NZ has ‘productivity disease’, says Air NZ boss
Business Advisory Council chairman and Air New Zealand boss Christopher Luxon says New Zealand needs to tackle its ‘‘productivity disease’’.
‘‘We have a productivity disease across this country and many of our sectors. Take tourism as an example,’’ he said.
‘‘As good as the growth has been in the last few years, when we line up the value of tourism divided by the number of people working in it we’re about mid-table in the world. If we can get ourselves to the top 10 per cent of the world there’s $9 billion that will come to the tourism sector, which will enable high-paying jobs.’’ Prime Minister Jacinda Ardern and Luxon announced the group’s four priority areas yesterday.
It will focus on building New Zealanders’ skills, accelerating the regions, attracting highquality investment and ‘‘unleashing’’ small businesses. Luxon said common ground had been quickly found.
‘‘We both share the same ambition to see New Zealand succeed and are confident that we have aligned on four areas where business and Government working closely together can make a hugely positive impact ... I am confident we can start to deliver the first outputs from the priority areas prior to Christmas.’’
Luxon said the business community was united on the need for wage growth.
Ardern said the work of the council would help to unleash the full potential of the New Zealand economy.
‘‘New Zealand has a long-term productivity problem. It is a handbrake on the economy and we need to fix it,’’ she said.
‘‘I’m looking forward to advice from the Business Advisory Council on how we can attract high-quality investment into the productive economy.’’