"Some of the main employers in Northland are forestry, farming and tourism, which traditionally have low rates of pay. We have to work to change the profile of Northland businesses so we have more higher paying jobs," he said.
That could be done through industries such as information technology and adding value by processing of the region's wood instead of exporting it to be processed overseas.
"We need to look at where people are being employed, too. Some types of industry have low numbers of employees, but contribute more to GDP and have higher wages. About 95 per cent of Northland's businesses are small businesses that may only employ one or two people so we need to make it easier for those businesses to expand to employ more people as they grow," he said.
Mr Collins was particularly concerned at the low incomes of Maori, saying it was vital that more was done on Maori education in the North.
"We need to make sure that we have as many of Maori students as possible leave school with NCEA Level 2. You need Level 2 to have a real chance of getting good employment."
He said Treaty of Waitangi settlements for Northland iwi and hapu should also improve employment and development opportunities for Maori.