Low Pay Pacific workers earn the lowest wages in Aotearoa New Zealand. As further explained in the predatory section later, those low wages have a material impact on not only household management, but also making contributions to wider family and community wellbeing. In 2019 the gap between the average hourly earnings of a Pacific worker and a New Zealand European worker was $7.48, or 23%. The following graph shows the difference in hourly earnings between European, Māori and Pacific workers in 2018. Average hourly earnings by ethnicity and age group $40.00 $35.00 $30.00 $25.00 $20.00 $15.00 $10.00 $5.00 $- 20 to 40 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 European 50 to 54 Maori 55 to 59 60 to 64 Pacific Peoples Figure 8: Average hourly earnings 86 A recent report by the Ministry for Business, Innovation and Employment (MBIE) acknowledged that Pacific workers experience reduced access to secure and stable employment, low paid occupations, and discriminatory workplace practices in recruitment, pay, retention and progression.87 Participants in the Commission fono in 2018 and 2019 agreed with the issues in the MBIE report. They described how the cumulative effect of these practices and experiences led to a serious reduction in their ability to fulfil their roles as contributors to family and community wellbeing. Participants explained that in practical terms the industrial practices described above caused the following difficulties 86 87 • Securing tier-one or “prime” finance (such as bank mortgages to buy family homes) • Securing lending products at prime interest rates/ terms • Ability to fulfil finance agreements to full term – impacting credit reporting scores • Creating savings funds • Investing in managed funds, shares, property or other investment vehicles The Living Wage Movement in Aotearoa New Zealand has received support from Pacific peoples. A living wage is calculated to enable workers to live with dignity, provide workers with life’s basic necessities Statistics New Zealand, 2019, Dataset: Earnings from main wage and salary job by industry (ANZSIC 2006), sex, age groups, and ethnic groups accessed from: http://nzdotstat.stats.govt.nz/wbos/Index.aspx?_ ga=2.159576255.341765299.1591926861-15918882.1591926861#. Tunoa, A. 2018. Pacific peoples Progress in the Labour Market: A Literature Review. Auckland: Ministry of Business Innovation and Employment and the Southern Initiative, p. 14. 25

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