Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Individual super accounts a backward step - Greens

18 June 2001

Individual super accounts a backward step - Greens

The Green Party says any move towards individualised super accounts would undermine the fair and egalitarian superannuation scheme which Labour and the Alliance claim to stand by.

The Government announced today that they had reached an agreement with Winston Peters which would allow future governments to convert the scheme to individualised accounts.

"I am really disappointed that Dr Cullen is prepared to accommodate Mr Peters' fixation, when any move to split the fund into individual accounts undermines the very heart of our superannuation system," said Green Party co-leader Rod Donald.

"Individualised accounts are deceitful, expensive and discriminatory."

Mr Donald said individual accounts are not only much more expensive to administer, they also deceive taxpayers into thinking that they own the money in their account, when in fact it has come out of the general tax pool.

"In the final analysis, the only practical reason for having individual accounts is so the Government can pay differing amounts to individuals in different circumstances.

"Many people, whether because they are full-time parents, or because they are paid less as a female or unskilled worker, or because they work fewer hours in their lives due to poor health or unemployment, will contribute less during their lives as a taxpayer.

"An individualised super scheme would punish these people for what is no fault of their own, and would reintroduce high levels of poverty for older people."



Analysis of the Peters Retirement Savings Scheme in 1997 showed that under his proposal, only 10-15 percent of women (and one percent of Maori women) would save enough to be assured of a pension at the current level. 92 percent of the public rejected Peters' scheme in 1997.

"Labour and the Alliance are setting the whole superannuation scheme up for a huge fall by agreeing to make it easier to individualise the fund," said Mr Donald. "Trading off future universality for this year's political support for the fund is too big a price to pay."

ENDS

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Sir Michael Cullen’s Tax Reform

To ordinary wage and salary earners who (a) watch a slice of their gross income being taxed every week via PAYE and who also (b) pay GST on every single thing they buy, there has been something quite surreal about the centre-right’s angry and anguished reactions to the Tax Working Group’s final report... More>>

 
 

89 Cents An Hour: Govt Plans Fix For Minimum Wage For People With Disabilities

IHC is delighted that the Government is looking into replacing the Minimum Wage Exemption (MWE) with a wage supplement to ensure people with disabilities are paid at least the minimum wage. More>>

ALSO:

Te Waihanga: New Independent Commission To Tackle Infrastructure Issues

The New Zealand Infrastructure Commission – Te Waihanga – will be established as an Autonomous Crown Entity to carry out two broad functions – strategy and planning and procurement and delivery support. More>>

ALSO:

Auckland Action Against Poverty: Motels Profit From Housing Crisis

A single motel which charges up to $1,500 per week per room has received over $3 million worth of Government funds to provide emergency assistance, despite never having a Code Compliance Certificate – an offence under the Building Act – and receiving a series of longstanding complaints from occupants... More>>

ALSO:

Gordon Campbell: On The Alleged China Relations Crisis

If New Zealand’s relations with China are ‘deteriorating’ then you still need a microscope to detect the signs... More>>

ALSO:

Environment: Government To End Tenure Review

“Tenure review has resulted in parcels of land being added to the conservation estate, but it has also resulted in more intensive farming and subdivision on the 353,000 ha of land which has been freeholded. This contributed to major landscape change and loss of habitat for native plants and animals,” said Eugenie Sage. More>>

ALSO:

Bell Tolls: Big Changes, Grand Mergers Planned For Vocational Training

“At a time when we’re facing critical skill shortages, too many of our polytechnics and institutes of technology are going broke... More>>

ALSO:

Sallies' State Of The Nation: Progress Stalled In Reducing Inequality

The report shows a lack of tangible progress in key areas including record levels of household debt and a growing gap in educational achievement between poorer and more well off communities. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels