Reverse Robin Hood Budget Steals From Working People
Budget 2025 takes $12.8bn from low-income, female dominated workforces to prop up the Government's failed economic policies, said NZCTU Te Kauae Kaimahi Economist Craig Renney.
'The Government has promised this would be a growth budget, yet it has effectively cut the wages of low-income women workers. We know that one of the best ways to stimulate economic growth is by lifting wages – the Government is doing the opposite,' said Renney.
'The figures released today also showed that the number of people on Jobseekers Support is rising, and higher than forecast just last year. Real wage growth is lower than forecast last year – the Treasury itself says the Budget 'lowers wage growth'. This is a Budget that is taking working people backwards.
'The Budget delivers more cuts to investment, including real terms cuts to early childhood education funding. New funding for learning support is largely being delivered by cutting funding from other programmes in education. Māori Development programmes have been cut significantly, as has funding from our media, culture, and heritage institutions.
'Promises made in health aren't provided with new funding and the destruction of the pay equity process will mean we will continue to lose health workers to Australia, putting further stress on the system.
'Forecasts show we will continue to miss our child poverty targets over the next four years, and we will see thousands of families loose essential income due to cuts to Best Start and Working for Families. The Government is taking money from unemployed 18- and 19-year-olds, while investing nothing in action on climate change.
'Overall, this is a Budget that works by taking away from some of the poorest people in New Zealand, to fund tax cuts for multinationals, increased investment in corrections, the failed charter schools project, and more spending on defence.
'This is a Budget with its priorities all wrong – and working people will be paying the price,' said Renney.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Scoop
27 minutes ago
- Scoop
Wool Carpet Decision A ‘Parachute' For Farmers
Kāinga Ora's decision to use wool carpet in its social housing is a massive win for wool growers but won't be enough to save the industry on its own, Federated Farmers says. "Our wool industry is in major freefall, and this move from Kāinga Ora is the parachute we desperately need," Federated Farmers meat and wool chair Toby Williams says. "This will slow our drop a bit but, in reality, what we really need now is an updraft to lift wool back up into being the number-one fibre globally. "It's certainly a massive step in the right direction, though, and we're very pleased with the announcement yesterday." Williams says Kāinga Ora is New Zealand's largest landlord, so its contract has the capability to soak up large volumes of wool, which in turn will help drive up prices. As well as transitioning to using wool carpet in its new social housing, Kāinga Ora will also use wool carpet in existing homes if the whole house needs recarpeting, such as when renovating older properties. The decision comes after a recent Request for Proposal (RFP) inviting both wool and nylon carpet providers to tender for the supply of carpet and underlay in its properties. "Last year Federated Farmers slammed Kāinga Ora for initially deciding to categorically rule out using woollen carpets in its social housing," Williams says. "Our homegrown wool is an incredible product and it beggared belief that Kāinga Ora weren't even giving wool the chance to compete against nylon products. "That was a total slap in the face for struggling Kiwi sheep farmers and rural communities, and we made it very clear it was a ridiculous, short-sighted decision. "It's great they saw sense and allowed wool to have a crack - and even better that a wool provider has won the contract. "It just goes to show that when wool is given a fair chance, it comes out on top as a natural, sustainable and renewable alternative to cheap and nasty plastic alternatives." Williams says the decision is the result of a massive collaborative effort across the entire wool industry. "Federated Farmers and other groups have been working really hard for years to get the Government engaged with, and listening to, wool growers. "We recently launched our SOS: Save Our Sheep campaign to hammer home the message that we need urgent action if we're to keep our sheep and wool industry from collapsing entirely. "Farmers are sick of woolly ideas - they want solid actions like this. "It just shows that strong leadership from the Government can be a factor in restoring confidence to our embattled wool industry." Williams says the housing agency's decision is also a big step forward for environmental sustainability. "Using cheap, nasty plastic carpets might save a few bucks, but at what cost to the environment? "If Kāinga Ora had picked a fossil fuel-derived synthetic carpet over a sustainable New Zealand-grown woollen product, just because it's cheaper, it would have been a disaster." Williams says he's also really pleased that high-quality, sustainable Kiwi wool will be in the homes of some of New Zealand's most vulnerable tenants. Kāinga Ora will transition to using wool carpet in its new homes from 1 July 2025, when the supply arrangements come into effect.
Scoop
36 minutes ago
- Scoop
New Zealand's Ability To Monitor Geohazards Weakened By Science Job Cuts
The centre providing 24/7 monitoring of geohazards will have to close at times as Government cuts force the centre workforce to be cut to the bone. The National GeoHazard Monitoring Centre, operated by GNS Science, provides round the clock monitoring of potential tsunamis, earthquakes, volcanic eruptions and landslides, and was set up after the Kaikoura Earthquake in 2016. Last year GNS Science announced plans to cut a quarter of the 20 strong team of Geohazard Analysts by attrition following funding cuts. Yesterday, with 18 of the team left, it called for voluntary redundancies and indicated that forced redundancies could follow if sufficient voluntary redundancies are not agreed. "Cutting the team to the bone means there is a high chance the centre will close at times when a team member falls sick or is unavailable for whatever reason - how is this keeping New Zealanders safe?" said Fleur Fitzsimons, National Secretary for the Public Service Association for Te Pūkenga Here Tikanga Mahi. Analysts work in teams of four, that is falling to three, but there must be at least two on each monitoring shift raising the risk of the centre closing due to staff absences. "The Government needs to explain to New Zealanders why it views that this service is not as important as it was two years ago, before its funding cuts. "Geohazard Analysts play a critical role in reviewing earthquake measurements to determine things like the magnitude and location of earthquakes and provide science advice to our emergency management services. "The Government's decisions mean that this critical information may not be available to emergency management in times of need when lives are at risk. This is reckless for a country so vulnerable to geohazard risks like earthquakes and eruptions. "This government does not value the role of science as we have seen with more than 400 jobs cuts throughout the sector, and a restructure announced this year with no new funding. "The undermining of the National GeoHazard Monitoring Centre is yet another sad example of the Government's short-sighted cuts that we have seen across the public sector with little regard to the impacts on New Zealanders." Background In September last year GNS Science announced plans to axe 59 roles, 10% of its workforce following Government funding cuts. The cuts shocked the international science community - 85 scientists from seven countries wrote an open letter to the Government stating that the cuts risk 'compromising essential geoscientific expertise and partnerships needed to address geohazards risks, which is critical for a country whose economy and community safety is so vulnerable to earthquakes, volcanoes, and climate change'. Note: The Public Service Association Te Pūkenga Here Tikanga Mahi is Aotearoa New Zealand's largest trade union, representing and supporting more than 95,000 workers across central government, state-owned enterprises, local councils, health boards and community groups.
Scoop
2 hours ago
- Scoop
Wool Carpets For State Houses A Win-Win
Press Release – New Zealand Government State housing agency Kinga Ora announced today that from next month, a new supplier agreement will deliver woollen carpets for the fit-out of new state homes. Minister for Economic Growth Hon Mark Patterson Associate Agriculture Minister The return of wool carpets to state homes has been welcomed by Economic Growth Minister Nicola Willis and Associate Agriculture Minister Mark Patterson. State housing agency Kāinga Ora announced today that from next month, a new supplier agreement will deliver woollen carpets for the fit-out of new state homes. 'The decision is great news for sheep farmers, and all the New Zealanders whose jobs and incomes are tied to the fortunes of our world-leading wool industry. 'The Government wants wool producers to have more opportunities like this, which is why in March we issued a directive to 130 Government agencies requiring them to purchase woollen products for building construction and refurbishment, wherever practical and appropriate. 'Kāinga Ora's new supplier agreement was made possible because the agency chose to re-open an initially nylon-only carpet tender and give wool a chance to compete. 'I'm told woollen carpet manufacturers responded very strongly to that opportunity and that the new carpet supply agreements come with no additional cost. 'The message is clear: When wool was put back on the table it more than held its own, delivering value for taxpayers and a win for sheep farmers. 'This proves the value of the Government's moves to give wool a fair shot in publicly funded procurement decisions. 'We have directed that from 1 July all public entities must use woollen fibres, where practical and appropriate, in government buildings. The new policy, announced in April, directs agencies to identify opportunities to use woollen products, and to properly consider a range of factors in procurement including whole-of-life cost, sustainability and health benefits. 'We're leveraging government spending to back the wool industry and the New Zealand economy. I hope private businesses will follow our lead.' Mark Patterson says the move continues to deliver on a New Zealand First and National Party coalition agreement to prefer the use of woollen fibres in government buildings. 'Woollen fibres create safer, healthier and more sustainable living environments for families. 'We know farmers will share our enthusiasm about this announcement. It is another example of us doing our bit. The Government is determined to help lift the fortunes of the strong wool sector in supporting our sheep farmers' Mr Patterson says. Notes The total value of the new Kāinga Ora contract is commercially sensitive and so can't be disclosed. Kāinga Ora is expected to fit out about 4500 homes in the next three years. Some contracts for carpet in homes have already been let, but under the new supply agreement, newly contracted fit-outs will be met through the wool-carpet supply contract. Where nylon carpet has already been installed in existing homes Kainga Ora will continue to use nylon carpet for single room or smaller patch repairs.
