The average pay rate in the Western Bay of Plenty is the lowest in the country, according to a Trade Me Jobs report.
Priority One chief executive Andrew Coker
Latest figures provided by Trade Me Jobs listed the average pay for those in fulltime employment in the Western Bay during the first quarter of the year at $47,313 per year - $910 a week.
Head of Trade Me Jobs Peter Osborne said all jobs listed on the site had to have a salary band and the mid-point of the salary range was used to find the average pay on offer for job vacancies listed in the Western Bay.
"The Western Bay has a higher number of jobs in the horticultural industries, which includes lower-paying jobs like fruit-picking. Jobs that command higher salaries like those in IT and executive are less common," he said.
The key sectors contributing to the most jobs were agriculture, fishing and forestry, healthcare and manufacturing and operations, Mr Osborne said.
In Tauranga it was trades and services, construction and architecture and hospitality and tourism.
Tauranga was ranked 33rd of the 56 districts included in the average pay level analysis with an average pay rate of $52,940 per year during the same period.
Priority One chief executive Andrew Coker (pictured) said the number of high paying skilled jobs in the area was increasing.
We're driven by the Port of Tauranga and kiwifruit industry and construction industry. We haven't got huge industry like Auckland's got or Hamilton's got. The only way to get the pay rate up is you've got to attract more and more business.
"There's still this carry over with low skill, low wage economy," he said. "We're still a population driven economy."
Wellington had the highest average pay rate at $76,317 and Christchurch was fifth highest on $59,022.
Statistics New Zealand's median weekly earnings for those in paid employment in the Bay of Plenty during the June quarter last year was even lower. The region was the fourth lowest region in the country on $788 during the period.
Classic Builders director Peter Cooney said low pay was not a new issue for the area.
"We're driven by the Port of Tauranga and kiwifruit industry and construction industry. We haven't got huge industry like Auckland's got or Hamilton's got. The only way to get the pay rate up is you've got to attract more and more business.
"More and more industry here attracts a higher calibre of pay rate," he said.
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"These people [on low pay] usually need to end up renting. "Affordability is already an issue when you have a pay rate that's well below the national average. While those pay rates are there we need to house those people." Mr Cooney said the cost of building needed to come down to make it more affordable.
"There's so much red tape around the Resource Management Act, there's red tape around consenting issues. "There's the cost of the council fees, there's the cost of infrastructure, labour is escalating, the availability of land is scarce. There's a whole lot of things that need to come into alignment."
Te Tuinga Whanau Support Services Trust director Tommy Wilson also put the figure down to the large number of jobs provided by the local kiwifruit industry. "There are so many overseas picking gangs in the kiwifruit industry who are willing to work for the minimum," he said.
"It does surprise me because when you pay people below what they can survive on the system cracks and when the system cracks those people come to us.
"I can't even comprehend how a family of five can live on $500 a week, especially when they are paying $300 a week in rent. That's $40 a week per child to feed, clothe and educate."
Mr Wilson said educating the whole family and instilling a solid work ethic in both the children and parents was the key to improving the situation.
Western Bay of Plenty Mayor Ross Paterson said he was surprised the pay rate was still so low as the area was "moving into better times".
"I think we do have a wide range in that we do have highly skilled people on high wages but we also have a large industry in the horticulture industry which would probably have an impact.
"We do have a lot of seasonal work." Mr Paterson said the councils were working with Priority One to educate teenagers about job possibilities and the training they need to progress their careers.
The councils were also pushing ahead with the housing accord to provide affordable housing in the region, he said.
