Recommended NZ | Guide to Money | Gimme: Competitions - Giveaways

Youth Rates Proven Value After All

Fuseworks Media
Fuseworks Media

Employers warnings back in 2006 on abolishing youth rates are coming home to roost, says David Lowe, Employment Services Manager for EMA (Northern).

"The abolition of youth rates was a fair weather idea," Mr Lowe said.

"Employers warned Parliament that abolishing youth rates would end up hurting the very people they said they were trying to help.

"Youth unemployment has rocketed in the last 12 months from 17.9 per cent to 26.5 per cent.

"Now it's pretty obvious why we had youth rates in the first place.

"Independent research in 2006 from Pacheco reported that job opportunities would be reduced by nearly 20 per cent for all teenagers if youth rates were abolished. That's turned out to be very conservative.

"An employer with a choice between an experienced worker and an inexperienced worker is going to select the experienced person every time. Its simply a matter of preferring someone with basic work skills over someone who hasn't got them.

"If the Government wants to do something about youth unemployment, it must give employers a reason to hire them instead of more experienced candidates."

All articles and comments on have been submitted by our community of users. Please notify us if you believe an item on this site breaches our community guidelines.