Source: Public Service Association Te Pūkenga Here Tikanga Mahi
Women must come first.
With today’s update showing a slightly improving fiscal picture, there is no excuse for Opposition parties not to commit to a pay equity settlement for care and support workers that is real, meaningful and fully in line with the current claim, delivered within 100 days of taking office.
“The books are in better shape than the Government has been telling us. That removes any excuse for delay.
“The 65,000 mostly women care and support workers need a settlement that delivers everything in their claim,” said Fleur Fitzsimons, National Secretary for the Public Service Association Te Pūkenga Here Tikanga Mahi.
New PSA analysis shows what settling the claim would mean for workers. A 30 percent pay equity uplift based on work on comparators completed last year (see below) would put $350 a week in the pocket of a full-time care and support worker. The average worker, who works 62 percent of full-time hours, would get $220 a week more.
“That’s life-changing money for women workers who care for our most vulnerable, many of whom are back on the minimum wage because of the failure to update their previous settlement,” said Fitzsimons.
“We welcome Chris Hipkins’ statement last night that reversing this government’s outrageous pay equity law change is a priority straight away. Now Labour needs to take the next step and commit to a quick settlement for care and support workers.
“The work on their claim is done. The evidence shows they are underpaid by up to 38 percent because they are women. The settlement is ready to go. These workers shouldn’t have to wait any longer.
“Today’s numbers show there is room to move, particularly with net debt coming down. Let’s be clear the real cost of pay equity is far lower than the headline figure. Treasury’s own modelling shows settling the claims this Government cancelled would grow the economy by $13.5 billion and create 13,000 jobs over four years. It would also bring in an extra $5 billion in tax.
“That brings the net cost down to around $1.5 billion a year, a return of $2.25 for every dollar spent. That’s better value than the Government’s own flagship growth policies.
“Low-paid women spend what they earn in their local communities, supporting local shops and local jobs. That’s good for workers, good for families and good for the economy. And with an ageing population it has never been more important to retain and grow this critical workforce. We can’t afford not to do this.
“Voters get it. Our polling shows people would rather push out the surplus target than keep making women wait. Politicians need to listen. We want a firm commitment, with funding in opposition parties’ fiscal plans, before 7 November,” said Fitzsimons.
Statement re undervaluation of care and support workers
29 September Opening of books must force Opposition parties to commit to pay equity
The PSA and the NZ Nurses Organisation reveal publicly the precise historic undervaluation of care and support workers showing they have been underpaid by between 24 percent and 38 percent.
Pay equity poll
26 September Pay equity poll: voters say make the fiscals wait, not women!
PSA analysis of economic and fiscal upside to restoring pay equity
9 September Restoring pay equity would boost income of 91,000 families by $300/week – PSA analysis
23 August Govt’s axing of pay equity cost jobs & GDP growth – PSA analysis
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.