Editorial Two
Issue 389 April 1, 2018
Our Report in our Web Edition (March 16) and under Homelink here about the owner of the Shamiana Chain of Restaurants being fined for underpaying his staff and exploitation of his workforce arguably angered our readers, with many of them calling for tougher punishment to such offenders.
It is a sad and bad reflection on a country known for its integrity and honesty.
It is embarrassing and distressing that an increasing number of employers of Indian origin are being investigated for perpetrating such unhealthy practices.
Frustrating trend
It is unforgivable that there are employers who misuse and abuse workers, while enriching their coffers. It is even more frustrating that the long arm of the law does not reach them- not to the extent that our readers would have wanted in the first place.
New Zealand has a well-structured minimum wage structure, which incidentally goes up to $16.50 (from $15.75) from today (April 1).
It can be argued that a fair wage can be deduced from economic principles. If workers are paid a wage that is less than their marginal productivity, they are being exploited.
Tougher punishment
Some sceptics regard it as obvious that third-world workers are being paid less than this. Their reasoning is that such workers are about as productive as their rich-country counterparts, and yet are paid only a small fraction of what rich-country workers receive.
Employers who exploit vulnerable workers by paying them less than the prescribe wages and those making them pay premiums in exchange for a job and breach the New Zealand law should not be tolerated.
This practice takes advantage of migrants who may not be aware of all their rights and entitlements in New Zealand or may not feel like they have any other option.
We understand it can be difficult for employees to come forward and raise concerns about the way they are being treated by an employer but the government has assured that perpetrators would be brought to justice.
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