The minimum wage is going up 50c to $12.50 and the minimum wage for young people will rise by 40c to $10 from April 1.
Labour Minister Kate Wilkinson said the government tried to balance job protection and fair pay.
I have mixed feelings about the minimum wage concept. I accept the need to protect vulnerable workers from exploitation. The counter-point for that is the employers’ right to pay workers what a job, and the way they do it, is worth.
One of the considerations for that is what the business can afford because while the government sets the minimum wage it’s individual employers who have to find the money to pay it.
Wages are one of the highest costs for many businesses and as the recession bites deeper higher wages could result in fewer jobs or less hours.
The Tiwai Point smelter has already responded to the fall in aluminium prices by asking workers to volunteer for working reduced hours or take unpaid leave.
Homepaddock 