Luxon's Economic Advice Falls Flat Amid Rising Unemployment
New Zealand Prime Minister Christopher Luxon has been criticized for his response to the country's economic struggles. At a meeting in Rotorua, Luxon claimed that employers need to become 'adult, adult, adult' and expect less from central government.
Luxon also suggested that firms can remedy rising costs by using artificial intelligence (AI) and adopting positive thinking. However, this approach has been met with skepticism as Unilever, where Luxon worked for six years in Chicago, is reportedly spending large sums on lobbying efforts to influence Washington lawmakers.
The criticism comes as the unemployment rate is expected to rise, average wage growth has stalled at 2% below inflation, and business liquidations remain high. The High Court's annual report notes that tight economic conditions have led to a surge in company liquidations and bankruptcies.