5. Economic Growth—Wage GrowthGRANT ROBERTSON (Labour—Wellington Central) to the Minister of FinanceEconomic Growth—Wage Growth5. GRANT ROBERTSON (Labour—Wellington Central) to the Minister of Finance: Does he believe working New Zealanders are getting a fair share of economic growth?Hon STEVEN JOYCE (Minister of Finance): Yes—a fair and growing share. Thanks to the growing economy more New Zealanders than ever before have jobs and we have seen 21 consecutive quarters of wage growth above inflation. That is the longest period of continuous real wage growth since that series began in 1993. Overall since 2008 average Kiwi wages are up around 25 percent which is almost double the increase in the cost of living over the same period. That means the purchasing power of Kiwi workers and households is steadily rising. Grant Robertson: In light of that answer is it correct then that for him working people are getting a fair share when according to Statistics New Zealand an annual housing cost increase of 11 percent last year wiped out most of the wage increases leaving the average household in New Zealand with less than a dollar a day more in their pocket?Hon STEVEN JOYCE: After housing costs the increase for the average earner was $365 over the year. But I would point out to the member that yes housing costs rose significantly last year but fortunately they are nothing like what they used to be because back in 2007 housing costs average mortgage repayments on a median-priced house cost 49 percent of the average wage and now it costs 38 percent. So although costs have gone up in the last year they are significantly lower than they used to be under the Labour Government. Grant Robertson: So—to confirm—the Minister of Finance believes a fair share in economic growth for the average working household in New Zealand is less than a dollar a day? Hon STEVEN JOYCE: No I did not say that. Grant Robertson: Yes you did.Hon STEVEN JOYCE: No I did not. I pointed out to the member that the particular statistic he raises in terms of $365 after housing costs is in the household expenditure survey but in terms of the growing share of the economic growth for New Zealand wage earners over the last several years real wages have been growing at twice the rate of inflation. Wages have been growing at twice the rate of inflation. Mr Robertson is very good at trying to pick out one statistic from a small period of time but apart from him the rest of us who are not trainspotters are interested in what happens to New Zealanders over time. Grant Robertson: Is it a fair share for working New Zealanders when average ordinary-time hourly earnings dropped in the December quarter according to the latest household labour force survey—which he was very keen on yesterday? Hon STEVEN JOYCE: If the member wants to talk quarterly numbers in any statistical series he can. But I will tell him what I think is fair. What I think is fair is that in this economy 66.9 percent of New Zealanders have employment which is a higher proportion of adult New Zealanders than ever before. We have the second-highest rate of employment in the whole OECD and Kiwi wages are growing at double the rate of inflation. Back under the previous Labour Government they were growing but only at the rate of inflation.Grant Robertson: Is he prepared to do anything new or different to give working people a better share of growth in the economy than a dollar a day or is his idea of a fair share when consultants earn $40 million in one year on his watch at the Ministry of Business Innovation and Employment (MBIE)? Hon STEVEN JOYCE: In answer to the second part of the member's question the consultancy costs at MBIE are going down. The costs of core Government administration are going down. It does not matter how often the member says what he just said in terms of workers in the economy the simple fact of the matter is that average Kiwi wages are up 25 percent since 2008 which is double the increase in the cost of living over the same period. We have seen 21 consecutive quarters of real wage growth and the member can focus on one quarter if he likes but actually for real New Zealanders it is about the trend over time.