Bennett David: Oral Questions — Questions to MinistersText is incorporated into the Bound VolumeBennett David: Oral Questions — Questions to Ministers[Sitting date: 01 June 2016. Volume:714;Page:11548. Text is incorporated into the Bound Volume.]2.DAVID BENNETT (National—Hamilton East) to the Minister of Finance: How is the economy helping to deliver more jobs and higher wages for New Zealand families particularly given Budget 2016’s focus on supporting a growing economy?Hon STEVEN JOYCE (Associate Minister of Finance) on behalf of theMinister of Finance: The outlook for the economy is positive. Businesses are hiring more people and wages are increasing. More than 200000 more people are in work now than 3 years ago and a further 170000 jobs are expected by 2020. The average annual wage is now almost $58000—up 14.1 percent in the last 5 years during which time inflation was just 4.7 percent. The annual wage is expected to continue to rise to $63000 a year by 2020. Obviously these are just Treasury forecasts but they are driven by the National-led Government’s economic policy that supports investment innovation and growth.David Bennett: What steps did the Government take in Budget 2016 to support the growing economy more jobs and higher wages?Hon STEVEN JOYCE: Budget 2016 continues this Government’s programme of sensible economic management. Our responsible approach to managing the books is helping inflation and interest rates to stay lower for longer which supports businesses wanting to invest households with a mortgage and means that wage increases go further. Budget 2016 also includes the $761 million investment in Innovative New Zealand for science skills and regional development. A key part of this package is supporting people to develop the skills they need for an increasingly digital and diversified 21st century economy.David Bennett: How will Budget 2016 develop the skilled workforce needed to support a growing economy?Hon STEVEN JOYCE: An amount of $256 million over 4 years is budgeted in the Innovative New Zealand package for the tertiary education sector to deliver the skills New Zealand needs to support our growing economy. Over 4 years that package includes $86 million to better match tuition subsidies with the costs of provision and to remove any remaining disincentives for degree providers to provide places in core areas like science and technology. There is $37 million to increase tuition subsidies for sub-degree provision at level 3 and above $14 million to fund 5500 more apprentices by 2020 and $9.6 million for 2500 young Māori and Pasifika to participate in trades training. We have a constantly evolving economy and this package will help to ensure those people have the skills to stay ahead of change.David Bennett: Why are STEM subjects and key trades a priority for Budget 2016?Hon STEVEN JOYCE: The availability of highly skilled people in the STEM areas of science technology engineering and maths plus of course agriculture and the key trades is crucially important to growing a high-value diversified economy that encourages businesses to invest. As with previous Budgets we have continued to make STEM subjects a priority to make up for historical underfunding and boost interest in careers like engineering. Graduates from these subjects make a substantial contribution to productivity and help meet the skill needs of New Zealand businesses.