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

 

MANA Policy Statement- Economic Justice

MANA Policy Statement- Economic Justice

John Minto, Economic Justice spokesperson
20 July 2014

A just economy is one where everybody is able to afford the cost of living and enjoy a decent quality of life. In a just economy, tax rates are fair. Those who earn more pay a higher proportion of their income in tax, and those who earn less pay a lower proportion. A just economy is one where enough tax is collected to run high quality, free public services like health and education, and where there is enough money to also invest in what is important, such as whānau wellbeing, job creation, affordable state housing, reducing pollution, and public transport.

To achieve this, MANA advocates for a major overhaul of the tax system to create a much fairer system. Currently, much of the income and profit amassed by high-income earners is not taxed at all.

Official reports show the gap between high and low income earners continues to grow, and it is estimated that 285,000 children live in poverty. Many whānau have been forced to borrow to make up the falling real value of wages over the last 25 years, meaning that low income whānau have become easy bait for loan sharks. Cuts to health and education continue to be made to cover the costs of bailouts and handouts to corporates, making low income whānau even less well off.

Tax policy needs to be much fairer across the board, low income whānau need greater incomes, and the cost of living needs to go down.

Long term, MANA supports the need to build a new sustainable monetary system to replace the current capitalist, privatized system that is so fundamentally flawed in order to significantly reduce the cost of living and share wealth much more fairly.

MANA policy priorities are to:

Raise the incomes of low-income earners
• Increase the minimum wage to $18.40 per hour (a living wage) and index it at 66% of the average wage to ensure it remains a living wage.
• Support changes to employment relations laws that give workers greater bargaining power to negotiate wages and conditions with their employers, including the right to strike.
• Guarantee workers' security of hours by requiring employers to offer extra hours to existing staff, up to 40 hours per week, before hiring new staff.
• Repeal youth rates for workers aged 16-17 years.
• Increase benefit levels to provide a livable income.
• Eliminate economic discrimination against the children of beneficiaries, as happens in the current ‘Working for Families’ policy.
• Work towards implementing a Universal Basic Income where everyone in Aotearoa aged 18 and over would receive a minimum, liveable, tax free income after which progressive tax would kick in. This would eliminate the huge costs involved in administering the current shame and blame WINZ system, and do much to end poverty and address growing inequality.

Reduce the cost of living
• Buy or take back key state assets, like power companies and telecommunications, at the price paid for them (or their market value – whichever is the lower), exclusive of the millions in fees and incentives used to sell them.
• Abandon the market-based provision of essential services such as electricity and water in favour of non-profit and sustainable provision of those services.

Reduce loan debt
o Regulate loan sharks and restrict banks’ profit margins on loans, credit cards, and mortgages.

Overhaul the tax system to make it fair
• Abolish GST which hits low-income earners hardest.
• Significantly increase the tax take by introducing a tax on financial speculation, called the ‘Hone Heke tax’ (chopping down taxes such as GST), which will be designed using examples of similar taxes introduced overseas. It will be used to replace the $15 billion collected by GST each year, and invest in key policies such as job creation and whānau wellbeing.
• Reduce the tax paid by low income earners by not taxing the first $27,000 earned and reintroduce a progressive tax scale where high income earners pay a higher proportion of income tax.
• Introduce a significant capital gains tax on all but the family home and Māori land.
• Collate all sources of income, including from shares, bonds, property, and investments, to be taxed at an individual’s personal tax rate.
• Reintroduce inheritance tax to be paid on a progressive scale for inheritances valued at over $500,000. This would exclude land held communally on behalf of iwi.
• Regulate family trusts and other tax avoidance devices to ensure no tax advantage applies to these or similar structures.
• Expand funding to the IRD to investigate and eliminate corporate tax loopholes.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Back Again: Government Approves TPP11 Mandate

The Government has approved a negotiating mandate for Trans-Pacific Partnership 11 (TPP11), which will ensure New Zealand businesses remain competitive in overseas markets.

Trade Minister Todd McClay says New Zealand will be pushing for the minimal number of changes possible to the original TPP agreement, something that the remaining TPP11 countries have agreed on. More>>

ALSO:

.

 
 

Gordon Campbell: On Why Labour Isn’t Responsible For Barnaby Joyce

As a desperate Turnbull government tries to treat the Barnaby Joyce affair as a Pauline Hanson fever dream – blame it on the foreigners! We’re the victims of the dastardly New Zealand Labour Party! – our own government has chosen to further that narrative, and make itself an accomplice. More>>

ALSO:

Rail: Greens Back Tauranga – Hamilton – Auckland Service

The Green Party today announced that it will trial a passenger rail service between Auckland, Hamilton and Tauranga starting in 2019, when it is in government. More>>

ALSO:

Housing: Voluntary Rental Warrant Of Fitness For Wellington

Wellington City Council is partnering with the University of Otago, Wellington, to launch a voluntary Rental Warrant of Fitness for minimum housing standards in Wellington, Mayor Justin Lester has announced. More>>

ALSO:

Treaty: Agreement In Principle Signed With Moriori

“The Crown acknowledges Moriori was left virtually landless from 1870, hindering its cultural, social and economic development. The Crown also acknowledges its contribution to the myths that the people of Moriori were racially inferior and became extinct." More>>

ALSO:

Susan Devoy: Call For Inquiry Into State Abuse Reaches UN

Race Relations Commissioner Dame Susan Devoy is in Geneva and has asked a United Nations committee to urge the New Zealand government to initiate an inquiry into the physical and sexual abuse of children and disabled people held in state institutions. More>>

ALSO:

(Not National): Cross-Party Agreement On Pike River Re-Entry

The commitment was signed this afternoon by the leaders of Labour, United Future, The Maori Party, and the Green Party and, together with the earlier commitment by New Zealand First, means that there is now a Parliamentary majority behind the families’ fight for truth and justice. More>>

ALSO:

Earlier:

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

Featured InfoPages

Opening the Election