1. THEMES(i)Perceptions of <strong>the</strong> South Waikato EconomySome brief comments have already been made regard<strong>in</strong>g <strong>the</strong> make-up of this regionaleconomy. The <strong>study</strong> period, 1987 to 1997, <strong>in</strong>corporated periods of economicturbulence <strong>an</strong>d <strong>labour</strong> <strong>market</strong> <strong>in</strong>stability across <strong>the</strong> country as a whole. This shortsection draws on <strong>the</strong> work experiences of some of those <strong>in</strong>terviewed to convey <strong>the</strong>irperceptions of <strong>the</strong> impact of this volatility on <strong>the</strong> South Waikato region.Given that this region has a prom<strong>in</strong>ent rural sector, it is unsurpris<strong>in</strong>g that somecomments related to what had occurred <strong>in</strong> this <strong>in</strong>dustry. Interest<strong>in</strong>gly, this m<strong>an</strong> did notfeel greatly affected by <strong>the</strong> restructur<strong>in</strong>g of <strong>the</strong> economy generally, <strong>an</strong>d <strong>the</strong>agricultural sector more specifically. His particular circumst<strong>an</strong>ces seemed to have<strong>in</strong>sulated him from <strong>an</strong>y major impacts.It probably affected <strong>the</strong> bus<strong>in</strong>ess community but it didn’t really affect <strong>the</strong>farm<strong>in</strong>g bus<strong>in</strong>ess. People up <strong>in</strong> Auckl<strong>an</strong>d wouldn’t like to admit it but <strong>the</strong>country wouldn’t like to admit but <strong>the</strong> country does revolve aroundfarm<strong>in</strong>g.However, he does concede that downturns <strong>in</strong> <strong>the</strong> 1990s me<strong>an</strong>t lower returns <strong>an</strong>dforced him to work harder <strong>an</strong>d more carefully.In <strong>the</strong> big crash <strong>in</strong> 1990’s that is probably when <strong>the</strong> politics affected us aswell. …Stra<strong>in</strong>ed a little bit. …If <strong>an</strong>yth<strong>in</strong>g I tried to work harder to try <strong>an</strong>dsqueeze a few more dollars out of it. … be<strong>in</strong>g more careful. Very carefulwith my budget<strong>in</strong>g that is for sure. Probably did more homework overthose couple of years.As countless news reports at <strong>the</strong> time graphically showed, m<strong>an</strong>y people were affected,to vary<strong>in</strong>g degrees <strong>an</strong>d with severe consequences at times. Whilst he did notexperience <strong>the</strong> extreme impacts that some did, <strong>the</strong> downturn <strong>in</strong> <strong>the</strong> rural sector me<strong>an</strong>tthat <strong>the</strong> poor satisfaction <strong>an</strong>d f<strong>in</strong><strong>an</strong>cial returns from farm<strong>in</strong>g made <strong>an</strong>o<strong>the</strong>r m<strong>an</strong>consider leav<strong>in</strong>g <strong>the</strong> <strong>in</strong>dustry all toge<strong>the</strong>r.Through that early period through <strong>the</strong> ‘80’s <strong>the</strong>re I’d probably, I wouldhave done someth<strong>in</strong>g else had I’d been able to get <strong>in</strong>to someth<strong>in</strong>g else.Yeah, because farm<strong>in</strong>g wasn’t treat<strong>in</strong>g me that well. I hadn’t really gone<strong>an</strong>ywhere with it at that time.Consequently, he considered employment <strong>in</strong> <strong>the</strong> prison service. It was a job that he fel<strong>the</strong> could get <strong>in</strong>to <strong>an</strong>d m<strong>an</strong>age, <strong>an</strong>d which had reasonable prospects. However, th<strong>in</strong>gsstarted to improve <strong>an</strong>d he never had to make <strong>the</strong> f<strong>in</strong>al decision.Now <strong>in</strong> <strong>the</strong> sort of positions that we’re <strong>in</strong> now with my experience <strong>an</strong>d mym<strong>an</strong>agement skills you know we’re mak<strong>in</strong>g pretty good money now really.You know like we c<strong>an</strong> make $40,000 to $50,000 <strong>an</strong>d a free house <strong>an</strong>d youknow that’s hard to beat it.One of <strong>the</strong> farmers who was progressively build<strong>in</strong>g up his f<strong>in</strong><strong>an</strong>ces <strong>an</strong>d assets, with<strong>the</strong> <strong>in</strong>tention of buy<strong>in</strong>g a property <strong>in</strong> <strong>the</strong> future, noted that <strong>the</strong> restructured farm<strong>in</strong>gsector was much more challeng<strong>in</strong>g for people <strong>in</strong> his position.8
Twenty years ago, a 100 acre farm was a very viable option. Now as ashare milker, <strong>the</strong> b<strong>an</strong>k won’t lend you <strong>an</strong>y money unless you are go<strong>in</strong>g over175 cows <strong>an</strong>d to have a 175 cows you have to have a $120,000 worth ofmoney or stock to go <strong>in</strong>to <strong>the</strong> job. …You c<strong>an</strong> buy a small farm, you c<strong>an</strong>work your ass off to pay it off <strong>an</strong>d by <strong>the</strong> time you get to pay it off you’llf<strong>in</strong>d it isn’t big enough to susta<strong>in</strong> you <strong>in</strong> your retirement <strong>an</strong>d so I see littlepo<strong>in</strong>t <strong>in</strong> do<strong>in</strong>g that … [Or else] you need to raise about two <strong>an</strong>d a halfmillion dollars.Consequently, though he reta<strong>in</strong>ed <strong>the</strong> goal of farm ownership, he realised that it mightnot eventuate.Eventually we w<strong>an</strong>t to get farm ownership or <strong>in</strong> a position where we havegot <strong>the</strong> f<strong>in</strong><strong>an</strong>ces to do what we w<strong>an</strong>t to do later on <strong>in</strong> life. … So it’s justwhe<strong>the</strong>r <strong>the</strong> opportunity to buy a farm is go<strong>in</strong>g to exist for us <strong>in</strong> 10 or 15years time. In today’s <strong>market</strong> situation it probably won’t.These same issues had seen <strong>the</strong> couple who had toyed with <strong>the</strong> idea of <strong>the</strong> m<strong>an</strong> jo<strong>in</strong><strong>in</strong>g<strong>the</strong> prison service give away <strong>the</strong> pl<strong>an</strong> of own<strong>in</strong>g a farm. Instead, <strong>the</strong>y were <strong>in</strong>vest<strong>in</strong>g <strong>in</strong>residential property <strong>an</strong>d consider<strong>in</strong>g o<strong>the</strong>r bus<strong>in</strong>ess opportunities.Outside of farm<strong>in</strong>g, but still with<strong>in</strong> <strong>the</strong> rural sector, <strong>the</strong> ch<strong>an</strong>g<strong>in</strong>g shape of <strong>in</strong>dustry <strong>an</strong>d<strong>the</strong> economy had implications for a couple runn<strong>in</strong>g a horticultural bus<strong>in</strong>ess. They hadorig<strong>in</strong>ally <strong>market</strong>ed <strong>the</strong>ir produce from a store on <strong>the</strong> property. However, ch<strong>an</strong>ges toretail<strong>in</strong>g made this <strong>in</strong>creas<strong>in</strong>gly difficult.We were feel<strong>in</strong>g <strong>the</strong> p<strong>in</strong>ch <strong>in</strong> a ch<strong>an</strong>g<strong>in</strong>g retail world with super<strong>market</strong>sbe<strong>in</strong>g opened <strong>an</strong>d more of our crops were hav<strong>in</strong>g to be <strong>market</strong>ed ra<strong>the</strong>r th<strong>an</strong>‘back sales’ … Super<strong>market</strong>s were open all <strong>the</strong> time so that side of <strong>the</strong>bus<strong>in</strong>ess basically folded if you like.They were unable to compete with super<strong>market</strong>s <strong>an</strong>d to supply <strong>the</strong>se required adem<strong>an</strong>d<strong>in</strong>g approach to grow<strong>in</strong>g <strong>an</strong>d <strong>market</strong><strong>in</strong>g that <strong>the</strong>y had hoped to avoid. Thus,<strong>the</strong>y reduced <strong>the</strong> emphasis on crops <strong>an</strong>d beg<strong>an</strong> develop<strong>in</strong>g a pl<strong>an</strong>t nursery. Thoughsuccessful, compared to <strong>the</strong> fruit <strong>an</strong>d vegetables, this required a seven day a week <strong>an</strong>d365 day a year commitment. Over time, this became too much <strong>an</strong>d <strong>the</strong>y eventuallydecided to sell <strong>the</strong> bus<strong>in</strong>ess. However, <strong>the</strong>ir locality did not seem attractive to potentialbuyers.We tried to sell it <strong>an</strong>d we had a couple of deals go<strong>in</strong>g but it wasn’t go<strong>in</strong>g tohappen. Plenty of <strong>in</strong>terest but Tokoroa is a no no, people don’t w<strong>an</strong>t tocome here, <strong>the</strong>y don’t w<strong>an</strong>t to go to Taumar<strong>an</strong>ui, <strong>the</strong>y don’t w<strong>an</strong>t to go toTe Kuiti, <strong>the</strong>y don’t w<strong>an</strong>t to go to Taihape, <strong>the</strong>y don’t w<strong>an</strong>t to go toTokoroa <strong>an</strong>d so that was <strong>the</strong> basic reason.This was not helped by <strong>the</strong> state of <strong>the</strong> economy at <strong>the</strong> time. After a period withoutsuccess, <strong>the</strong>y reluct<strong>an</strong>tly wound <strong>the</strong> bus<strong>in</strong>ess up.F<strong>in</strong>ally, mov<strong>in</strong>g beyond <strong>the</strong> rural sector altoge<strong>the</strong>r, it is possible to see <strong>the</strong> affects ofdifficult economic times on o<strong>the</strong>r workers. One consequence was that some struggledto get work. This m<strong>an</strong> had to w<strong>in</strong>d up his bus<strong>in</strong>ess when <strong>the</strong> comp<strong>an</strong>y he subcontractedto decided to (once aga<strong>in</strong>) do <strong>the</strong>ir own process<strong>in</strong>g. It was not a good timeto be try<strong>in</strong>g to get work, however.This time was hard. What happened is that when <strong>the</strong> jobs f<strong>in</strong>ished this time,it was <strong>the</strong> same time that <strong>the</strong> Kore<strong>an</strong>s had <strong>the</strong>ir crash <strong>an</strong>d so <strong>the</strong> bush,which virtually runs <strong>the</strong> economy <strong>in</strong> Tokoroa, virtually collapsed <strong>an</strong>d <strong>the</strong>re9
- Page 1 and 2: TRANSITIONS IN THE SOUTH WAIKATOLAB
- Page 3: AcknowledgementsThe material genera
- Page 7 and 8: INTRODUCTION(i)Research Background
- Page 9 and 10: The findings from this phase of the
- Page 11 and 12: Transitions can occur in a range of
- Page 13: Table 1: Factors considered in anal
- Page 17 and 18: Illustrating a more volatile patter
- Page 19 and 20: The role of education and training
- Page 21 and 22: Though she had previously worked in
- Page 23 and 24: employment opportunities cannot be
- Page 25 and 26: Thus, he got a contract milking pos
- Page 27 and 28: It’s like living on the bones of
- Page 29 and 30: Though not confined to those receiv
- Page 31 and 32: Though his various roles fitted rea
- Page 33 and 34: Probably when [my middle son] start
- Page 35 and 36: also gone on School camping trips a
- Page 37 and 38: given his health. The voluntary pos
- Page 39 and 40: (i)Self-employmentSelf-employment p
- Page 41 and 42: employment, this group of self-empl
- Page 43 and 44: This marketing proved difficult, co
- Page 45 and 46: when interviewed. Of the others who
- Page 47 and 48: children, was able to work three pa
- Page 49 and 50: what he was doing. However, he conc
- Page 51 and 52: appearing to have limited knowledge
- Page 53 and 54: 6. RELOCATIONSThough it covers peop
- Page 55 and 56: change schools it was a good time f
- Page 57 and 58: CONCLUSIONIn contrast to those theo
- Page 59 and 60: surveys conducted in them to gather
- Page 61 and 62: Gallie, D., Gershuny, J. & Vogler,
- Page 63: Whitwell, J. and Thompson, M. A. (e