Kirk Hope: Business NZ CEO says the ability for businesses to pass minimum wage hike cost on is very low

There are concerns the hike to minimum wage could be devastating for businesses. The Government has announced the minimum wage will rise by $1.50 to $22.70 from April. Business New Zealand CEO Kirk Hope told Mike Hosking the ability for businesses to pass this cost on is very low. He says if a business has no capital left effectively to pay this, and can't increase prices because then they'll face a decrease in demand, they're in a difficult position. LISTEN ABOVESee omnystudio.com/listener for privacy information.