"The cost of living is less here, and that will be reflected in the wages. I don't foresee that's going to change.
"But the attraction of the Tauranga lifestyle will keep people coming here.
"They come down here and think it's a fantastic lifestyle. They are prepared to take less money to drive to work in less time and see their kids play sport," he said.
"It's a huge benefit we have got."
Claudia Nelson, owner/operator of Tauranga-based recruitment agency The Right Staff, agreed that many people moving to Tauranga were happy to take pay cuts.
High-tier workers earning $120,000 to $130,000 in Tauranga had often taken a pay cut of $20,000 to $30,000, she said.