Business leaders speak out against the other Kiwi exodus

A chorus of corporate leaders are calling for economic policies which allow and encourage Kiwi companies to keep their base in New Zealand. Constructive engagement by the government, rather than National’s hands-off approach, would result in sustainable jobs and higher wages, says Labour’s Economic Development spokesperson David Cunliffe.

“Kiwis are innovative and entrepreneurial. It’s in our DNA. But even the smartest start-ups won’t grow into New Zealand-headquartered global businesses if they can’t access Kiwi investment to scale-up and commercialise.

“In the past decade 32 of New Zealand’s largest and best high-tech firms have been sold offshore. Just in this last year Right Hemisphere, Flo-Dry Engineering and Energy Intellect have been flicked. Now even the iconic Fisher and Paykel is up for grabs.

“It’s an exodus of our most promising businesses and it coincides with the exodus of young New Zealanders to Australia. But the National Government are as relaxed about waving goodbye to Kiwi profits and jobs as they are about waving goodbye to Kiwi kids.

“Fortunately many respected business leaders have had enough and they’re speaking out against National’s failed approach.

“Hugh Fletcher says ‘no one else plays the naïve rules that we play’ which result in the so many companies being sold offshore.

“Greg Shanahan of the Technology Investment Network says that in the current system ‘you lose control to some degree over your economic destiny. You often see a migration of manufacturing jobs out of the country that might not have happened had the company been based in New Zealand’.

“NZ Manufacturers and Exporter’s CEO John Walley sums it up as ‘The government does not understand exporting’.

“Labour will increase the investment pool with monetary policy reforms, pro-growth tax reform, and universal KiwiSaver.

“Labour will also work with industry sectors to grow opportunities for Kiwi companies to succeed – without having to sell out before reaping the rewards of growth.

“Labour’s policies will ensure governments can’t dodge the issue like National is trying to do in the face of sound criticism from business and the community alike,” David Cunliffe says.