English on our low wage growth
Bill English knows that our low wage economy is a ticking time-bomb for the government. He must be starting to get worried. The repeated promises of jam tomorrow are well worn out now.
CPI
NRT: Inflation and poverty
I/S at No Right Turn writes: “The CPI is out today, and it shows that the poor are getting poorer … This is a long-term trend. Since National took office, inflation for poor households has been nearly twice that of rich households.”
Minimum wage increase doesn’t meet real costs (the CPI is broken)
Any increase in the minimum wage is better than nothing, but National’s increases have not kept pace with the real cost increases (notably housing) faced by low income earners. That is why we are seeing the rise of the working poor, and increases in homelessness and poverty.