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Student wage slaves are set to be worse off after a raft of changes to the minimum wage, student loans and Kiwisaver came into effect on Monday 1 April. The minimum wage went up to $13.75 per hour, an increase of 25c. However, the minimum student loan repayment rate increased from 10 per cent to 12 per cent of income over $19,084, and the minimum Kiwisaver contribution rate increased from 2 per cent to 3 per cent for those who choose to sign up for the scheme.

The controversial youth wage, which is aimed at lowering New Zealand’s highest youth unemployment rate in 30 years, has also been introduced. The youth minimum wage is set at 80 per cent of the adult minimum wage, or $11 per hour, and can be paid to anybody under the age of 20 for the first six months of their employment, except where the job involves supervision or training. The wage has been heavily criticised as youth discrimination.

The cumulative effect of the changes means students in low-paying jobs are unlikely to see any increase in real income. OUSA President Francisco Hernandez commented that “we haven’t been directed by the student body to take a stance on that issue, but I don’t think the change is good for students.”

A spokesthing for the Labour Party slammed the changes. “The real value of the minimum wage has hardly moved under National. Since 2009 our lowest paid workers’ pay packets have only increased by 14 cents an hour in real terms, or just $5.60 a week ... under Labour, the minimum wage increased by 36.2% in real terms in the decade from 1999 to 2009. Under National, it has increased by only 1.85 % in real terms.

“Labour would immediately lift the minimum wage to $15 an hour, restore adult rates for all workers and champion the living wage of $18.40 an hour.” Critic understands that Labour is also offering a plot of land on the moon and a free lorikeet to anybody willing to vote for them.