In the blue corner

What the Government’s spin machine calls an ‘‘income insurance scheme’’ is merely just another term for a ‘‘job tax’’ that hardworking Kiwiswill be forced to pay on top of rising inflation.

With inflation growing at twice the rate of wage increases, every cent matters.

With this new tax, workers and employers would have to pay an extra 1.36 per cent each on top of income tax, Kiwisaver and student loan if they have one, amongst others.

The cost of living is at ridiculous highs, the dream of owning a home if you are one of the 46 per cent of renters under the age of 30 is near impossible, and petrol prices are approaching and in some cases passing the $3 mark.

It seems the Government has lost touch with the challenges that households are facing and is intent on adding insult to injury by foisting yet more taxes on us all.

That 1.36 per cent might seem small, but it essentially shifts the 30 per cent tax bracket to 31.36 per cent and the 33 per cent tax bracket to 34.36 per cent, thesewill have real and genuine effects on Kiwis when affording the basics right now is already a strain for many.

This new tax equates to $10-$30 aweek from our pay packets, which in these times is money many people do not have.

Spare a thought for New Zealand’s small businesses too, who have frankly been on their knees over the last two years, and just when they need some relief from the Government, they come down and slap another tax on them.

We already have awelfare system and a social security net that helps people get back on their feet after redundancy or illness and helps them to upskill if needed.

National would focus on education and ensuring that people have the skills needed in themodernworkplace, but we realise at times there does need to be welfare and that is on offer for those who need it.

Butwhat can’t happen is punishing hardworking Kiwis to pay the tab for someone else for seven months.

What this new job tax really boils down to is a $3.54 billion fund, taken directly from you the worker and the business owner, to allow people to sit on the couch for seven months, no questions asked.

The Labour Party is meant to be the champion of theworking class, but it’s hard to see thatwhen they are taking away $10-$30 aweek from every worker.

Parents are struggling to pay for stationery for their kids to go back to school, construction costs are through the roof, and rents have risen astronomically. This is not the time to be taking from the wallets of hardworkingNew Zealanders.