Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 


Flexible Superannuation threatens tired old workers

Flexible Superannuation threatens tired old workers

By Don Franks

If you are an older worker in a physical low wage job, watch out.

Treasury has released a discussion document on Flexible Superannuation, brainchild of UnitedFuture leader Peter Dunne.

The paper forwards an option to start drawing a pension five years earlier than people can currently do so, but at a substantially lower weekly rate.

The lower rate would remain at its level until death.

Alternatively, workers could delay drawing the pension until as late as 70, getting a much larger packet.

Mr Dunne said there were "obvious advantages" for some groups, such as those who were "physically exhausted" by age 60 because of work, Maori and Pasifika people because of generally shorter life expectancy, and those who were working beyond 65.

The only “obvious advantage” in this scenario is to the wealthier people in New Zealand, those who enjoy better health and are in the type of employment that can be carried on at a greater age.

People like Peter Dunne.

Prime Minister John Key said the idea had merit and would not contradict his firm promise, made in 2008, to never raise the age of eligibility for NZ Super because the scheme would be voluntary.

In fact, Key has just broken his promise. What choice does an exhausted sixty year old manual worker really have in such circumstances?

Labour’s finance spokesman David Parker said the party would consider the policy.

Mr Parker warned that some workers would be tempted to take the money early because of difficult financial circumstances - even if that meant they ended up with less money for much longer.

"Some people, because of their economic circumstances might be pressured to take their pension early, despite the fact that doing so could mean they live in poverty as they age."

What hypocrisy.

The Labour party has been leading the charge for the superannuation. elegibility age to be raised.

The social contract is about to be broken and the divide between rich and poor in New Zealand is about to be further widened.

That sort of injustice is not unavoidable.

A socialist society would provide decent pensions for all workers in need.

When will we get serious about fighting for such a society?

ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

PARLIAMENT TODAY:

PM's Presser: ‘Precarious’ Solid Energy In Banks’ Hands

Liquidation of state-owned coal company Solid Energy “cannot be ruled out” but is “not the number one preferred option of the government,” says Prime Minister John Key, who confirmed the beleaguered company was discussed today at Cabinet as its banking syndicate grapples with its commercially dire prospects. More>>

ALSO:

Missed Opportunities: Amnesty International Report Card On NZ's UN Role

As New Zealand steps down from its month as President of the Council, Amnesty International has taken the opportunity to review New Zealand’s role on the Council so far and assess their performance and contribution to protecting human rights worldwide. More>>

ALSO:

Prince Charles Get More Jobs: PM Announces Honorary Military Appointments

PM John Key has announced that Her Majesty The Queen has approved the appointment of HRH The Prince of Wales to three honorary positions: Admiral of the Fleet of the Royal New Zealand Navy; Field Marshal, New Zealand Army; Marshal of the Royal New Zealand Air Force. More>>

ALSO:

No TPP Deal: Gordon Campbell On Why We Should Still Oppose Investor-State Dispute Measures

Even in this dark hour for the TPP, the secrecy farce continues... What is left to hide? Every single negotiator went into those talks in Maui knowing exactly where everyone else stood. More>>

REACTION:

Salvation Army On Homelessness: Hard Times In West Auckland

The report details an uncomfortable story of people whose only option is to live an unhealthy, dangerous and damaging street life... The social housing needed by these people is not currently available in sufficient quantity. More social housing is required in the West. More>>

ALSO:

Message For PM: NZ Supports Te Reo Māori – You Should Too

As Māori Language Week celebrations and commemoration of 40 years draws to an end, the Māori Language Commission, Te Taura Whiri i te Reo Māori, is once again hugely encouraged by the widespread support for Māori language from throughout the country ... More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Politics
Search Scoop  
 
 
Powered by Vodafone
NZ independent news