Clark welcomes Amazon’s Web Services’ (AWS) decision to establish a Cloud Region on New Zealand shores, further boosting New Zealand’s growing digital sector, and providing a vote of confidence in the direction of New Zealand’s economic recovery. “Amazon is the second ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • New Zealand invests in cutting edge cancer R&D
    Scaling up the manufacture of CAR T-cell cancer therapy for clinical trials Advancing New Zealand’s biomedical manufacturing capability Supporting future international scientific collaborations Transforming cancer care with targeted, affordable solutions Research, Science and Innovation Minister Hon Dr Megan Woods has announced that the fight against COVID-19 will not stop the ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Expert group appointed to lead New Zealand’s future health system
    An outstanding group of people with extensive and wide-ranging governance and health experience have been appointed to lead the Māori Health Authority and Health New Zealand, Health Minister Andrew Little says. “This Government is building a truly national health system to provide consistent, high-quality health services right across the country. This ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Funding to help clean up contaminated sites
    The Government is supporting the clean-up of contaminated sites in Northland, Dunedin and Southland to reduce risk to people’s health and protect the environment. Environment Minister David Parker said the funding announced today, through the Contaminated Sites Remediation Fund, will help us turn previously hazardous sites into safe, usable public ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Predator Free apprenticeships open up new job opportunities
    The expansion of a predator free apprenticeship programme is an opportunity for more people to kick-start a conservation career, Conservation Minister Kiri Allan says. “The Predator Free Apprenticeship Programme is focused on increasing the number of skilled predator control operators in New Zealand through a two-year training programme. “The Trust ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Further NCEA support confirmed for Auckland students
    The number of Learning Recognition Credits for senior secondary school students will be increased for Auckland students, Education Minister Chris Hipkins confirmed today. This recognises the extended time these students will spend in Alert Levels 3 and 4. “It means students in Auckland will have a fair opportunity to attain ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Long-term pathway next step to better mental wellbeing for New Zealanders
    The Government is taking a new approach to support people who experience mental distress, Health Minister Andrew Little says. “Kia Manawanui Aotearoa – Long-term pathway to mental wellbeing (Kia Manawanui) is the first 10-year plan of its kind that targets the cause of mental distress and also sets out how ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Keeping our Police safe to keep our communities safe
    The Government is committed to keeping our frontline police officers safe, so they in turn can keep New Zealanders safe – with one of the largest investments in frontline safety announced by Police Minister Poto Williams at the Police College today.   The $45 million investment includes $15.496 million in ...
    BeehiveBy beehive.govt.nz
    7 days ago