14 Employer and employee perspectives on the living wage in New Zealand

James Arrowsmith, Jane Parker, Amanda Young-Hauser, Darrin Hodgetts, Jarrod Haar, Stuart Carr, and Siautu Alefaio-Tugia

Introduction – New Zealand’s living wage context

Aotearoa/New Zealand (NZ) is an important country for the development and application of the ‘living wage’ (LW) concept. It was one of the first to introduce a national system of minimum-wage laws when the Industrial Conciliation and Arbitrations (IC&A) Act 1894 established a Court of Arbitration to set minimum rates of pay across sectors and occupations. Court deliberations balanced the profitability of industries and firms with the cost of living for workers, elaborating the principle of ‘a fair wage, ...

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