Young people between
the ages of 16-19
will be paid as little
as $10.80 per hour
under the government's
new youth wage,
being introduced in April next year.
The government's acted on
an election promise,
saying it'll create
demand for young people
by giving employers an
incentive to take them on.
The move has come under fire
by unions and opposition parties.
Youth today will probably
wonder what they're worth.
It definitely differs
to the government definition.
The minimum wage is already low,
so why is it being
decreased for youth?
It will allow employers to
pay 80% of the minimum wage,
or $10.80 an hour,
for up to six months
to their youth employees,
regardless of whether it's
the teenager's first job or not.
It will also apply
to those aged 18-19
who have been on a benefit
for more than six months.
These changes will hopefully make
youth more appealing to employers.
It's another avenue
they've come up with
to address the current issues.
This Maori youth says
youth might have limited experience,
but if they have studied
for the qualifications,
then they should be entitled
to the same pay as adults -
$13.50 an hour.
This will just encourage
families to move to Australia.
The government says
these changes will open up more
employment opportunities.
Changes will create opportunities.
These changes will come into
effect as of April next year.
Irena Smith, Te Karere.
Maori Party MP Te Ururoa Flavell
joins us now from Rotorua.
Tena koe, Te Ururoa.
Do you support the youth wage?
No.
We're saying that if the work
is the same,
regardless of whether
they are young or old,
they should
be paid the same.
We've long been in support of an
increase to the minimum wage to $16,
so it eases living costs such as
buying groceries and petrol -
those kinds of things.
So we don't support this youth wage.
The Service and Food Workers
Union says
the minimum wage will condemn
youth to poverty.
Do you agree?
Well, the problem is that the youth
are already being asked to work
for next to nothing.
They should be paid
according to their job.
Some might say that
this opens the door for youth
to enter into the workforce,
but the thing is, if government keep
supporting initiatives like
Community Max and JobPlus,
then it addresses the same issue -
youth still enter the workforce.
Now, these would probably be cut,
and youth will be unemployed again.
Let's take a look at that side -
Business NZ says having to pay
unskilled teenagers at adult rates
makes it hard for many
young people to get a job.
They say it's a great move.
What are your thoughts?
I don't agree with
what they're saying.
If I see it with my
own eyes, then maybe.
But if we take a look at
Australia's example,
youth are paid the same rate as
their older counterparts.
That could be why people
jump across there.
So I don't agree with their stance.
The government's quarterly
employment survey shows almost
40,000 jobs have gone in
manufacturing over four years
due to the recession
and the rising dollar.
The Greens say it's a crisis.
John Key says that's rubbish.
Who is right?
Who knows?
We know there are those in
communities like Kawerau
and the West Coast that have
felt the effect of job cuts,
so there are parts of this country
that are facing unemployment
and financial struggle.
Then there are those
who are looking forward,
who don't seem to feel
the effects of hard times.
So maybe it's a regional issue.
Maybe a resolution can be found
if the two sides pull together.
Te Ururoa Flavell,
thank you for joining us.
We've had a lot of feedback
on our Facebook page on youth wages.
