Building the economy from the bottom up

Clayton Mitchell
New Zealand First MP

No tree starts its growth from fruit to stem. You plant a seed, nurture it and it grows into a strong tree.  You then use the seeds to plant more trees, and the next thing you know, you have an orchard or a forest.

The same theory applies to our economy, thereby increasing the minimum wage to a living wage will drive our economy, increase productivity and create business, jobs and wealth opportunities for Kiwis.

However, to ensure this is successful we must ensure we don't hyper-inflate our economy with increased costs from wages or decrease profitability for business, as this will have a major negative impact on our economy.

Which is why the government is going to introduce a tax package for businesses to ensure they can afford to pay the living wage as it is slowly introduced over the next three years.

With the introduction of the living wage, we know there is more money to go around.

It means more PAYE and GST payments to the government and more money to go around, boosting the economy.

It also means less input required for family assistance packages or wage subsidies by the government.

We believe that a fair day's pay should be received for a fair day's work. That income should enable a person working full time to fully sustain themselves and their dependents, as we once used to enjoy here in New Zealand.

Any self-respecting, hard working person should not have to rely on state assistance to top up their income, which many people currently have to do to make ends meet.

We, as a government, have a responsibility to look after our country, which means looking after and balancing the economic, social and environmental leaders that define us as a great nation.


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