An increase to the living wage could look to help improve the labour market.

From September first, it will jump to $26 an hour, $3.30 above minimum wage.

It's an almost 10-percent rise since last year.

Infometrics Chief Economist Brad Olsen told Kate Hawkesby that we could see businesses re-evaluate the offers they put on the table.

He says paying the living wage could be a way of securing an employee from another business that isn't offering it.

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