17 March 2005

Correction to Winston Peters' super claims

Winston Peters is either intent on misleading older New Zealanders on the government's super policy, or he simply doesn't understand it, Social Development and Employment Minister Steve Maharey said.

"Mr Peters' repeated claim that the government is allowing the married rate of super to fall below the net average wage is simply wrong," Steve Maharey said.

"The law requires the married rate of super to be 65 percent of the average wage after the annual adjustment. If it does dip below 65 percent during the year, the annual adjustment will bring it back to above 65 percent.

"The annual average rate since 2000 has never fallen below 65 percent of the average wage.

"To solve his imaginary problem Mr Peters would have quarterly rather than annual adjustments to super.

"Mr Peters knows this would be costly to administer, out of step with most wage and salary earners - who receive an increase only once a year - and would make no real difference to the rates of super."

"Winston Peters' attempts to mislead pensioners underlines his desperation as he tries to win support ahead of the next election."

ENDS

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