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Minimum wage increase, the good and the bad

Alex Carter (she/her)

As of April 1st, minimum wage is increasing to $21.20 from $20.00 an hour. This announcement was made to help those Kiwi’s who have gone above and beyond during the pandemic. What effect does this increase have on students?

The minimum wage increase is being implemented by the government to support the minimum wage workers.

Minimum wage increase supports productivity within the workplace, as it drives a further incentive for staff who are now paid more while dealing with different hardships on the job.

The increase now supports low wage income and closes the gap slightly between class systems that are defined by pay roles.

Many students have part time jobs to help financially support them during their time at university, taking up jobs at the supermarket for example is often a good place to start.

In a recent survey, students have shared their concerns and issues regarding the rise. With contradicting consequences of the rise, students were initially excited to see a small raise in their income but concluded that inflation will occur in stock markets.

“I am confused as to why the government is actively trying to increase inflation with this policy when it is a topical issue that inflation is already at a concerning level” disclosed an anonymous UC student. With prices rising, affordability, especially for minimum wage individuals, is becoming increasingly difficult during the pandemic.

With covid cases on the rise, accessibility to work will be an increasing issue. Covid will inevitably stop retail, hospitality, and supermarket workers from attending their roles while they recover from the virus.

Employers may find this rise difficult, as supporting staff during the pandemic has already proven tough for smaller businesses. With an increase, employers may not be able to maintain an above minimum wage for staff. “I was previously above minimum wage, but with the upcoming increase my boss can’t afford to pay me more than he already was, so I will be back on minimum wage,” shared an anonymous UC student.

However, for people who earn more than living wage, who are on salary, their income will not change until their employer’s annual review. This makes the difference in wage gap between minimum and salary (job dependent) $1.20 smaller than previous years.

The good news is that, with a small increase in hourly wages, students will be earning more income to support their lifestyles, and with prices of petrol growing and inflation of other products, every cent counts.

Disclaimer - All quotes provided from students are taken from a survey conducted on the UCSA Noticeboard.

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Local students, nationwide ambassadors, aiding the decrease of modern slavery through legislation action

Alex Carter (she/her)

Luke Jones, a second year Political Science Major, is an Ambassador for World Vision New Zealand. His current goal, alongside others, is to have a legislation passed in Government to help mitigate perpetuation of modern slavery in the world with focus on Aotearoa. This is known as The Modern Slavery Act.

Modern slavery refers to and includes actions like forced labour and child labour, debt bondage, slavery and slavery-like practices, and human trafficking happening now.

Luke got involved with the legislation just after High School, which coincided with his progression in becoming a World Vision Advocacy Ambassador. The advocacy branch in which Luke falls in to, took on the project, which meant that he directly worked with employees of the company to develop the campaign and legislation strategies in relation to the Modern Slavery Act drive.

After extensive research, the team involved in this action have decided to make a change. The team found that, “in 2019, NZD $3.1 billion worth of risky products (products highly likely to relate to forces or child labour) were imported into our country. Further investigation showed that, every week, the average New Zealand household spends $34 per week on risky products.”

Luke shares that “currently there are over 40 million people currently estimated to be trapped in modern slavery. Within this, over 70% are women and 1 in every 4 victims of modern slavery are children.”

This legislation has been in development for 7 years, which was originally not passed in a private members bill by the John Key National Government. In the last 5 years, it was put back on the radar when Labour moved into government.

With students and other involvement from people like Luke, the goal is to give knowledge to consumers about where their products come from. While labels such as ‘made in China’ give us an indication of where the product is coming from, the legislation will promote a model where consumers have the power and knowledge about where products are coming from and the slavery risks that coincide with some corporations. This will help with supply and consumer transparency rather than intensive research conducted by consumers. UC students were a key part in this movement, alongside other students at different universities, who signed a petition in person and/or online to help mitigate perpetuation of Modern Slavery from around the world in Aotearoa. Luke Jones announced that “this wouldn’t have been possible without the students from University of Canterbury who significantly contributed to the campaign by signing the petition and having a korero with our team when we had our stall up on campus last year. Thank you!”

37,000 signatures were obtained across the nation early last year. With the target audience age range of 18-25, universities were a prime hub for advocacy amongst students.

In June 2021, Luke and other advocates delivered that petition containing 37,00 signatures to Parliament where it went to the Petition Committee. The petition is now waiting to be introduced in the House of Representatives where a final decision is to be made.