Minimum wages are set to incerase by $1, from $10.25 to $11.25 on April 1 next year. This is great news for unions and workers who have long been struggling to get a wage increase.
Although, I would have preferred Youth Rates to have been abolished, I am pleased that they too will get an increase with an 80c wage rise to $9 an hour.
I am slightly worried about how businesses may react to this, and therefore not employ unskilled workers and young people. However, there are plenty of jobs which skilled persons usually do not apply for and therefore I do not feel that there is suddenly going to a massive increase in the unemployment levels - as some people believe this is what will happen.
Hopefully under the Labour Government we will get a minimum wage of $12 an hour at the end of 2008, because chances of that happening under a National Government are slim to none.
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2 comments:
Everyone starts off unskilled you know...
Wouldn't be profitable to hire anybody unskilled if it means paying them that much per hour.
I would be most interested to see how this will affect businesses hiring more people or retaining present staffing levels.
I understand how "nice" and "fluffy" this policy looks on paper... but we have to look at this from the side of employers too. Labour has already added other taxes and red tape costs to business already, I'd hate to be a small to middle sized business owner.
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