More manufacturing jobs lost as dollar hurts bottom line

The high dollar is part of the problem yet again as the Christchurch Engine Centre announced it is cutting 40 jobs while even the Government’s biggest supporters call for change, says Labour’s Finance spokesperson David Parker and Economic Development spokesperson David Cunliffe.

David Parker says: “Tonight 40 families will be facing up to the harsh realities and helplessness of looming redundancy. This is happening far too often with yet more job losses announced every week. Many of those are in good high manufacturing and exporting jobs. That’s sending more and more Kiwis to Australia to earn a living.

“National’s stagnant economy isn’t working for ordinary New Zealanders and more and more Kiwis are realising it. They are letting our country down.

“Part of the problem is our overvalued currency, which is hitting the bottom lines of exporters and manufacturers. Even one of the Government’s chief cheerleaders Phil O’Reilly today called for the Reserve Bank to lower interest rates, finally admitting that action is needed to help exporters and manufacturers.”

David Cunliffe says, “We need modern manufacturers and exporters to flourish. Labour will work with business and workers to support strong manufacturing with skilled workers, high-tech and clean industries and productive businesses.

“The roll-call of communities hit by job losses keeps growing: Kawerau, Greymouth, Huntly, Waihi, Wellington, Invercargill, Dunedin, South Auckland and Christchurch to name just some.”

David Parker says, “Ordinary families are hurting and National isn’t lifting a finger to help. Labour’s prime motivation is to create better jobs and opportunities for New Zealanders. We will make the necessary bold, innovative changes to support high-value and high-growth businesses so they can create better jobs that pay better wages.

“This includes amending the Reserve Bank Act so that inflation targeting no longer has primacy over other economic matters such as the exchange rate.”