Minimum Wage in New Zealand
Introduction
Inside of the Literature Review, the writer will emphasize on the idea of a minimum wage that affects the current increase in New Zealand. The main point of this Literature Review is to give an idea of the impacts of the positive and negative of the New Zealand wage rise. It also states some arguments that are between many companies whether a high wages is better or low wages. It reflects on many stakeholders that are involved in the issue which helps us understand the minimum wage better.
The question now is what is minimum wage? It is defined as lowest hourly depending on everyday work basis or monthly wage that is legally give to employees. Many employees work really hard to earn this pay because they either don’t have a proper degree or may have many other personal reasons. There is always an argument whether the minimum wage is effective for people to have a good living or not. Some say it helps them have a normal life and reduces poverty. Others believe that if the minimum wage is good then it would increase the rate of unemployment especially for people who have no degree and some who are disabled to work. Obviously it would be biases because there are some who are skilled and some who are not.
History
The minimum wage started in 1894 in New Zealand (Timmins, 2006). In many countries there is a legislation passed regarding minimum wage by 90% of the government. In many countries the rates are different such as in the U.S people are paid 25$ per hour under the Federal Law. The minimum wage is brought so that simple needs of the workers or employees are met (Labour Office, 2006). It just means that the lowest rate at which employees sell their labour.
The reason that the minimum wage was set, because the government wanted to control the sweat shops in manufacturing industries. Most of the employees that worked there were women and young teenagers. They set the rate by how much work they did. Many employees were dissatisfied because they
Inside of the Literature Review, the writer will emphasize on the idea of a minimum wage that affects the current increase in New Zealand. The main point of this Literature Review is to give an idea of the impacts of the positive and negative of the New Zealand wage rise. It also states some arguments that are between many companies whether a high wages is better or low wages. It reflects on many stakeholders that are involved in the issue which helps us understand the minimum wage better.
The question now is what is minimum wage? It is defined as lowest hourly depending on everyday work basis or monthly wage that is legally give to employees. Many employees work really hard to earn this pay because they either don’t have a proper degree or may have many other personal reasons. There is always an argument whether the minimum wage is effective for people to have a good living or not. Some say it helps them have a normal life and reduces poverty. Others believe that if the minimum wage is good then it would increase the rate of unemployment especially for people who have no degree and some who are disabled to work. Obviously it would be biases because there are some who are skilled and some who are not.
History
The minimum wage started in 1894 in New Zealand (Timmins, 2006). In many countries there is a legislation passed regarding minimum wage by 90% of the government. In many countries the rates are different such as in the U.S people are paid 25$ per hour under the Federal Law. The minimum wage is brought so that simple needs of the workers or employees are met (Labour Office, 2006). It just means that the lowest rate at which employees sell their labour.
The reason that the minimum wage was set, because the government wanted to control the sweat shops in manufacturing industries. Most of the employees that worked there were women and young teenagers. They set the rate by how much work they did. Many employees were dissatisfied because they
References: • Department of labour (2010). Minimum Wage Review 01-04-2010. Retrieved from http://www.ers.dol.govt.nz/pay/pdfs/minimum-wage-review-2010 • International Labour Organisation, (2006). Minimum wages policy 2006. Retrieved from http://www.ilo.org/public/english/protection/condtrav/pdf/infosheets/w-1.pdf • Minimum Wage Rate as of 1 April (2010) http://www.ers.dol.govt.nz.html retrieved from http://www.ers.dol.govt.nz/pay/minimum.html • Minimum Wage Increased to $12.75 (27-01-2010) http://www.beehive.govt.nzr retrieved from http://www.beehive.govt.nz/release/minimum+wage+increased+1250+0 • Minimum wage rise hits sour note with Maori Party (28-01-2010) http://www.odt.co.nz/news/politics/90893/minimum-wage-rise-hits-sour-note-with-maori-party • New Zealand to bridge the wage gap between Australia, NZ (22-07-2009) retrieved from http://www.radioaustralia.net.au/pacbeat/stories/200907/s2633533.htm • Regulatory Impact Statement- Minimum Wage Review (01-04-2009) http://www.dol.govt.nz retrieved from http://www.dol.govt.nz/publications/general/ris-min-wage-2010/minimum_04.asp