Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Superannuation report misses a few key points

Media release 19 December 2003

Superannuation report misses a few key points

The 2003 report of the Periodic Report Group (PRG) is generally on target, though misses a few key points, says Business NZ.

Chief Executive Simon Carlaw says it's good news that the report does not favour either tax incentives or compulsory superannuation. "As the report notes, the focus should be on education and information, removing existing tax distortions and reducing compliance costs. We also agree that there is potential for more opportunities for people to save for retirement through deductions from wages at source, into flexible, portable superannuation schemes."

Mr Carlaw says the report fails to address the impact of decisions that are making people think that they don't need to save for their retirement, particularly the establishment of the NZ Superannuation Fund.

"The existence of that scheme, that can never fund more than a fraction of the future costs, is making people too complacent," Mr Carlaw said.

"We have concerns about the sustainability of NZ Superannuation, particularly at current levels and eligibility. Economic growth is the only way to ensure that future retired generations have the standard of living of their parents and grandparents. The Government must get serious about returning New Zealand to the top half of the OECD and use the breathing space we currently have to ensure the economy can deliver into the future.

"And employers will be concerned at the report's recommendation that 'pay equity' should be encouraged to address women's savings. The gender earnings gap is already closing without the Government needing to impose pay equity on employers through the guise of retirement saving."

ENDS

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Frog Recruitment: Kiwi Workers Reluctant To Make Business Trips Across The Ditch Despite Trans-Tasman Bubble Opening

When the trans-Tasman travel bubble opens today, many Kiwi companies won't be rushing to buy an air ticket, reluctant to cross the ditch to do business. The latest survey conducted by leading recruitment agency, Frog Recruitment of nearly 1,000 New Zealand ... More>>

Tourism: Employers Welcome Back Working Holidaymakers

Tourism businesses gearing up for the return of Australian visitors from next week will be relieved to learn that they will also have access to an offshore pool of much-needed job candidates, Tourism Industry Aotearoa says. Tourism employers around ... More>>

Commerce Commission: Latest Broadband Report Confirms Improved Performance Of Premium Fibre Plans

The latest report from the Commerce Commission’s Measuring Broadband New Zealand programme shows that the performance of Fibre Max plans has improved substantially. This follows a collaboration between the Commission, its independent testing partner, ... More>>

Air New Zealand: Capital Raise Deferred

Air New Zealand has decided to defer its planned capital raise to later in 2021 allowing more time to assess the impacts of recent developments on the airline’s path to recovery. 'We’ve seen some clearing of COVID-19 clouds recently, with ... More>>


Stats NZ: Prices For Transport And Housing Rise In March 2021 Quarter

Higher prices for transport and housing led to a 0.8 percent lift in the consumers price index in the March 2021 quarter, Stats NZ said today. Prices for getting around rose in the March quarter. Transport prices rose 3.9 percent, the biggest quarterly ... More>>

Stats NZ: New Report Shows Impact Of Demands On Land In New Zealand

A new environmental report released today by the Ministry for the Environment and Stats NZ, presents new data on New Zealand’s land cover, soil quality, and land fragmentation. The land cover data in the report, Our land 2021 , provides the most ... More>>

ALSO:

Stats NZ: March Card Spending Rebounds Despite COVID

There was a lift in retail card spending in March following a fall in the lockdown-disrupted February month, Stats NZ said today. Seasonally adjusted retail card spending rose by $53 million (0.9 percent), compared with February 2021. Visit our website to read ... More>>