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

 

Kiwis punished for flying the flag overseas

5 November 2007

Kiwis punished for flying the flag overseas

NZ Super means-tested: Kiwi singer warns all KiwiSavers

NBR NZ Opera director Barry Mora is raising his voice for the thousands of New Zealanders denied NZ Super on account of KiwiSaver-type contributions made while working overseas. He warns that all working Kiwis could lose their Super.

Mr Mora, “feeling like a second-class citizen in my own country”, has alerted the Prime Minister to the fact that New Zealand’s “universal, non-means-tested” superannuation is a myth.

An internationally-acclaimed baritone, Mr Mora sang for 12 years in Germany, where his pension scheme contributions were subsidized by his employers.

“Now in my retirement I receive a pension from Germany - reduced by 30 per cent for what is recognised as the German social security part of my entitlement. This I understand and regard as fair. The government of Germany honours its commitment to me and my ex-employers by regularly sending me the 70 per cent balance.”

New Zealand’s direct deduction policy, however, makes compulsory overseas pensions a disqualification for NZ Super. In effect, the country for whom Mr Mora “flew the flag” overseas is confiscating his whole German pension.

“If KiwiSaver becomes compulsory, as Revenue Minister Peter Dunne predicts, our government need only apply its policy to compulsory pensions here for all working Kiwis to lose their Super.”

Mr Mora assists young singers as they prepare for their own overseas careers, aware that even a few years’ pension contributions overseas will consume their NZ Super when they retire.

“Of course it is not only singers. Increasingly international career moves mean that over 50,000 New Zealanders now have their Super drastically reduced or receive nothing.”

Mr Mora received a recent call from the Chief Executive of the Ministry of Social Development, acknowledging that his NZ Super deductions were unjust. Although the ministry has been advising cabinet ministers as much since 2003, the government has shown little inclination to change the legislation.

Mr Mora says the deduction policy amounts to financial abuse of the elderly.

“The policy draws its impetus from a disrespect for foreigners and for the aged. People who worked overseas are isolated and particularly easy to exploit in their retirement. I’ve been a New Zealand taxpayer for three quarters of my working life, and I’m being robbed of most of my Super. I’m talking tens of thousands of dollars.”

Mr Mora is a member of NZ Pension Abuse, whose website, www.nzpensionabuse.org, highlights the international perspective:

“Denying a retirement scheme for which a person qualifies during one period of a working life on account of a fund paid for during another arouses international disgust. To offset NZ Super against proportional pensions is to trample fundamental rights honoured throughout the Western world.”

ENDS

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Digitl: Download 2.0 – Vodafone Wi-Fi Calling hits early milestone
Vodafone says it has 10,000 customers using its Wi-Fi Calling service. It took less than three months to reach that milestone; the service began operating in September... More>>

Energy Resources Aotearoa: New Law On Decommissioning Could Be Costly Overkill
A new law on decommissioning oil and gas fields passed by Parliament today has good intentions but is overkill, according to Energy Resources Aotearoa. "We strongly support operators taking responsibility and paying the costs for decommissioning, which is what all good operators do," says chief executive John Carnegie... More>>


Commerce Commission: News Publishers’ Association Seeks Authorisation To Engage In Collective Bargaining

News Publishers’ Association of New Zealand Incorporated seeks authorisation and provisional authorisation to engage in collective bargaining with Facebook and Google. The Commerce Commission has received applications from News Publishers’ Association of New Zealand Incorporated (NPA) seeking authorisation and provisional authorisation on behalf of itself... More>>


ABC Business Sales: Demand High For Covid-proof Businesses
Despite the continuing challenges facing businesses in this Covid environment, right now there are more buyers looking for a small-medium sized business than there are sellers in the market... More>>


PriceSpy: Producer Prices Increase
New Black Friday and Covid-19 Report* released by PriceSpy says people’s fear of stepping inside physical shops during big sales events like Black Friday has risen since last year; Kiwis are still planning to shop, but more than ever will do it online this year... More>>

NZ Skeptics Society: Announce Their 2021 Awards, And Dr Simon Thornley Wins The Bent Spoon

Every year the New Zealand Skeptics presents its awards to people and organisations who have impressed us or dismayed us, and this year it’s been hard to pick our winners because there have been so many choices!.. More>>



REINZ: Sales Volumes Leveling Out

Data released today by the Real Estate Institute of New Zealand (REINZ) shows there were 44 fewer lifestyle property sales (-2.6%) for the three months ended October 2021 than for the three months ended September 2021... More>>