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Contractors working for the government will receive a living wage under a new Labor Party policy announced today.
The current government extended a living wage to all people employed in basic public service, but that change excluded contractors.
But people who work as security guards, cleaners, and catering for the public service are often contractors rather than employees.
Economic development spokesman Phil Twyford said the change would boost family income.
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“Paying contract workers a living wage will be a huge boost to their household income and improve life for them and their families.
“This money will be spent in the community, which means it will benefit the overall economy at the same time. Paying the living wage to contract workers is a win for everyone, ”Twyford said.
Labor says the policy will likely boost the income of “thousands” of contractors, who will earn a living wage of $ 22.10 an hour.
Living Wage is calculated independently each year by the New Zealand Family Center’s Social Policy Unit.
People would be paid a living wage as soon as their contracts were renewed. When fully implemented, Labor estimates the policy would cost $ 18 million a year.
The policy only covers basic public service, which means that people who work for DHB and other parts of the state sector in general would be initially excluded, however, the party says that the living wage will also be extended to these contractors “as allow Covid recovery. ” .
Dom Thomas / RNZ
Labor economic development spokesman Phil Twyford promised that Labor would pay a living wage to all government contractors.
Labor said the changes could be worth $ 100 a week for some people.
Labor relations spokesman Andrew Little said the policy would raise wages and ease financial stress.
“Work has always been synonymous with fairness at work, high-quality jobs with high wages, and a better quality of life for our workers.
“That’s why in 2018 we made sure that all basic public service employees received at least the living wage, including full-time, part-time and casual employees, and 70 percent of those who benefited from the increase. they were women, ”Little said.
“Covid-19 has shed light on the many workers who do important work in our community but are not paid well for it.
We can do much better to increase wages and ease financial stress for hard-working New Zealanders, ”Little said.
Annie Newman, Aotearoa National Living Wage Coordinator and E Tū Union National Campaign Director, said this type of policy provides hope that the economy can shift from a low-wage economy to one where people can lead a dignified life.
She said that a civilized society is not one in which workers have to work 70 hours a week to support their families.
“We pay taxes and we want our communities to prosper.”
Rose Kavapalu, who works as a cleaner, said the living wage would allow her to spend more time with her family and grandchildren, whom she hardly ever sees.
Ricky Wilson / Stuff
Rose Kavapalu received special praise as an essential services worker from Prime Minister Jacinda Ardern during a press conference on the coronavirus in April.
She previously said Stuff she worked 65 hours as a cleaner at the Ōtāhuhu police station and at St Cuthberts College.
With the living wage, he could resign from one of his positions.
Faatalatala Matamu, a security guard at the Ministry of Social Development MSD said he received his first living wage package last week.
He said he worked long hours and faced abuse from the public, including once when he received “a hideout” but could not afford to take time off from work.
“Before we were struggling,” he said, adding that he had been borrowing to survive.
He said that now he could spend money on his grandchildren and think about buying a house.
