Whanganui Chronicle
  • Whanganui Chronicle home
  • Latest news
  • Sport
  • Business
  • Opinion
  • Lifestyle
  • Property
  • Death notices
  • Classifieds

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • On The Up
  • Sport
  • Business
  • Opinion
  • Lifestyle
  • Property
    • All Property
    • Residential property listings
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology

Locations

  • Taranaki
  • National Park
  • Whakapapa
  • Ohakune
  • Raetihi
  • Taihape
  • Marton
  • Feilding
  • Palmerston North

Media

  • Video
  • Photo galleries
  • Today's Paper - E-Editions
  • Photo sales
  • Classifieds

Weather

  • New Plymouth
  • Whanganui
  • Palmertson North
  • Levin

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / Whanganui Chronicle

Living wage is not practical

By John Maslin
Whanganui Chronicle·
14 Feb, 2013 06:26 PM3 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

Pushing for a living wage as opposed to a minimum wage has been tagged impractical in the current economic climate by a Wanganui budget adviser.

Sandy Fage, co-ordinator of the Wanganui Budget Advisory Service, said boosting the wage from the present $12 an hour to $18.40 would create a price spiral that would mean any wage increases would be nullified.

A coalition of union and community groups has proposed a "living wage" of $18.40 was needed. That figure is based on the cost of Otago University's "basic" food diet for a couple with two children ($226 a week), the national lower-quartile rent for a three-bedroom house of $275 a week, and other costs totalling $537 a week based on the average spending by families earning below the median household income for couples with two children.

Minister of Labour Simon Bridges said the idea was subjective and simplistic and would not be a Government priority. But he said the minimum wage would continue to increase.

The Government is expected to decide whether or not it moves to a $13.50-an-hour minimum wage - it is currently $13 - soon with the new rate applying from April 1.

Advertisement
Advertise with NZME.
Advertisement
Advertise with NZME.

But Ms Fage said it should not ignore the fact that the minimum wage for most people was inadequate.

"Even those doing part-time work and getting a benefit are really struggling," she said.

"Then you look at the numbers of businesses that have closed or collapsed in recent weeks, and you get an idea of the slump the economy is in."

Advertisement
Advertise with NZME.

She said historically any impact of a global recession tended to be felt in NZ as a trickle-down effect: "It may not be a sudden impact, but the reality is we're being affected a lot more than is being publicised."

Ms Fage said both employees and employers were struggling and no common ground could be found at the moment.

"There's no easy fix such as simply increasing benefits. We're in a depression and a lot of people are feeling it."

She said her advisers were dealing with people who were not misspending their incomes, but with no overtime being worked, and facing increasing costs in power, food and fuel, they could not make ends meet.

"It breaks your heart dealing with them," she said.

Ms Fage said her service was aware Winz was not giving out food grants at the rate it used to because of apparent budget restraints, and the city's food bank was having to restrict the number of food parcels it was distributing.

She said obviously someone on a $12 minimum wage would "welcome" an increase to $18.40, "but that move would have a huge impact on everyone, including those receiving an increase to their minimum wage".

"We need to see more jobs. That's the bottom line."

Save

    Share this article

Latest from Whanganui Chronicle

Whanganui Chronicle

'Please do not do it': Man inflicted intense pain on woman during violation

04 Jul 08:00 AM
Whanganui Chronicle

'Evocative tribute': Exhibition explores Whanganui's spiritual heritage

04 Jul 03:00 AM
Whanganui Chronicle

Central North Island feels impact of heavy rain

04 Jul 02:44 AM

There’s more to Hawai‘i than beaches and buffets – here’s how to see it differently

sponsored
Advertisement
Advertise with NZME.

Latest from Whanganui Chronicle

'Please do not do it': Man inflicted intense pain on woman during violation

'Please do not do it': Man inflicted intense pain on woman during violation

04 Jul 08:00 AM

Judge Tompkins said Michael Mead, 64, posed a 'very high risk' in the future.

'Evocative tribute': Exhibition explores Whanganui's spiritual heritage

'Evocative tribute': Exhibition explores Whanganui's spiritual heritage

04 Jul 03:00 AM
Central North Island feels impact of heavy rain

Central North Island feels impact of heavy rain

04 Jul 02:44 AM
Premium
Tradie's remarkable revival of long-lost NZ clothing brand from his backyard shed

Tradie's remarkable revival of long-lost NZ clothing brand from his backyard shed

03 Jul 10:43 PM
From early mornings to easy living
sponsored

From early mornings to easy living

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • Whanganui Chronicle e-edition
  • Manage your print subscription
  • Manage your digital subscription
  • Subscribe to Herald Premium
  • Subscribe to the Whanganui Chronicle
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • Whanganui Chronicle
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Viva
  • NZ Listener
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven Car Guide
  • iHeart Radio
  • Restaurant Hub
NZME
  • NZME Events
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • © Copyright 2025 NZME Publishing Limited
TOP