Kiwis get half the pay of Aussies in same jobs

Kiwi workers are paid half as much as their Aussie counterparts, latest figures show.

However, the huge gap could actually reflect a "blowout" in the exchange rate, according to Council of Trade Unions economist Peter Conway.

Data issued by the Australian Bureau of Statistics yesterday shows the average weekly wage in Australia is A$1131.40 (NZ$1398), compared with New Zealand's average weekly wage of just over $886.

Mr Conway said that after the figures were adjusted for exchange rate and cost of living difference, the variation between pay packets was 49.7 per cent. "It's a big gap ... but their [Australia's] economy is five times bigger and their government is busy pushing ahead."He said the exchange rate - with about a 10 per cent drop in the New Zealand dollar against the Australian dollar since the beginning of the year - could be the reason the figure had been "pushed out".

However, despite the exchange rate, Kiwis' pay was still lagging behind, and Mr Conway said it would take some time to catch up to Australia.

He said an increase in the minimum wage and productivity, along with investment in new technology was needed.

New Zealand's minimum wage is $12 an hour, compared with A$13.76 (NZ$16.80) in Australia.

"Migration to Australia is too high and solutions are not easy, but are certainly needed," Mr Conway said.

A lot of people would think the pay difference would be about 25 per cent. "But even if you take an average exchange rate for the year, the [difference in pay] figure would still be in the area of 36 to 50 per cent."

- © Fairfax NZ News

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Dee   #4   05:26 pm Jan 28 2009

If you live in one of Australia's major cities you need to earn more than double. Arguably, the QUALITY of life in NZ is more than double that of Australia.

Dom   #3   05:26 pm Jan 28 2009

Sounds great but here in Aus our second hand cars cost more than yours, car registration is two to three times more expensive than in NZ, our food is more expensive, our beer is more expensive, we have more taxes, federal, state and council, we pay more to drive on our roads, etc, etc. We need the higher pay because our cost of living is much higher.

Tony Eyles   #2   05:26 pm Jan 28 2009

Good thing its twice as good living here

Moore   #1   05:26 pm Jan 28 2009

Wages offered for jobs have gone down by 20 to 50 percent over the last four months, by anecdotal evidence.

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