Category: Politics

The economy shrank 1% this quarter and New Zealand has tumbled into the depths of a recession of Nicola Willis’ making.

“Nicola’ Willis’ cuts and austerity has fed the recessionary fire, and today’s GDP figures show this, recording the weakest 6-month period since 1991, excluding COVID-19,” said Labour finance spokesperson Barbara Edmonds.

“There’s no creative accounting that Nicola can do to make these GDP figures better. This amount of economic shrink in six months is a dire result.

“A year on and we are in no better position. The economy has not grown, Kiwis are no better off, and even more are out of work.

“After talking all year about growth and productivity, the figures show that this is not the case.
We have more debt and nothing to show for it.

“Nicola Willis needs to focus on getting results in the real world. The Government should be doing what it can to support and grow the economy, focus on creating jobs and opportunities, not slashing and burning,” said Barbara Edmonds.

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Working people are going backwards while company directors are being given huge pay hikes.

The Government has signed off on massive pay increases for company directors, while working people on the lowest wages keep going backwards and household bills keep going up.

“Under National, New Zealand’s lowest paid workers get a real-terms pay cut while government directors have had their pay hiked,” Labour Leader Chris Hipkins said.

“In percentage terms, Crown Infrastructure Partners directors get a 104% increase, while someone on the minimum wage gets a 1.5% increase following the government’s announcement it won’t raise wages in line with inflation for the second year in a row.

“Transpower has just been given the green light to hike up power bills while their directors get a 56% pay hike, and despite Nicola Willis’ attempts to blame anybody but herself for her botched ferries decision, she still saw fit to sign off on an 89% directors fee increase for KiwiRail.

“National has its priorities all wrong and is more interested in giving more to those already doing well, than helping ordinary Kiwis with the cost of living.

“It shows how completely out of touch Christopher Luxon and Nicola Willis are after only one year in office,” Chris Hipkins said.

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A Bill to modernise the role of Justices of the Peace (JP), ensuring they remain active in their communities and connected with other JPs, has been put into the ballot.

“JPs hold a key and trusted role within our communities and it’s important they are equipped with the resources and support to serve their communities well,” Labour MP Jenny Salesa said.

“I have been working with the Auckland JP Association for more than a year now to address some of the issues raised with JPs and MPs.

“The proposed Bill aims to ensure that all New Zealanders have access to consistent, high-quality, and timely JP services, while supporting the recruitment, retention, and professional development of JPs.

“Proposed changes include JPs being reappointed every five years and required to join the JP association. They will also be required to undergo a minimum of two hours of training annually and perform duties for at least 12 individuals per registration year.

“Existing JPs will have a four-year grace period to meet the new training and service requirements.

“I think of constituents in my own electorate of Pānmure-Ōtāhuhu who rely on these services. Some who will be handling legal documents for the first time on their own, and others who might need extra support.

“Updating this legislation reflects a balanced approach to modernising the JP system, ensuring accountability, consistency, and quality in services while respecting the voluntary nature JPs have in serving their communities,” Jenny Salesa said.

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Labour will continue to fight unsustainable and destructive projects that are able to leap-frog environment protection under National’s Fast-track Approvals Bill.

“National’s fast-track bill passing into law is bad news for New Zealand’s environment, and paves the way for significant harm not only to our water, air and climate, but for our communities,” Labour environment spokesperson Rachel Brooking said.

“This legislation fast-tracks the most radical and unbalanced consenting regime in living memory, including for projects that will do significant harm to the environment.

“Labour remains committed to standing up for the environment, iwi, and communities that will be affected by this legislation. We will continue to support development that protects New Zealand’s unique natural heritage and prioritises sustainability for future.

“This is deeply flawed legislation that prioritises short-term profit over the long-term sustainable management of New Zealand’s environment, and locks communities out of decision-making.

“Labour’s fast-track process showed that consenting could be done quickly and responsibly. It consented housing, renewable energy, and infrastructure projects without sacrificing environmental protections.

“This Bill allows the environmental protections to be overridden so private projects that would otherwise not get consent can get the go-ahead, like seabed mining, coal mining, and waste incineration.

“It flies in the face of official advice, which says sustainable management must remain central to any fast-track process.

“We will be keeping a close watch on these projects and continue to call out any attempts to bypass proper environmental protections and the impact they will have on communities as these projects progress,” Rachel Brooking said.

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The Government’s latest move to reduce the earnings of migrant workers will not only hurt migrants but it will drive down the wages of Kiwi workers.

“This is a disgraceful deal done by National and ACT to allow businesses to pay migrant workers less,” Labour immigration spokesperson Phil Twyford said.

“Not content to abolish Fair Pay Agreements, impose 90-day fire at will trial periods, and deliver two effective cuts to the minimum wage, now this Government is taking money out of the pockets of migrant workers by getting rid of the requirement they be paid at least the median wage.

“This will remove the incentive for employers to hire local staff, and encourage employers to rely on migrant workers to fill minimum wage jobs.

“National cries crocodile tears about low wages in New Zealand but consistently works to lower wages and weaken the bargaining power of workers.

“The Minister made a big song and dance about the poor treatment of migrant workers when she was in Opposition but since becoming a Minister she has cut in half the time exploited migrant workers can get an open work visa, and now she is drastically cutting the wages of migrant workers,” Phil Twyford said.

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With more debt and a larger deficit, Nicola Willis’ reputation is in tatters after her failure to return the Government’s books to surplus.

“The Half Year Economic and Fiscal Update is the rotten cherry on top of Nicola Willis’ first year as Finance Minister,” Labour finance spokesperson Barbara Edmonds said.

“The damage she has done to the economy means the recession will be longer and the recovery harder.

“A series of poor decisions on her part mean that unemployment is on the rise, there are fewer jobs and a Kiwi leaves every six and a half minutes for greener pastures.

“She is also attempting to manipulate the narrative by magicking up a new way to measure the deficit, but New Zealanders will see through her spin.

“Struggling to balance the books after choosing tax cuts – on top of outrageous tax breaks for landlords and tobacco companies – she’s now looking to pick the pockets of Kiwis through sneaky new taxes to pay for them.

“The Government has no plan to grow the economy other than talking about it. That’s not how the real world works – National is out of touch,” Barbara Edmonds said.

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For the second year running, the government has effectively cut wages for the lowest paid workers in New Zealand.

“With inflation at 2.2%, the government’s decision to only lift the minimum wage by 1.5% means their take home pay goes backwards,” Labour workplace relations and safety spokesperson Camilla Belich.

“The groceries and other goods they’re purchasing rise with inflation, so the money is worth less. The government has announced an effective wage cut, right before Christmas.

“Many lower paid New Zealanders would’ve been hoping they’d be back on the up come April next year, given the government cut their wages in April this year too. Despite advice that recommended a 4% increase to the minimum wage, they chose to only lift it by half that.

“This Government dished out $2.9 billion to landlords and $216 million to tobacco companies this year, but have only found 35c for a minimum wage worker.

They also scrapped the top up for workers with disabilities. They are looking after the wrong people,” Camilla Belich said.

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All the Government has achieved from its announcement today is to continue to push responsibility back on councils for its own lack of action to help bring down skyrocketing rates.

“Right across the country, people are facing up to double digit rates increases as a result of this Government’s political posturing on water infrastructure and refusal to help councils with new revenue,” Labour’s local government spokesperson Kieran McAnulty said.

“Today Christopher Luxon and Simeon Brown stood at the podium and unironically said councils’ funds are tight, so therefore housing shouldn’t be a priority for them.

“They said they should fund roads instead of housing people. But it shouldn’t have to be either or.

“Councils are in this situation because those same Ministers cancelled the Affordable Water Reforms, stopping the very solution to keep rates down, and then waited months to announce a worse plan.

“The Government also knows there is a longer-term problem with the ratings system, so instead of looking for a solution they dismissed all recommendations from the review into the future of local government and are doing everything possible to shift the blame onto councils.

“They’re keeping their own noses clean, rather than finding a way to bring down costs for ratepayers and I think that is cynical and disingenuous.

“Every time people get a surprise in their rates bill, look at Simeon Brown because it’s his doing,” Kieran McAnulty said.

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The Government has failed to keep its promise to ‘super charge’ the EV network, delivering just 292 chargers – less than half of the 670 chargers needed to meet its target.

“We can add this failure to the long list of ways the Government has undone progress towards a low-carbon, sustainable economy on which New Zealanders’ jobs and livelihoods depend,” Labour energy and climate spokesperson Megan Woods said.

“National missing its own self-imposed first target to install 670 chargers this year is yet another broken promise from this government.

“They have promised so much but delivered so little.

“National has cut $3 billion from climate initiatives, scrapped the clean car discount, repealed the ban on oil and gas exploration, prioritised destructive sea-bed mining over offshore wind electricity generation, and scrapped funding that helped big emitters transition to renewable energy.

“The Government talks a big game about reducing emissions but repeatedly undoes effective programmes, taking New Zealand backwards,” Megan Woods said.

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The Government’s attack on workers continues with news it is scrapping work on the Holidays Act.

“The Government must rule out cutting New Zealanders entitlements to four weeks annual leave, bereavement leave, and family violence,” Labour’s workplace relations spokesperson Camilla Belich said.

“Brooke van Velden has dramatically dumped six years of work in an ideological attack on workers’ rights.

“With the Holidays Act being one of the biggest concerns for business – scrapping work on the legislation leaves both workers and business with no certainty over the future.

“This work was a collaboration with businesses and employees to get the settings right. The Government is once again taking us backwards because it’s more interested in protecting the rights of big business rather than working people.

“The move to hours calculation rather than gross pay may lower the value of what people will get paid for holiday pay.

“Brooke van Velden’s war on workers has already seen this Government move to reduce sick leave, rush to reinstate 90-day trials and scrap Fair Pay Agreements.

“National and ACT are choosing to make life harder for workers. People deserve to have decent pay, decent leave and feel valued in the workplace,” Camilla Belich said.

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