Labour’s new tilt for growth
The devil of the detail is still to come. By Bruce Goldsworthy Many commentators didn’t score Andrew Little’s State of the Nation speech on January 28th very highly. But its very early days for the new Labour leader, and his speech was all about scene setting for the party’s future. However, some things left unsaid will give manufacturers serious misgivings. Dr Oliver Hartwich of the NZ Initiative noted that Little wants to see his party on the side of those creating wealth, jobs and income, and his is a truly progressive vision. Importantly Little acknowledged “wealth had to be created first before it could be shared.” When has a Labour leader ever said out loud such a thing? Its especially good news for manufacturers. Little was quick to reference his own background in the Engineering, Printing and Manufacturing Union, and draw on his experiences with the likes of Fitzroy and Fonterra. He stated the economy is all about jobs, what is required to make higher paid jobs, and what works to keep jobs in New Zealand. To grow the pie, (before seeking to redistribute it) Little said he will shortly be discussing measures that create wealth across: • How to harness the power of small businesses. Small, nimble, flexible, innovative businesses are to be placed at the centre of growth and job creation. • Getting serious about housing affordability. • Ensuring Auckland operates as an internationally competitive city, breaking the gridlock holding it back. • Developing a manufacturing sector fit for the 21st century. Here we start to come unstuck. In noting 41 per cent of the jobs created last year were in firms with fewer than 20 employees the question inevitably arises: So 59 per cent were created in larger firms? The Little vision will also focus on […]