Well, at least he kept one promise

Written By: - Date published: 8:43 am, February 2nd, 2011 - 36 comments
Categories: john key, Unions, wages - Tags:

December 2007, John Key, speaking to Carolyne Brooks-Quan said: “We would love to see wages drop“. Key tried several conflicting excuses, including that he was talking about Australian wages (which became a mini-meme). But actions speak louder than words. Yesterday, we had more confirmation that wages have dropped under Key, except for union members’.

The Quarterly Employment Survey shows that, after adjusting for inflation, the total pay packet of all the country’s workers is down 1.8% since Key came to power. With the population growing at 1% per year, that’s a smaller cake being shared around more mouths.

But the likes of Key haven’t felt the pain, of course. While NZIER says 60% of households got no net gain from the tax swindle, Key has voted himself $23,600 of tax cuts on his PM salary alone since coming to power (oh, and he got a $7,500 pay rise last year). The top 1% of income earners have had an average tax cut of $16,000 each under Key.

Union members are the only group of workers managing to even hold their ground as wages in general drop. The Labour Cost Index, also out yesterday, lets us work out the size of pay rises for union and non-union workers in the past year.

It’s clear: most non-union workers got no pay adjustment and went backwards after inflation while 62.8% of union workers got an above inflation pay rise. The average was approximately 2.5% for union workers, 1.4% for non-union workers.

36 comments on “Well, at least he kept one promise ”

  1. Someone else wants to see wages drop:
    http://rogerkerr.wordpress.com/2011/01/14/friday-graph-jacinda-ardern-out-on-a-limb-on-youth-minimum-wage/

    you can also read THE TRUTH ABOUT PRIVATISATION by him to, which is like hearing Gerry Brownlee talk about healthy diets.

  2. happynz 2

    Yeah, put me in the ‘no increase in wages’ category. I’ve been in this category since 2008. Is it National policies or is it that my employer is tight-fisted? Maybe both, I don’t know.

    • Draco T Bastard 2.1

      Put my brother, nephew and a few other relatives into the “wages dropped” category. Funny thing is is that some of the will continue to vote National even after I point out what NACT have done to decrees their income and give the wealth to the rich.

      • Colonial Viper 2.1.1

        Can’t help people who are into self flagellation, and who in fact say “please sir, more”

  3. higherstandard 3

    Interesting stuff Marty, have you got a link to the survey itself ?

  4. KJT 4

    NACT love to quotes average wages because that has been pushed up by a few very high incomes. Median wages have fallen against the CPI.
    The point is ordinary time wages have all dropped against high inflation in the price of necessities such as food and housing.

    Meanwhile the bludgers: Accountants, Lawyers, Banks, Politicians, corporate chair polishers have all awarded themselves big increases. http://www.dailymail.co.uk/news/article-1235576/How-bankers-destroy-7-1-create-Hospital-cleaners-valuable-society-say-researchers.html

    Highly skilled workers in NZ have had about 40% pay cuts against the CPI index since the 80’s. The pay rises that the market should have delivered have been prevented by immigration and assaults on the ability to collectively negotiate.That’s why most of us have gone to Australia.
    The CPI rise is fudged by adding in things like $2000 flat screen TV’s and new cars (Who buys a new car) to hide real price inflation. The real drop in wages is much greater.

    We have had a wage freeze for 30 years. Where is the extra money that is supposed to be invested in the productive economy if business costs were reduced. Dropped to 1/3 of what it was in 1979.

  5. big bruv 5

    And yes union numbers are at a near record low.

    I wonder why that is?

    • Lanthanide 5.1

      Because people don’t want pay rises?

      You know, if you have an actual point to make, maybe you should make it.

    • Marty G 5.2

      because the government is passing anti-union laws because it doesn’t want workers to get pay increases.

      and union workers are heavily concentrated in industries that have been hardest hit by the recession – eg manufacturing.

    • Colonial Viper 5.3

      Lots of complex reasons, but young people are asking more and more about what it will take to be treated and paid fairly at their jobs. And a lot of them are coming to the same conclusion – join a union and use the power of being collectively represented.

      • luva 5.3.1

        Interesting statement there CV. Do you have some numbers in respect of those coming to the same conclusion

        • Bright Red 5.3.1.1

          unite almost exclusively targets young, minimum wage workers – it’s gone from nothing to over 5,000 members in a few short years.

      • big bruv 5.3.2

        Nothing complex about it Viper.

        People quite rightly see no value in joining a union.

        • Bright Red 5.3.2.1

          and, yet, the facts clearly show that joining your union is the path to bigger wages increases.

          captcha: observation

  6. fabregas4 6

    Every Primary School Teacher and Principal for some reason accepted a below inflation wage increase at the end of last year effectively cutting their pay and they were then vilified by all and sundry for being greedy!

  7. HamishM 7

    Not to interrupt the dislike of Key going on here but hasn’t he also kept the promise about no asset sales in the first term?

    • Deadly_NZ 7.1

      Yes he has…. And he has also lined up most of whats valuable, and has his auctioneers hammer ready to go!

    • Bright Red 7.2

      there have been asset sales by stealth already. Like the electricity asset swap which requires Genesis to raise $300million of debt and Meridian to pay the government a $300million special dividend

      captcha: starting

  8. randal 8

    according to the classical theory if the labour market is full then wages will go down.
    unfortunately it doesnt work like this in practice or real life.
    nevertheless the neanderthals in the national party keep trying it on and they like scaring the shit out of ordinary working people just for the hell of it anyway.
    no one else will listen to them.

  9. BLiP 9

    Just back from a wee trip to Oz for work. As usual, the boss over there offered me a job, the only thing different is that this time the offer was in writing. At the moment the only perqs I get are free use of a cellphone plus a car for travel to/from/for work. The Aussies get the cellphone, a car with provision for “reasonable” personal use and the ability to nominate a partner/spouse as secondary driver, free home internet (1 GB per month with option to increase it to 100 GB a month for $35 per month), free, no-excess health insurance (with opt in dental plan for $200 pa), and a 40% (yep, that’s four-zero percent) salary increase!! It exactly the same job, only with about six more staff to manage.

    • clandestino 9.1

      This is why trying “to catch up with Australia” seems to me a futile and pointless proposition.

      Productive Aussie investment could really benefit us, instead they’re just throwing mortgages across the ditch, the financial equivalent of the underarm incident.

    • Deadly_NZ 9.2

      Nice …. When do you leave????

    • higherstandard 9.3

      If it’s outside Sydney take it, if it’s in Sydney it’d be marginal house prices are a fecking outrage.

  10. g_man 10

    I do have to laugh each time I read the “join-the-union-your-wage-rises-depend-on-it” rhetoric here.

    I haven’t belonged to a union for, ooooh, about 12 years.

    I’ve had a wage rise every year for the last five years, and a bonus as well. 6.1% wage rise last year.

    And no, I’m not a manager – I’m an IT technician. Why do I get wage rises? Because I’m good at my job and my manager knows it. He doesn’t want to lose me. Simple.

    • orange whip? 10.1

      That’s nice. I mean it too g_man, good for you.

      Clearly though you’re the exception. The facts are that it doesn’t work like that for most people.

  11. Seti 11

    Although the NZIER believes the 90 day trial law is working

    • KJT 11.1

      Well what do you expect from an economic think tank.
      Meanwhile in the real world a certain burger peddler sacks young people as three months come up so they can replace them with more tax payer funded employees.

  12. Rharn 12

    It’s the last two sentances by C B-Q that are the kicker. She asks ‘There are some calls here for employers to pay more.’ She goes on and asks Key, ‘what’s your take on that?’ This is a question directly related to NZ wages. Key’s response to this is that he would like to see swages fall. For him to suggest that he was talking about Aussie wages is just plain bollicks. He’s been caught with his pants down good and proper.

    • Marty G 12.1

      Unfortunately he was caught with his pants down on this three years ago and the media refused to run the story. They believed key’s spin doctors over their fellow journalist

Links to post

Recent Comments

Recent Posts

  • Unnecessary bureaucracy cut in oceans sector
    Oceans and Fisheries Minister Shane Jones is streamlining high-level oceans management while maintaining a focus on supporting the sector’s role in the export-led recovery of the economy. “I am working to realise the untapped potential of our fishing and aquaculture sector. To achieve that we need to be smarter with ...
    BeehiveBy beehive.govt.nz
    31 mins ago
  • Patterson promoting NZ’s wool sector at International Congress
    Associate Agriculture Minister Mark Patterson is speaking at the International Wool Textile Organisation Congress in Adelaide, promoting New Zealand wool, and outlining the coalition Government’s support for the revitalisation the sector.    "New Zealand’s wool exports reached $400 million in the year to 30 June 2023, and the coalition Government ...
    BeehiveBy beehive.govt.nz
    22 hours ago
  • Removing red tape to help early learners thrive
    The Government is making legislative changes to make it easier for new early learning services to be established, and for existing services to operate, Associate Education Minister David Seymour says. The changes involve repealing the network approval provisions that apply when someone wants to establish a new early learning service, ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • RMA changes to cut coal mining consent red tape
    Changes to the Resource Management Act will align consenting for coal mining to other forms of mining to reduce barriers that are holding back economic development, Resources Minister Shane Jones says. “The inconsistent treatment of coal mining compared with other extractive activities is burdensome red tape that fails to acknowledge ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • McClay reaffirms strong NZ-China trade relationship
    Trade, Agriculture and Forestry Minister Todd McClay has concluded productive discussions with ministerial counterparts in Beijing today, in support of the New Zealand-China trade and economic relationship. “My meeting with Commerce Minister Wang Wentao reaffirmed the complementary nature of the bilateral trade relationship, with our Free Trade Agreement at its ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Prime Minister Luxon acknowledges legacy of Singapore Prime Minister Lee
    Prime Minister Christopher Luxon today paid tribute to Singapore’s outgoing Prime Minister Lee Hsien Loong.   Meeting in Singapore today immediately before Prime Minister Lee announced he was stepping down, Prime Minister Luxon warmly acknowledged his counterpart’s almost twenty years as leader, and the enduring legacy he has left for Singapore and South East ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • PMs Luxon and Lee deepen Singapore-NZ ties
    Prime Minister Christopher Luxon held a bilateral meeting today with Singapore Prime Minister Lee Hsien Loong. While in Singapore as part of his visit to South East Asia this week, Prime Minister Luxon also met with Singapore President Tharman Shanmugaratnam and will meet with Deputy Prime Minister Lawrence Wong.  During today’s meeting, Prime Minister Luxon ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Antarctica New Zealand Board appointments
    Foreign Minister Winston Peters has made further appointments to the Board of Antarctica New Zealand as part of a continued effort to ensure the Scott Base Redevelopment project is delivered in a cost-effective and efficient manner.  The Minister has appointed Neville Harris as a new member of the Board. Mr ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Finance Minister travels to Washington DC
    Finance Minister Nicola Willis will travel to the United States on Tuesday to attend a meeting of the Five Finance Ministers group, with counterparts from Australia, the United States, Canada, and the United Kingdom.  “I am looking forward to meeting with our Five Finance partners on how we can work ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Pet bonds a win/win for renters and landlords
    The coalition Government has today announced purrfect and pawsitive changes to the Residential Tenancies Act to give tenants with pets greater choice when looking for a rental property, says Housing Minister Chris Bishop. “Pets are important members of many Kiwi families. It’s estimated that around 64 per cent of New ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Long Tunnel for SH1 Wellington being considered
    State Highway 1 (SH1) through Wellington City is heavily congested at peak times and while planning continues on the duplicate Mt Victoria Tunnel and Basin Reserve project, the Government has also asked NZ Transport Agency (NZTA) to consider and provide advice on a Long Tunnel option, Transport Minister Simeon Brown ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • New Zealand condemns Iranian strikes
    Prime Minister Christopher Luxon and Foreign Minister Winston Peters have condemned Iran’s shocking and illegal strikes against Israel.    “These attacks are a major challenge to peace and stability in a region already under enormous pressure," Mr Luxon says.    "We are deeply concerned that miscalculation on any side could ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Huge interest in Government’s infrastructure plans
    Hundreds of people in little over a week have turned out in Northland to hear Regional Development Minister Shane Jones speak about plans for boosting the regional economy through infrastructure. About 200 people from the infrastructure and associated sectors attended an event headlined by Mr Jones in Whangarei today. Last ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Health Minister thanks outgoing Health New Zealand Chair
    Health Minister Dr Shane Reti has today thanked outgoing Health New Zealand – Te Whatu Ora Chair Dame Karen Poutasi for her service on the Board.   “Dame Karen tendered her resignation as Chair and as a member of the Board today,” says Dr Reti.  “I have asked her to ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Roads of National Significance planning underway
    The NZ Transport Agency (NZTA) has signalled their proposed delivery approach for the Government’s 15 Roads of National Significance (RoNS), with the release of the State Highway Investment Proposal (SHIP) today, Transport Minister Simeon Brown says.  “Boosting economic growth and productivity is a key part of the Government’s plan to ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Navigating an unstable global environment
    New Zealand is renewing its connections with a world facing urgent challenges by pursuing an active, energetic foreign policy, Foreign Minister Winston Peters says.   “Our country faces the most unstable global environment in decades,” Mr Peters says at the conclusion of two weeks of engagements in Egypt, Europe and the United States.    “We cannot afford to sit back in splendid ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • NZ welcomes Australian Governor-General
    Prime Minister Christopher Luxon has announced the Australian Governor-General, His Excellency General The Honourable David Hurley and his wife Her Excellency Mrs Linda Hurley, will make a State visit to New Zealand from Tuesday 16 April to Thursday 18 April. The visit reciprocates the State visit of former Governor-General Dame Patsy Reddy ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Pseudoephedrine back on shelves for Winter
    Associate Health Minister David Seymour has announced that Medsafe has approved 11 cold and flu medicines containing pseudoephedrine. Pharmaceutical suppliers have indicated they may be able to supply the first products in June. “This is much earlier than the original expectation of medicines being available by 2025. The Government recognised ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • NZ and the US: an ever closer partnership
    New Zealand and the United States have recommitted to their strategic partnership in Washington DC today, pledging to work ever more closely together in support of shared values and interests, Foreign Minister Winston Peters says.    “The strategic environment that New Zealand and the United States face is considerably more ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Joint US and NZ declaration
    April 11, 2024 Joint Declaration by United States Secretary of State the Honorable Antony J. Blinken and New Zealand Minister of Foreign Affairs the Right Honourable Winston Peters We met today in Washington, D.C. to recommit to the historic partnership between our two countries and the principles that underpin it—rule ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • NZ and US to undertake further practical Pacific cooperation
    Foreign Minister Winston Peters has announced further New Zealand cooperation with the United States in the Pacific Islands region through $16.4 million in funding for initiatives in digital connectivity and oceans and fisheries research.   “New Zealand can achieve more in the Pacific if we work together more urgently and ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Government redress for Te Korowai o Wainuiārua
    The Government is continuing the bipartisan effort to restore its relationship with iwi as the Te Korowai o Wainuiārua Claims Settlement Bill passed its first reading in Parliament today, says Treaty Negotiations Minister Paul Goldsmith. “Historical grievances of Te Korowai o Wainuiārua relate to 19th century warfare, land purchased or taken ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Focus on outstanding minerals permit applications
    New Zealand Petroleum and Minerals is working to resolve almost 150 outstanding minerals permit applications by the end of the financial year, enabling valuable mining activity and signalling to the sector that New Zealand is open for business, Resources Minister Shane Jones says.  “While there are no set timeframes for ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Applications open for NZ-Ireland Research Call
    The New Zealand and Irish governments have today announced that applications for the 2024 New Zealand-Ireland Joint Research Call on Agriculture and Climate Change are now open. This is the third research call in the three-year Joint Research Initiative pilot launched in 2022 by the Ministry for Primary Industries and Ireland’s ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Tenancy rules changes to improve rental market
    The coalition Government has today announced changes to the Residential Tenancies Act to encourage landlords back to the rental property market, says Housing Minister Chris Bishop. “The previous Government waged a war on landlords. Many landlords told us this caused them to exit the rental market altogether. It caused worse ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Boosting NZ’s trade and agricultural relationship with China
    Trade and Agriculture Minister Todd McClay will visit China next week, to strengthen relationships, support Kiwi exporters and promote New Zealand businesses on the world stage. “China is one of New Zealand’s most significant trade and economic relationships and remains an important destination for New Zealand’s products, accounting for nearly 22 per cent of our good and ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Freshwater farm plan systems to be improved
    The coalition Government intends to improve freshwater farm plans so that they are more cost-effective and practical for farmers, Associate Environment Minister Andrew Hoggard and Agriculture Minister Todd McClay have announced. “A fit-for-purpose freshwater farm plan system will enable farmers and growers to find the right solutions for their farm ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • New Fast Track Projects advisory group named
    The coalition Government has today announced the expert advisory group who will provide independent recommendations to Ministers on projects to be included in the Fast Track Approvals Bill, say RMA Reform Minister Chris Bishop and Regional Development Minister Shane Jones. “Our Fast Track Approval process will make it easier and ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Pacific and Gaza focus of UN talks
    Foreign Minister Winston Peters says his official talks with the United Nations Secretary-General Antonio Guterres in New York today focused on a shared commitment to partnering with the Pacific Islands region and a common concern about the humanitarian catastrophe in Gaza.    “Small states in the Pacific rely on collective ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Government honours Taranaki Maunga deal
    The Government is honouring commitments made to Taranaki iwi with the Te Pire Whakatupua mō Te Kāhui Tupua/Taranaki Maunga Collective Redress Bill passing its first reading Parliament today, Treaty Negotiations Minister Paul Goldsmith says. “This Bill addresses the commitment the Crown made to the eight iwi of Taranaki to negotiate ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Enhanced partnership to reduce agricultural emissions
    The Government and four further companies are together committing an additional $18 million towards AgriZeroNZ to boost New Zealand’s efforts to reduce agricultural emissions. Agriculture Minister Todd McClay says the strength of the New Zealand economy relies on us getting effective and affordable emission reduction solutions for New Zealand. “The ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • 110km/h limit proposed for Kāpiti Expressway
    Transport Minister Simeon Brown has welcomed news the NZ Transport Agency (NZTA) will begin consultation this month on raising speed limits for the Kāpiti Expressway to 110km/h. “Boosting economic growth and productivity is a key part of the Government’s plan to rebuild the economy and this proposal supports that outcome ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • New Zealand Biosecurity Awards – Winners announced
    Two New Zealanders who’ve used their unique skills to help fight the exotic caulerpa seaweed are this year’s Biosecurity Awards Supreme Winners, says Biosecurity Minister Andrew Hoggard. “Strong biosecurity is vital and underpins the whole New Zealand economy and our native flora and fauna. These awards celebrate all those in ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Attendance action plan to lift student attendance rates
    The Government is taking action to address the truancy crisis and raise attendance by delivering the attendance action plan, Associate Education Minister David Seymour announced today.   New Zealand attendance rates are low by national and international standards. Regular attendance, defined as being in school over 90 per cent of the ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • World must act to halt Gaza catastrophe – Peters
    Foreign Minister Winston Peters has told the United Nations General Assembly (UNGA) in New York today that an immediate ceasefire is needed in Gaza to halt the ongoing humanitarian catastrophe.    “Palestinian civilians continue to bear the brunt of Israel’s military actions,” Mr Peters said in his speech to a ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Speech to United Nations General Assembly: 66th plenary meeting, 78th session
    Mr President,   The situation in Gaza is an utter catastrophe.   New Zealand condemns Hamas for its heinous terrorist attacks on 7 October and since, including its barbaric violations of women and children. All of us here must demand that Hamas release all remaining hostages immediately.   At the ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Government woolshed roadshow kicks off
    Today the Government Agriculture Ministers started their national woolshed roadshow, kicking off in the Wairarapa. Agriculture Minister Todd McClay said it has been a tough time for farmers over the past few years. The sector has faced high domestic inflation rates, high interest rates, adverse weather events, and increasing farm ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • PM heads to Singapore, Thailand, and Philippines
    Prime Minister Christopher Luxon will travel to Singapore, Thailand and the Philippines this week (April 14-20), along with a senior business delegation, signalling the Government’s commitment to deepen New Zealand’s international engagement, especially our relationships in South East Asia. “South East Asia is a region that is more crucial than ever to ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Prime Minister launches Government Targets
    Prime Minister Christopher Luxon has announced further steps to get New Zealand back on track, launching nine ambitious Government Targets to help improve the lives of New Zealanders. “Our Government has a plan that is focused on three key promises we made to New Zealanders – to rebuild the economy, ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Natural hydrogen resource should be free of Treaty claims entanglement
    Natural hydrogen could be a game-changing new source of energy for New Zealand but it is essential it is treated as a critical development that benefits all New Zealanders, Resources Minister Shane Jones says. Mr Jones is seeking to give regulatory certainty for those keen to develop natural, or geological, ...
    BeehiveBy beehive.govt.nz
    1 week ago

Page generated in The Standard by Wordpress at 2024-04-16T21:51:23+00:00