NZ minimum wage VS US minimum wage

Discussion in 'Politics, Religion, Social Issues' started by TechGod, Sep 23, 2014.

  1. TechGod, Sep 23, 2014
    Last edited: Sep 24, 2014

    TechGod macrumors 68040

    TechGod

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    #1
    https://medium.com/matter/it-takes-...uy-one-movie-ticket-21804c5d937b?source=none&


    "The minimum wage rates are reviewed every year. The current adult minimum wage rates (before tax) that apply for employees aged 16 or over are:

    $14.25 an hour, which is
    $114.00 for an 8-hour day or
    $570.00 for a 40-hour week or
    $1,140 for a 80-hour fortnight."

    Source


    "As of July 2009, the federal government mandates a nationwide minimum wage level of $7.25 per hour, while some states and municipalities have set minimum wage levels higher than the federal level, with the highest state minimum wage being $9.32 per hour in Washington as of January 1, 2014."
    Source

    We know the US minimum wage is low compared to the rest of the civilised world at least.

    Now let's talk about the economy of NZ:

    http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11279421


    So again explain to me why minimum wage didn't kill our economy and companies didn't leave packing? Why didn't minimum wage increasing have a negative affect on our economy? Republican arguments these days...
     
  2. noodlemanc macrumors regular

    noodlemanc

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    #2
    In western nations the sort of jobs that are minimum wage are jobs that require the employee to be on-site. A burger can't be cooked overseas and then shipped to New Zealand, which is why hospitality/retail jobs are pretty much the only low-wage jobs left -- things like manufacturing can be outsourced, and so they have been.

    Therefore retailers currently paying their workers minimum wage cannot "leave packing" unless they want to shut down completely. They'll have to pay the increased wage to their workers, and in the short-term that will have to come out of profits, increasing the price of their products or decreasing the size. In the long term however each wage increase makes it more worthwhile for businesses to invest in ways to decrease the amount of un-skilled labour they'll have to buy -- and there are many options available to do so, especially for large companies. Remember when they made cars in New Zealand?

    I don't know why people focus on how detrimental a higher minimum wage would be for businesses -- it's un-skilled workers that are the most negatively affected in the long run, as the demand for their labour will go down.
     
  3. Southern Dad macrumors 65816

    Southern Dad

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    #3
    It sure makes the US employers look like total cheapskates when you throw out those numbers but since you decided to compare New Zealand's minimum wage to the USA, let's gather some more information… How far does that wage go?

    How much is a gallon of gasoline in NZ? $6.73 per gallon
    Average gasoline price in the USA? $3.35 per gallon

    Using Numbeo I compared Atlanta, GA to Auckland, AU. It says that I need $5025 in New Zealand to compare to $3700 in Atlanta.

    I think we have at least one user in New Zealand. Maybe we can hear an accurate comparison. Numbeo shows that a pair of Levis 501 jeans cost $40 in the US and $85 in NZ. Nike shoes? $79 in the US and $139 in NZ.
     
  4. TechGod thread starter macrumors 68040

    TechGod

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    #4
    http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=10669464
     
  5. Peterkro macrumors 68020

    Peterkro

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    #5
    I think we are all aware NZ has many problems,for a start it's at the arse end of the world and a small market so prices are going to be higher.
    But lets compare equality of income it's better than the U.K.,Australia and Canada and a whole lot better than the U.S.
    A country with reasonable income equality,fresh air,mass availability to recreational areas,priceless, for the rest there is Mastercard.
     
  6. noodlemanc macrumors regular

    noodlemanc

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    #6
    That's a good point. The cost of living in most parts of the U.S is very cheap compared to New Zealand. Housing probably sees the biggest disparity -- last year my mum sold her three bedroom house on a quarter-acre section for $500,000. And that's not even in an expensive area... it's in a rural town that's two hours drive from Wellington.

    I am reminded of those house prices you were posting in Georgia that were sub 150K... :eek:
     
  7. Southern Dad macrumors 65816

    Southern Dad

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    #7
    Excellent article, thank you for linking it. How about giving us some comparison prices since you live in NZ. If you could use US dollars for comparison it would help. What does it cost to rent a car for a day? Buy a gallon of milk? How much is a Pepperoni pizza?

    As your article pointed out because of the size of the NZ market some things, like Levis are more expensive. I believe when comparing wages we should also compare cost of living. My job in New York City pays far more than my job based out of Gwinnett County, GA.
     
  8. TechGod thread starter macrumors 68040

    TechGod

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    #8
    How is the geographical location of NZ a "problem" and what "many problems" does NZ have? Wanna clarity that statement?
     
  9. noodlemanc macrumors regular

    noodlemanc

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    #9
    One advantage of a smaller population is that corruption isn't as profitable, so it's not nearly as rampant as countries like the U.S where there's a bit incentive to lobby and bribe.
     
  10. Southern Dad macrumors 65816

    Southern Dad

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    #10
    Yes, real estate prices in my area are very low. The median home price in Walton County, GA is $135k where neighboring Gwinnett County, GA is $167k. Even using the City of Atlanta it comes up with $157k.
     
  11. Peterkro macrumors 68020

    Peterkro

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    #11
    Well the geographical location is a problem because of transport costs and as well as I said it's a small market.
    Although I haven't lived there for decades I can still see the damage that was Rogernomics,the racism that still exists,the property bubble,the importation of dog eat dog capitalism from the States,it hasn't gone as far as Australia but it's heading that way.
    There's a lot of great things about NZ but in my opinion the country is better than the way the right wing politicos have been dragging it for the last few decades.
     
  12. TechGod thread starter macrumors 68040

    TechGod

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    #12
    Ok I'll get you that.

    We use litres though:p

    Pizza Hut- large, 8.47USD

    Car rental for a day-56.77 USD

    Litre of milk-2.02USD

    ----------

    Trust me, it's gone down a lot. I say this because my parents are Indian in primary and earlier on I saw way more racism then I see now. Hell we moved when I was 2 so I was here my whole life, I've seen people's attitudes change.

    ----------

    Jesus! In Auckland here, houses that are one or two bedroom sell for 6-700k and houses close to the city are on average at about 1.2Mil(talking about Ponsenby, noodlemanc)
     
  13. Southern Dad macrumors 65816

    Southern Dad

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    #13
    Okay, good numbers. Pizza Hut 2 topping large is $7.99 here. Car rental can run from $9.99 per day on a weekend to $20 per day for economy car. A full size at Atlanta Hartsfield Airport (MCO) is $25. I bought milk last night at Walmart for $3.25 for a gallon so that is about 81¢ a liter.
     
  14. Peterkro macrumors 68020

    Peterkro

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    #14
    In your case it probably has and I'm very glad about that but half my relations are Maori and I know many Pasifika and what their life is like.
    Racism is obviously not the problem it is in Oz or the U.S. but nevertheless it's a very real problem.
     
  15. TechGod thread starter macrumors 68040

    TechGod

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    #15
    This is true. Australians are....brutal.

    ----------

    See the thing is the milk is a far better value if you purchase the 2 litre option. The 1 litre option is just more expensive for some stupid reason.



    Now that we've gotten cost if living out of the way, we should still see if there are comparisons or studies stating whether or not NZ minimum wage workers are on average more comfortable than US minimum wage workers.
     
  16. Southern Dad macrumors 65816

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    #16
    Walmart sells milk two gallons for a better price too. Being that the US tends to buy milk by the gallon, we must drink more milk here.
     
  17. thekev macrumors 604

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    #17
    Manufacturing jobs aren't typically of the minimum wage variety.
     
  18. Sydde macrumors 68020

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    #18
    Shoes, bras, plastic bags, a great many manufacturing jobs in fact are minimum wage. I would guess that higher-volume products have in the past employed lower-paid workers (prior to the outsourcing boom).

    (It should be noted that by Kiwi<->US dollars, the minimum wage there is about 11.54USD, though that is still well above anything the U.S. government has entertained in terms of an increase.)
     
  19. noodlemanc macrumors regular

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    #19
    When I moved to Australia I found it quite bizarre how segregated the aborigines are from the general population. In NZ Maoris and Pacific Islanders lived in the same towns and went to the same schools as everyone else -- they were very much integrated. But in Australia most aborigines are confined to reservations that are located in the middle of nowhere... it's almost like a class system, although I'm not sure if it's mandated or if it naturally happened that way.
     
  20. Happybunny macrumors 68000

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    #20
    But if we are going to do a really fair test, Health Care costs should be considered.


    The main cause of going bankrupt in the US are health care costs.
     
  21. TechGod thread starter macrumors 68040

    TechGod

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    #21
    We don't pay for the ambulance. In fact the whole ambulance service is run by a charity and it's been working so far...
     
  22. thekev macrumors 604

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    #22
    I wasn't thinking of the garment industry. I actually buy quite a bit of the "made in the USA" denim, but I usually buy it on sale.

    What part of Australia? It seems to vary considerably. Northern Queensland isn't terribly segregated in that regard compared to something like Melbourne.
     
  23. noodlemanc macrumors regular

    noodlemanc

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    #23
    That's true -- in Byron Bay I noticed quite a lot of aborigines... I live in Melbourne though, which as you said is pretty light in terms of indigenous population. I wonder why it's so much lower than other major cities like Sydney and Brisbane?
     

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  24. thekev macrumors 604

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    #24
    You would see quite a few in Cairnes as well. You wouldn't see a lot of Aboriginals in say Brisbane CBD or any of the closer suburbs. It would probably be more like the outlying portions. I don't know what actually influences the distribution of the indigenous population there.
     
  25. SlCKB0Y, Dec 16, 2014
    Last edited: Dec 16, 2014

    SlCKB0Y macrumors 68040

    SlCKB0Y

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    #25
    So you complain about experiencing racism because of your Indian heritage but then you're quite happy to generalise 25 million Australians as "brutal"?

    :rolleyes:

    As a "white" Australian, if I made a statement that "Indians are...brutal" (or replace brutal with just about anything), i'd be considered racist, yet because you're part of a minority where you live you feel it's fine for you to engage in the same type of behaviour?

    That's disgraceful...
     

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