WELLINGTON, Dec 17 (NNN-RNZ) – New Zealand’s minimum wage rate will increase by 1.5 percent to 23.5 NZ dollars an hour, from Apr 1, 2025, the smallest percentage increase in about three decades.
The upcoming minimum wage rise follows a 2-percent increase last Apr, to 23.15 NZ dollars an hour, from 22.7 NZ dollars.
“The New Zealand economy is still recovering from a sustained period of high interest rates and recessionary conditions. In that context, delivering a modest increase in the minimum wage strikes the right balance between supporting workers and limiting further costs on business,” Workplace Relations and Safety Minister, Brooke van Velden, said today.
Training and starting wage rates will rise to 18.8 NZ dollars, 80 percent of the adult minimum wage, van Velden said.
However, the opposition Labour Party said, the government has effectively cut wages for New Zealand’s lowest paid workers.
“With inflation at 2.2 percent, the government’s decision to only lift the minimum wage by 1.5 percent means their take-home pay goes backwards,” said Labour workplace relations and safety spokesperson, Camilla Belich.
The opposition Green Party spokesperson for Workplace Relations, Teanau Tuiono, said that, with inflation projected to exceed the increase, “it’s a real terms pay reduction for many.” (1 NZ dollar equals 0.58 U.S. dollar)– NNN-RNZ
