Coronavirus: New Zealand PM Jacinda Ardern to take 20% pay cut as show of solidarity during Covid-19 pandemic
‘If there were ever a time to close the gap between groups of people in different positions, it is now’
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Your support makes all the difference.New Zealand’s prime minister and her government ministers will take a 20 per cent pay cut for six months in solidarity with those affected by coronavirus across the country.
Jacinda Ardern said the decision was “about leadership” and was one way the government could “take action” as New Zealanders struggle with job cuts and losses amid the Covid-19 pandemic.
She said: “If there were ever a time to close the gap between groups of people across New Zealand in different positions, it is now.
“I can confirm that myself, government ministers and public service chief executives will take a 20 per cent pay cut for the next six months as we acknowledge New Zealanders who are reliant on wage subsidies, taking pay cuts and losing their jobs as a result of Covid-19’s global pandemic.
“We feel acutely the struggle that many New Zealanders are facing, and so too do the people that I work with on a daily basis.”
Ms Ardern will take a pay cut of about NZ$45,000, while Dr Ashley Bloomfield, the director general of health, will see his salary reduced by more than $52,000, according to the New Zealand Herald.
The prime minister’s annual salary is set at $459,739, while Dr Bloomfield was expected to earn $528,000 this year, the newspaper reported.
New Zealand’s offices, schools and non-essential services have been closed for the last three weeks and economic activity is at a standstill as the country undertakes one of the strictest lockdowns in the world.
The government has forecast joblessness to surge because of the global and domestic slowdown.
Ms Ardern has been praised for her leadership and directness during the Covid-19 pandemic, which has seen nine deaths in New Zealand and 1,386 cases so far.
The prime minister acted quickly to put the country into lockdown, and reassured children the Easter bunny and tooth fairy were key workers, but that they might struggle to make it to their homes.
The government is expected to decide next week whether it will extend its current “Level 4” shutdown.
New Zealand’s finance minister said if the government decided to ease restrictions, the emphasis would be to permit economic activity that is safe.
Grant Robertson added that the annual budget, to be announced on 14 May, would focus on recovery.
He said in a speech to business leaders: “It will include funding for the cost pressures that are a necessary part of keeping our country ticking over but we will devote much of our resources to kickstarting this recovery.”
Additional reporting by Reuters
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