Cracker by Damian Christie

The second and third panels of the Olympics logo cartoon are the wrong way around. Unless the guy falls up and then down?

Um, that's part of the joke?

I can see Good Morning is going to have no continuity issues with you at the helm, Ms G. :)

Fixed now.

It is disappointing to learn that some employers are already pushing down wages, especially as there’s a tax credit to offset at least part of their contribution for the first two years.

Sure, but imagine how disappointing it is to be in the throes of setting up shop in Aussie and finding that that tax haven expects employers to chip in a compulsory 9% of annual salary to super *and* to pay a payroll tax of 6% (once your payroll exceeds $50k/month).

All in all that comes to an effective income tax of 15% over and above the headline rate.

Correct order has been restored to poltical lolz. Now I can rest.

Ha, I now see that DPF had this cartoon about 10 days ago... typical, I did trawl back a few pages, because I thought he might have done it. Nevermind, I'm sure there's some part of the Venn diagram where all his readers aren't belong to us. :)

It is disappointing to learn that some employers are already pushing down wages, especially as there’s a tax credit to offset at least part of their contribution for the first two years.

Sure, but imagine how disappointing it is to be in the throes of setting up shop in Aussie and finding that that tax haven expects employers to chip in a compulsory 9% of annual salary to super *and* to pay a payroll tax of 6% (once your payroll exceeds $50k/month).

All in all that comes to an effective income tax of 15% over and above the headline rate.

Indeed, and in Australia that's all now a fixed cost of business, it has no impact on the competitive job market as it's a given. We need to remember that wages are a demand-driven economy like everything else, and in a tight market like we have now, the employers fixed cost components of a wage mean especially little - it's how they are paying in relation to others in the market. Yes, there will be say 2% (50% uptake of a 4% contribution?) less room in the budget for paying top-line salary increases to retain or attract staff but the market is tight enough that if you say to an employee "I've stopped your pay rise because of Kiwisaver" they'll wander off somewhere else that is willing to pay the extra for them.
Employment is priced based on demand, not on cost.

Yes, there will be say 2% (50% uptake of a 4% contribution?) less room in the budget for paying top-line salary increases to retain or attract staff but the market is tight enough that if you say to an employee "I've stopped your pay rise because of Kiwisaver" they'll wander off somewhere else that is willing to pay the extra for them.

Shouldn't be 2%. The tax offset for the employer contribution should take care of a reasonable amount of their costs.

Anyone made money from their KiwiSaver yet, or is it only the overhead employees in clover? Go the Vogons!

"the new holiday pay legislation means a flat white on Anzac Day costs $4.20 instead of $3.50"

On ANZAC day the only acceptable coffee is a Coffee Royal (or what ever it's called) Coffee & Rum. Start the day the way you mean to go on.

You’d think by now Mike Williams would know his stuff.

To play devil's advocate, Mike Williams does know his stuff - if you mean the seriously unglam scut work behind the scenes that keeps a mainstream political party solvent and functional.

But you'd think that by now, someone would get Williams on a very short choke chain and tell him he's not allowed to speak in public without written permission from a responsible adult.

Tell Mike Williams he's not allowed to speak in public without written permission of a responsible adult?

That being Helen Clark?

I think you've unwittingly (or wittingly?) found the slogan for the election.

"A Government of responsible adults"

No. It doesn't really work, does it.

But you'd think that by now, someone would get Williams on a very short choke chain

Let's not forget he was also responsible for getting the public all excited that Labour was planning to announce tax cuts before the last election.

Employment is priced based on demand, not on cost.

Things might be tight, but leaving a job and finding another in this small pond is not quite that easy. Take my industry, TVNZ gave meagre pay increases to most people over the past few years (those of us who were lucky enough to avoid redundancy), so unless TV3 are offering something better, what choice have you got but to accept the 2% extra p.a.?

Things might be tight, but leaving a job and finding another in this small pond is not quite that easy. Take my industry, TVNZ gave meagre pay increases to most people over the past few years (those of us who were lucky enough to avoid redundancy), so unless TV3 are offering something better, what choice have you got but to accept the 2% extra p.a.?

There's always PR Damian. Isn't that the inevitable path for us journo's?

If we've already mortgaged our souls then leasing them out as well can hardly do any more damage.

(not that I would ever consider such a move of course)

1. As I understand it, the possibility of using Govt. Dept. information booklets was brought up in a closed session and dismissed at the time. Someone then leaked it out and the Herald and National have tried to make a stupid idea an issue related to the Electoral Finance Act. To be fair, not exactly Mike Williams speaking in public. And let's face it - if the public thinks they're good policies shouldn't the fact National opposed them be brought to their attention? Works for me.

Re the evil employers scamming Kiwisaver contributions out of salary increases and pushing to hold salaries down - well, I'm an employer and it's fucking hard.

Running your own business is certainly not the cliche of a goldmine for fat cat capitalists taking it easy on the backs of the poor proletariat comrade.

And it's going to get harder. And businesses going to the wall because costs have eroded profits will become news stories in coming months. You try to be fair but you pay what you can afford and most employers can't afford much.

Follow up from Russell's post yesterday!

The story about "confidential strategy notes" in which delegates were advised to distribute pamphlets on KiwiSaver produced by the Inland Revenue Department and on Working for Families produced by Work and Income" and "also advised to tell voters when handing out the pamphlets that National voted against both measures," could have led a reader to think that such behaviour was actually part of a party strategy.

But, as Young acknowledges this morning, One News reported last night that the suggestion came from a delegate on the floor and Mike Williams -- the fool -- uttered words to the effect that it was a damned good idea. The Prime Minister has been obliged to wade in and Williams has, once again, put his foot in it quite badly.