The average wage in retail has climbed just 2.8 per cent in the last year, to $29.68 an hour, according to Retail NZ’s latest Wages Guide.
Although this is a higher rate of increase than the minimum wage - which rose 2 per cent to $23.15 an hour on 1 April - Retail NZ CEO Carolyn Young said it reflects the tough trading conditions facing retailers.
The previous survey for 2023 showed an 8.3 per cent increase in average hourly wages.
“The 230,000 people working in retail provide an essential service to New Zealanders,” Young said. “Retailers know they must pay competitive rates to attract the best people and it’s pleasing to see that the average wage remains well above the minimum wage.
“But wages have been increasing at a rate faster than growth in revenue across the retail sector.”
In addition to wages, 94 per cent of retail employers offer additional benefits to their staff, including in-store discounts (83 per cent), flexible work hours (50 per cent), commissions and incentives.
This year’s Wages Guide covers 27 roles ranging from juniors and apprentices up to regional, operations and store managers.
Retailers that operate nationally tend to pay their staff slightly more than smaller businesses operating from only one or two stores. The Retail NZ survey shows the average rate for national chains is now $30.79 an hour, slightly ahead of the national average rate.
“Even in these challenging times for the retail sector, many of our members are still telling us that they have difficulties finding talented people to fill many roles around the country,” Young said. “The Wages Guide shows that there are some amazing opportunities for well-paid careers that extend beyond the shop floor.”
The release of the Wages Guide follows Retail NZ’s launch this week of the ‘7 Jobs in 7 Days’ TikTok campaign to attract young people into retail.
Managed by Retail NZ, the campaign sees social media influencers interviewing young people who are building diverse careers in retail.
A new episode will be available on TikTok each day, with interviewees from NZ-based retailers such as Hunting & Fishing, Four Square Matakana (Foodstuffs), Barkers, The Warehouse Group, Mitre 10, Ngāhuia Group - whose brands include Number One Shoes, Hannahs and Hush Puppies - and Woolworths.
The campaign is the outcome of research identifying that one of the key challenges in filling the shortage of talent in retail is the perception that there isn’t a career in the retail sector beyond working on the shop floor.
“We want to change the narrative by improving perceptions of retail careers among young people and their families,” Young said. “We know there are some amazing opportunities that extend well beyond the shop floor.
“We are very grateful for the support we have received from retailers and the funding originating from ServiceIQ for this project, and we look forward to growing the interest in retail careers.”