Living Wage rate increase to bring relief amid cost-of-living pressures
New Zealand's voluntary Living Wage rate rose to $29.90 in April as rising fuel prices put more pressure on employees' costs of living.
The Living Wage is promoted as an alternative benchmark to the statutory minimum wage, which is also increased to $23.95 an hour from 1 April.
More than 340 accredited Living Wage Employers will be given until September 1, 2026, to bring their pay rates into line with the new Living Wage figure.
The $29.90 rate is set independently by the Family Centre Social Policy Unit and is adopted by employers that choose to become accredited through the Living Wage Movement Aotearoa New Zealand (LWMANZ).
LWMANZ chairperson Muriel Tunoho said employees will be celebrating the new Living Wage rate.
"Right now, in a cost of living crisis that seems to be getting worse every day, the Living Wage is needed more than ever," Tunoho said in a statement.
"With these new fuel spikes low-paid workers are struggling to keep their heads above water and to cover the absolute basics like rent, power, and kai. The Living Wage offers real hope and relief to workers and their whānau."
Some organisations that are accredited as Living Wage Employers include agencies in the state sector, local and regional government, as well as major banks and a range of small and large private businesses.
"Our movement thanks Living Wage Employers who, time and again, ensure the wellbeing of their lowest-paid workers. By guaranteeing at least the Living Wage, they give workers confidence in these uncertain economic times," Tunoho said.
