11602 (2025). Teanau Tuiono to the Minister for Workplace Relations and Safety

Written Question
Published date: 30 Mar 2025
11602 (2025). Teanau Tuiono to the Minister for Workplace Relations and Safety: Further to Oral Question 5 on 13 March will raising the wage floor have a positive effect on both poverty reduction and the overall economy and if not why not?
Hon Brooke van Velden: As a relatively small number of minimum wage earners come from low-income households, it is broadly understood that raising the minimum wage is less effective as a redistributive income support policy than targeted interventions such as welfare and transfer policies. In terms of broader economic impacts, maintaining a sensible and sustainable wage rate strikes the right balance between supporting workers and limiting further costs on business.