McDonald's and Restaurant Brands have joined a scree of retail giants who have decided against paying 16 to 19-year-olds the new youth wage.
The Warehouse, Farmers, Kmart, Bunnings and major supermarket operator Countdown had already committed to rejecting the new youth rates.
A controversial bill passed by one vote in March, allowing employers to pay 16-to-19-year-olds $11 an hour when they start a new job.
National, Act and United Future backed the move to allow a "starting-out wage" to be set at no less than 80 per cent of the minimum wage for young people - $11 at current rates. It will apply from May 1st.
Unions immediately decried the adoption of a youth wage, which is nearly $3 an hour below the minimum wage, but the Government argued it would increase opportunities for young people.
Minister of Labour Simon Bridges said the change would give employers an incentive to take on young workers and also give teenagers an opportunity to get on the job ladder.
Labour Party labour spokeswoman Darien Fenton said the change was an unjustified discrimination against younger people, which redefined New Zealand as a low-wage economy and increased the wage gap with Australia.
Retail secretary for First Union Maxine Gay said Foodstuffs, which operates New World and Pak'n Save, have said they would be interested in greater use of youth rates.
She is calling for them to join other retail giants in the rejection of youth rates.
The new youth wage can be paid to:
* 16 and 17-year-olds in their first six months of a new job.
* 18 and 19-year-olds who have been on a benefit for six months or more.
* 16-to-19-year-olds in a recognised industry training course.
