Wednesday, 27 February 2019 13:27

Magical thinking

Written by 

While we're on the topic of a higher minimum wage, Horticulture NZ chief Mike Chapman is a clear thinker on this, cutting through the bulldust coming out of Wellington.

Obviously, the horticulture industry, like dairying, is hard-hit by labour shortages, so if Chapman believed a higher minimum wage would help address the shortage he’d be in favour.

However, Chapman says the Government line that lifting the base wage is going to create a high wage economy is faulty thinking. 

“It’s pure economic fallacy that driving up wages will magically transform NZ; that it will get rid of low paid and what they see as ‘unskilled jobs’, so creating a highly paid work force that does not have to do what [the Government] considers to be unskilled work”.

The theory goes that higher wages leads to increased labour productivity therefore the employer recoups the higher wage cost.


More like this

Technology to the fore

New technologies on the horizon were the focus of the recent Horticulture Conference 2019, says HortNZ chief executive Mike Chapman.

Robotics nearly upon us

Robotics has moved out of the talking stage and into the early doing stages, says the chief executive of Plant and Food Research, David Hughes.

Spray delays costly

The Environmental Protection Agency (EPA) is unapologetic in the face of criticism by Horticulture New Zealand (HortNZ) that it needs to speed up its approval of crop protection products.


» The RNG Weather Report

» Latest Print Issues Online

Milking It

Milk on tap

The days of cafes getting milk in plastic bottles may be numbered if two young Dunedin entrepreneurs have their way.

Behind the eight ball

Global animal health company DSM says it has a product that can help reduce emissions from cows by up to…

» Connect with Dairy News