Wilkinson Kate: Questions for Oral Answer — Questions to MinistersText is incorporated into the Bound VolumeWilkinson Kate: Questions for Oral Answer — Questions to Ministers[Sitting date: 11 February 2014. Volume:696;Page:15747. Text is incorporated into the Bound Volume.]3.Hon KATE WILKINSON (National—Waimakariri) to theMinister of Finance: How is the stronger New Zealand economy supporting more jobs and higher incomes?Hon STEVEN JOYCE (Associate Minister of Finance)on behalf of theMinister of Finance: There are a number of indicators confirming that the stronger economy is translating into more jobs and higher incomes. They range from business confidence and employment intentions running at the highest levels for around 20 years and the number of job ads on the SEEK website increasing 13 percent to almost 24000 in January. Just last week Statistics New Zealand issued the labour market data which confirmed further growth in job numbers and real wages and a decline in the unemployment rate from 6.2 percent to 6 percent in the December quarter. They are all further signs that the Government’s economic programme including the BusinessGrowth Agenda to help businesses invest grow and employ more people is working successfully as we recover from the global financial crisis.Hon Kate Wilkinson: What did the official labour market statistics say last week about the growth in jobs during the period to December 2013?Hon STEVEN JOYCE: The household labour force survey confirmed that employment increased by 1.1 percent in the December quarter. That means 24000 more New Zealanders were in jobs in that quarter alone. For the year to December the news was also positive. Between the December quarters of 2012 and 2013 employment increased 3 percent meaning another 66000 New Zealanders were in work compared with a year earlier. That is the strongest annual increase since June 2006 again confirming that the Government’s economic programme is heading in the right direction for the benefit of New Zealand families.Hon Kate Wilkinson: What other indicators in the labour market statistics issued last week provided further evidence that the improving labour market is helping more New Zealanders to get ahead?Hon STEVEN JOYCE: Apart from the lower unemployment rate and the strong increase in new jobs another positive indicator is the continuing growth in wages. The quarterly employment survey is the best source of wage movements and that is why it has been used by successive Governments as the basis for setting for example paid parental leave and New Zealand superannuation. Using this measure average weekly earnings rose by 2.8 percent over the year to December while inflation was only 1.6 percent. So on average wages are continuing to rise faster than inflation. The gains are even more significant when measured on an after-tax basis. The average weekly earnings after tax—[Interruption]; they do not want to hear it—have gone up 25 percent since September 2008 compared with inflation of just 10 percent over the same period.Hon Kate Wilkinson: How has the growth in new jobs over the past 4 years as reported by Statistics New Zealand compared with Treasury forecasts issued as part of Budget 2010?Hon STEVEN JOYCE: In Budget 2010 Treasury forecast that there would be 174000 more jobs in the economy over the 4½ years to June 2014.Hon David Parker: That’s not what you promised though—170000 extra jobs over 3 years not 4.Hon STEVEN JOYCE: I am pleased to report we a tracking pretty close to that forecast which I remember Opposition parties dismissing at the time as being way too optimistic for New Zealand. Actual employment growth in the 4 years to December 2013 was 139000 jobs Mr Parker. To meet that full 4½-year Treasury forecast another 35000 jobs need to be created over the next 6 months which is not unrealistic given that 52000 new jobs were created in the 6 months to December. This is further evidence that the Government’s economic programme is working.