National's selective figures hide problems in the real economy

National are picking and choosing their figures to exaggerate new jobs say Labour’s Finance spokesperson David Parker and Economic Development spokesperson David Cunliffe.

David Parker says, “National rely on the Household Labour Force Survey, which counts an extra part-time position of one hour a week as a job. Statistics New Zealand’s more accurate measure of new jobs show is the Linked Employer Employee Data based on IRD returns.

“Rather than 60,000 jobs claimed by Bill English in the past two years, the LEED shows just 5,000 new jobs in the latest two years, not enough to cover population growth.

“The reality is that we know many businesses are in trouble, exports are down and manufacturing has dropped for five straight months. Every week more jobs are lost from good export and import substitution businesses that simply can’t compete under such a high dollar. They are crying out for help,” says David Cunliffe.

“Remarkably Steven Joyce claims a lower exchange rate would make New Zealanders worse off. He also wrongly claimed a drop in the exchange rate would cause the same rate of increase in the cost of living, which evidence for the Reserve Bank today debunked,” says David Parker.

“Using his logic - under a higher dollar, with lower exports and fewer jobs - we are better off. That’s the voodoo economics he accuses others of.

“The current orthodoxy isn’t working but National refuses to change. National’s exaggerations are attempts to gloss over the real problems New Zealand faces and their inability to handle it”, David Parker said.

David Cunliffe says, “National has to twist the stats to fulfil the brighter future John Key promised. Instead of confronting the issue head-on Bill English and Steven Joyce try to spin their way out of trouble.

“They are rattled. And they have good reason to be. Their one-trick policy of selling our assets isn’t working and jobs are going across the country.”

David Parker and David Cunliffe say: “Labour has a better plan. We will increase the investment pool through universal savings and get that money into better businesses offering better jobs through pro-growth tax reform, and address the overvaluation of our currency.”