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
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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
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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.
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