Red Alert

What is Whanau Ora meant to achieve?

Posted by Kelvin Davis on February 9th, 2010

What exactly is Tariana Turia’s “Whanau Ora” policy about? No one knows.

Today in the house Tariana said she “hopes whanau will be no worse off, and hopefully be in a position to enjoy an improved quality of life” because of Whanau Ora.

Tariana Turia wants whanau to take a blind leap of faith in her flagship Whanau Ora policy but then absolutely fails to give assurances that when whanau blindly jump, that they’re actually going to land on something of substance.

Surely there has to be an expectation that whanau will be significantly better off from this policy, not simply a hope they “won’t be worse off?”


Exploding tax myths – Part 4

Posted by Stuart Nash on February 9th, 2010

Myth: John Key has said that New Zealand taxes consumption at a relatively low rate.

Reality: The rate of GST in New Zealand, at 12.5%, is relatively low, but the coverage of our GST system is particularly comprehensive. As a result, New Zealand has the sixth highest level of general consumption taxation, as a proportion of GDP, out of the 30 countries in the OECD.

The OECD stated in its 2007 edition of Revenue Statistics that:  ” . . contrary to the expectations of some commentators, there has not been any general trend in OECD countries from direct to indirect taxation. Indeed, there has been a slight trend in the other direction over the last thirty years, following a sharper fall in the share of indirect taxes from 1965 to 1975. Over the past forty years, the general trend away from indirect taxes has been so strong that only six countries– Luxembourg, Mexico, the Netherlands, New Zealand, Poland and the Slovak Republic – escaped it.” (p. 38, emphasis added)

So despite some general trends in this direction, New Zealand has been an outlier. This reflects our late (1986) adoption of a GST but also its comprehensiveness.

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Filed under: GST, Tax

Hamilton Election Promise Broken Already

Posted by Sue Moroney on February 9th, 2010

“Promise on Road Project Broken” screams the front page of the Waikato Times today. It was being delivered to homes all over the Waikato just as John Key was delivering his speech outlining his Government’s programme for the year ahead. How appropriate!

The NZ Transport Agency came to Hamilton yesterday to deliver the news that the Hamilton leg of the expressway is now not scheduled for completion until 2024. The problem is that the Nats made an election promise to complete the Waikato Expressway inside ten years – that is by 2018.

The other problem is that the Minister has reversed the order of construction so that the Hamilton by-pass comes last. That will create a bottleneck effect as the construction takes place to the north and the south of Hamilton first.

It means larger volumes of traffic will be delivered to congested Hamilton streets until 2024.

It looks like the Hamilton Government National MPs, David Bennett and Tim MacIndoe lack the influence and the ability to get their major election promise delivered.

Oddly enough, even though John Key used his speech to announce the Kopu Bridge replacement for the 11th time, the Waikato Expressway didn’t feature in his speech at all today. Hmmmmm………curious.


Where’s the Nat front bench?

Posted by Chris Hipkins on February 9th, 2010

I’ve been down in the House this afternoon listening to speeches on John Key’s statement. Interesting to note that their whole front bench, except for Chris Finlayson, who nobody has ever heard of, seem to have ducked for cover.

Instead we’ve been getting speeches from Pansy Wong and Phil Heatley. Where are the National Party’s big guns? Where is Gerry Brownlee? Where is Simon Power? Where is Judith Collins?

Colin Espiner notes in his blog:

“John Key has sketched out the direction he intends to take the Government this year. Now it’s up to Finance Minister Bill English to fill in the blanks.”

So why has English rushed out of the House? When is he going to fill in the gaps? If today was National’s first big test for the year, then they have failed miserably.


Doing less than a half decent job

Posted by Grant Robertson on February 9th, 2010

Jim Anderton has just drawn Parliament’s attention to this quote from John Key in October 2008.

National leader John Key said told a press conference this morning that if National is elected and does a “half decent job” at growing the economy, then increasing GST and the top tax rate will not be necessary

Now that is a serious level of self- reflection!

UPDATE: Its been pointed out that a hat tip is due to Jake Quinn over at Life and Politics was onto this earlier this afternoon.

Filed under: GST, Tax, economy, humour

In search of a plan

Posted by Grant Robertson on February 9th, 2010

One of the biggest dangers in politics is over-hyping.  It is hard to resist in this age of 24 hours news, and the need to keep the press gallery happy.  If we were to believe the media of recent days John Key’s opening statement was going to deliver the plan for a step change in our economy.  Key was to regail us with the plan, missing for all of the first year in government.

Well the postman has not delivered.  We have some vague promises on tax, and a lot of rehashed social policy.  An increase in GST, but no commitment to how he will compensate those on low incomes who will be the most effected.  There is a sudden interest in research and development, after having cut the $700 million  Fast Forward fund and the R+D tax credits.

For me it fails develop a vision for helping to create jobs, to develop the skills of New Zealanders and a sustainable economy and fairer society for the future.

UPDATE: Seems John Armstrong was not that impressed either.

Filed under: economy

PM’s Statement

Posted by Trevor Mallard on February 9th, 2010

Is that it John?


Focus on the bottom fifty, not the top five

Posted by Raymond Huo on February 9th, 2010

So we have been told the recession is officially over, but many people I have spoken to while attending functions during the past two weeks are still suffering and concerned about the future.

The feeling is that National are focussed on helping the privileged few at the top of the tax bracket, while the lowest earners will get nothing or a few cents pay rise which will struggle to cover the increased cost of living.

In Australia the bottom 50 percent of wage earners are better off than the bottom 50 percent in New Zealand – this has to change if the National Government really wants to catch up with Australia.

With the government unveiling major tax reforms today it is vital that any reform has to benefit the majority of tax-payers and particularly the ones that need it the most – the bottom 50 percent.

Prime Minister John Key will announce his tax reforms later today, will they benefit the many or the privileged few?

Filed under: Tax, ethnic

Will Key ever answer questions?

Posted by Chris Hipkins on February 9th, 2010

Parliament resumes today after the summer recess. Hopefully that will prompt John Key to finally stump up with answers to the Written Parliamentary Questions I put to him before Christmas. I asked him 67 questions late last year. In all cases he said he couldn’t give me an answer within the 6 days required by the written questions system, but he assured me I’d get the information as soon as possible.

It’s now 8 weeks since I asked the questions, but alas no answers have arrived. The questions were legitimate questions asking him to account for the spending of his ministers at a time when they were telling us all to tighten our belts.

We saw last year that National Ministers do not practice what they preach on fiscal responsibility and the public deserves to know what they are spending, e.g. the Bill English rort to finance his family home and the last minute changes to let ministers use self-drive cars meant to help them serve their electorates in Wellington.

Labour answered these types of questions when asked by a National Opposition so what is Key hiding?

Here is a quick summary of the topics that I asked Key about:

  • Pay rises for staff working in Ministerial offices (remember other public servants have a wage freeze)
  • Use of VIP cars during National’s first year in office
  • Refurbishment costs for ministerial offices
  • Spending on gifts, beer, wine and spirits by ministers
  • Purchase of self-drive vehicles and related issues
  • Issues relating to Key’s changes to ministerial housing allowances

John Key talks a lot about transparency and accountability but it is all talk. The reality is neither he nor his ministers think that the rules that apply to others apply to them. Key’s ongoing refusal to answer basic written parliamentary questions just proves that.


ACC cuts coming to someone near you

Posted by Darien Fenton on February 8th, 2010

With the ACC Bill due to be reported back to parliament this Friday from Select Committee, watch out for a stepping up of opposition to ACC cutbacks and privatisation.

The ACC Futures Coalition and the leadership of last year’s “bikeoi”,  have teamed up to organise a march and rally on 16 February opposing the Government’s attacks on ACC.

Brent Hutchison, organiser of the bikeoi says :

“When we came here last year we were concerned about unfair levies.  We said we would be back, and now we will be – together with other groups who are feeling the impact of what the Government is doing to ACC. In November we were chanting ‘who’s next’ and now we know. It is the worker in the dangerous job, the seriously injured person who is to be forced off ACC weekly compensation on to a benefit, the victim of sexual abuse, the worker who is forced to use up all their holiday pay before being entitled to full weekly compensation and the worker who is deemed to be suffering less than 6% hearing loss. It is all New Zealanders who are next because we all rely on ACC as our backstop, and we will be there on 16 February to tell the Government to leave our scheme alone.”

And the CTU has developed three videos, which played on giant screens at the Westpac Stadium Queen’s Wharf and Courtenay Place during the Wellington Sevens game in the weekend.

Make sure you look out for the report back on Friday from the Select Committee considering the ACC bill.  You will see then if the government has taken any notice of those opposed to the slashing of entitlements in the bill – which was, by the way, almost every submitter.

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Filed under: ACC, protest

Health System on its Head

Posted by Iain Lees-Galloway on February 8th, 2010

Last month when Rahui Katene suggested more public money be put into providing stomach stapling operations as an answer to obesity-related health complications I knew in my gut that it was the wrong message and needed to be challenged.

But I also know a couple of people for whom this type of operation has been extremely beneficial and has extended their life expectancy immensely. As a final option – when all other avenues have been explored – it should be considered.

Today, however, the completely arse-about-face approach to healthcare the National / Act / Maori Party government take has taken a step into the ludicrous.

Reports this morning bemoaning the additional costs to ACC of dancing-related accidents typify the thinking:

Prevention = Bad, Cure = Good
                             or
 Long term plans = Bad, Short-term stats in time for the election = Good

Should we discourage kids from playing sport because they might get injured? Should we not go to the gym because we might pull a muscle? Should we all sit on the couch and watch TV or play Playstation rather than go for a walk as a family?

And having lived that type of lifestyle, will the Government then pick the tab on surgery to make it all OK?

There is no sense whatsoever in taking away the services that teach people to take responsibility for their own health and assist people to make early interventions and then putting more ambulances at the bottom of the cliff.


Home help cuts disgusting

Posted by Chris Hipkins on February 8th, 2010

Recently my electorate offices have been deluged by complaints about cuts to home help hours. I’ve asked Hutt Valley DHB what’s going on several times and they have constantly claimed there have been no budget cuts, they are just doing a regular review. Frankly that’s rubbish. From what I’ve seen the cuts are deep and they’re disgusting. They are putting the health and wellbeing of our older citizens at risk.

It’s stupid and short-sighted. More seniors will end up in hospital. More will end up going into full-time care. It will cost the DHB a lot more. I just don’t know what they think they are doing. The families concerned are worried. They’re trying to do their bit to help out but often they’re balancing full-time work with raising their own families. There are limits to what they can do.

The carers are worried too. They’re often the people who have the most regular contact. If I were to ask them who will end up in hospital in the next few months, I reckon they could predict it with about 90% accuracy. Why aren’t the DHB tapping into that expertise. Surely prevention is better than treatment further down the track?

I find it particularly disgusting that many of these cuts are being done over the phone. How on earth can someone tell whether or not it is fair/safe to cut an elderly person’s home help hours based on a 5 minute phone call?

I’ve often quoted Hubert Humphrey’s remark that a society should be judged by how it treats those in the dawn of life (children), the twlight of life (the elderly) and the shadows of life (the sick and the needy). If that’s our measure, then sadly we’re not doing too well at the moment…


One Tribe Y’all

Posted by Clare Curran on February 7th, 2010

Following on from Trevor’s Minuit post yesterday, with that fab song that stirred the heartstrings about You and me; we are New Zealand, I spent Waitangi Day at Onuku Marae just outside Akaroa. Incredibly beautiful place and I live just up down the road from Otakou Marae on the Otago Peninsula, which is equally beautiful, but different.

The Governor General, Anand Satyanand, gave his first Waitangi Day address in a location other than Government House Auckland or Wellington.

He attended the Ngai Tahu Treaty Festival at the Onuku Marae, where in 1840 the Treaty of Waitangi was first signed in the South Island and also the place where in 1998 the Crown gave its apology for breaches of the Treaty in its dealings with Ngāi Tahu.

He delivered a powerful address. Something he said, really stood out for me.

Twenty years ago, the late Emeritus Professor John Roberts, spoke on Radio New Zealand about the sequicentenary of the signing of the Treaty.  This was five years after the jurisdiction of the Waitangi Tribunal had been extended to examine historical claims, and a few years before the first historical settlements.   There was then some uncertainty from both Māori and Pākehā as to the outcome of the process.

John Roberts foresaw that the process of bringing order to history’s “tangled web” would inevitably be slow and marred by misunderstanding.  However, he believed that the Tribunal would one day be seen as a “proud possession of the whole nation.” More importantly, he also saw beyond the grievances of the past to a shared future.  He said:

“Years ago, at a conference on race relations in New Zealand, someone proposed … that Pākehā and Māori would eventually merge into a new and distinct people.  Perhaps in the long run they may, and we shall gain something.  But in the meantime we must deal with the reality of difference. My hope is not only that we may move closer and understand each other more fully but, far more than that, we may enjoy each other.”

A new and distinct people. Something to truly aspire to though, if at all, a long way off. We  need to “get” each other, and as a nation not sure we are up for it yet. The John Key approach to flags and being relaxed about our relationships are not enough. So the reality of difference is what we must get right for now.

I know it’s not Kiwi, but all summer, courtesy of my two nine-year-olds, I’ve been listening to the Black-Eyed Peas. I became a fan of Will I am during Obama’s campaign when he spear-headed the Yes we Can song.

Their One Tribe song below is how I would like to see our future. Acknowledging our differences, but celebrating what binds us.

And ok, I have a bit of hippie in me.


Farting in church

Posted by Trevor Mallard on February 7th, 2010

Some posts don’ t make me popular with either friends or opponents but I think it is about time to have a go at a couple of myths around the employment and payment of teachers.

First, John Roughan who bases his column on his father’s experience as a principal and thinks it is too hard to dismiss a teacher.

Competition for pupils would force principals to get rid of the odd staff member who should be doing something else and reward the rest at last with decent pay.”

Times have changed since then. I introduced training for first time principals and then principals more generally; expanded the Ministry contracts for principal advice; and funded the School Trustees Association’s employment advice stream for employers. Tolley has cut the vast majority of this.

Employment matters were an important part of all those streams of advice. Boards and principals have a much better understanding of their options with poor performers, including dismissal, than when John’s father was a principal and struggled with what they considered a hopeless task.

Modern assessment systems including NEMP and asTTle give clear evidence when students don’t make progress. Useful in the rare, contested cases.

And the NZEI has played a very positive role. They have for years wanted the regard in which teachers are held in society to be improved. They know that moving poorly performing teachers on is important to their professional and pay ambitions. They have paid a very positive role in the Teachers’ Council. They insist on proper process but have often been harder than others because of their knowledge of the harm a bad teacher can do – especially in a small primary school.

Because the process is so effective, bad teachers are now more likely to resign than be sacked. A small proportion do make it to other schools but that will stop when Tolley gets round to progressing the legislation requiring early notification that she stalled in the house in the middle of last year.

Secondly, there is a widespread impression that it is not possible to reward teachers based on their performance rather than merely on experience and qualifications.

As an aside, the best performing schooling system in the world (Finland) pay very, very well, require a Masters degree and only accept one in eight applicants. They don’t have a performance component but use a  high trust professional model.

In New Zealand, we have a system called units, used in primary and secondary schools. They are worth $3k+ each. Added on a temporary or permanent basis to salary. From memory, the last pay round put 10k more units into primary schools. There aren’t any limits to the number a teacher can be allocated and the principal has discretion in their use. In good schools, good teachers get them.

So sorry to destroy a couple of myths. Bad teachers can be and are being fired. Good teachers are paid more.

Doesn’t stop Key and Tolley trying to use the arguments to promote their so-called standards. I think they probably should be in the group of  88% of parents who admit they don’t understand the standards system and how it is proposed to work according to yesterday’s Herald.


Flying the Maori Party flag

Posted by Trevor Mallard on February 7th, 2010

Tim Watkin has a good post on Pundit which asks if flying the Maori Party flag on government buildings is meaningless and patronising or whether it means something – and if so is that is more disturbing?


Remember the source

Posted by Raymond Huo on February 6th, 2010

Yin Shui Si Yuan (饮水思源) or “when you drink from a stream, remember the source” – the Chinese proverb got me thinking about the state of the Chinese Community and wider communities in New Zealand.

Certainly that kind of mood was apparent among some of the 900 or so guests celebrating the Chinese New Year (falls on 14 February this year) at TelstraClear Pacific Centre in Manukau on Friday 5 February.

Surely, Minster for Ethnic Affairs Hon Pansy Wong had every right to praise her Government for boosting our country’s profile in China which culminated in Prime Minister John Key’s visit to China last April. The crowd cheered when she announced that “six Prime Ministers are going to Shanghai Expo in May”. But the excitement quickly died down when her slip of the tongue became obvious after she said the six Prime Ministers would include herself – she was meant to say six ministers.

Again, her Government had every reason to celebrate in that context because the value of our exports to China over the year ended June 2009 increased by 62% following a Free Trade Agreement with China. That is to say our exporters, our economy and certainly our Chinese counterparts have reaped the benefits of this deal.

Who took the initiatives? Labour. Who signed the FTA? Then Trade Minister and now Leader of the Labour Party, Hon Phil Goff.

In much the same vein, we should acknowledge that New Zealand has come through the recession largely because of the legacy of Labour’s prudent fiscal policies that dramatically reduced Crown debt. Another factor was the last Labour Budget which provided stimulus to counteract the international downturn.


Minuit: “Aotearoa”

Posted by Trevor Mallard on February 6th, 2010

Good song for Waitangi Day. Great pictures. Watch us develop. Plenty of I was there moments. And a few where I wish I had been.


Just who is misleading on national standards?

Posted by Grant Robertson on February 6th, 2010

As we know John Key made a great deal this week of what he called “misinformation” from those who oppose the National Standards policy.  But it seems he might want to look in the mirror for misinfomation. In the Dominion Post today is a letter from Ivan Snook, Emeritus Professor of Education at Massey University.  He takes the PM to task about his claims about an Education Review Office report into reading and writing in Years 1 and 2. He takes each of Key’s claims in turn. Over to Ivan;

“1. Two-thirds of teachers were not properly managing assessment. Not correct. It found that some leaders trusted their junior school teacher or leader who knew the pupils well, a perfectly reasonsable thing to do.
2. 30 per cent of teachers were not doing a good job of teaching reading and writing. Not correct. It found that 10 per cent of teachers were less than adequate.
3. Many principals aren’t adequately sharing their school’s achevement information with their communities. Not correct it found that they reported to the school community about their own school, but did not always give data comparing it to other schools”.

Its quite clear that the Government went into furious damage control last week around National Standards. They must have put out the word for some “evidence” to back their claims, and it seems they might have got a bit over-excited.


Saturday Sport- A curmudgeonly tone

Posted by Grant Robertson on February 6th, 2010

Once upon a time the 1st of April marked an important day in many New Zealand towns.  It was the day that parks were handed from the summer codes (cricket or sofball usually) to the winter codes (rugby or soccer most likely). Who knows it may well still happen in some places, but believe it or not next weekend Super 14 (or is it 15) rugby will start for the year, and with it the saturation coverage on Sky Sport and elsewhere.

Am I alone in thinking this has got completely out of hand?  I understand the pressure to fit in various pieces of the puzzle that make up a rugby season in a professional era, but we are not quite halfway through the international cricket season.  The biggest tour of the year (Australia) is yet to happen. 

Well, let it be known that this lifetime rugby fan is following in the footsteps of Mils Muliana and Richie McCaw and I will be delaying my start to the season, by about six weeks or so.  Maybe by that stage of the competition they will have worked out the tackle ball rule for this season.

Filed under: sport

John Hattie tells Key and Tolley to start again on standards

Posted by Trevor Mallard on February 6th, 2010

Andrew Laxon has dug a bit deeper into John Hattie and his views in todays Herald.

John Hattie has effectively become John Key’s principal source of advice on school standards.

His views include.

Hattie replies that he supports the concept of standards-based learning but not the system the Government has introduced – in fact, given the chance, he’d scrap it and start again.

Hattie’s first point is that, despite sweeping claims of failure by Key and Education Minister Anne Tolley, the New Zealand school system is in good shape, especially compared with the rest of the world.

National standards, he argues, are usually the catchcry of countries where the education system is in serious trouble. They have been introduced in the US, Britain and Australia but none of these countries have been able to show any overall improvement in student achievement.

Hattie believes national standards may lift the performance of a few children at the bottom of the educational heap but says the average will not change because bright children will be neglected. He thinks the policy threatens to destroy one of the great strengths of New Zealand’s education system, which recognises that children of the same age have different academic abilities and allows them to learn at the level of their current ability.

Despite the political rhetoric, he says, some children will always fail – a 100 per cent success rate is impossible – so no one can tell if the policy is working or not. More importantly, no one has worked out how well students are doing now or how well we think they should be doing. So the standards are at best a “data free” educated guess about what they should know.

In any case, says Hattie, they are far less important than the progress children make each year.

Hatties argues that this emphasis on benchmarks rather than progress can lead to a series of perverse games designed to hide student failure and make schools look good in national statistics.

In the United States schools excluded more than a quarter of students with problems such as special needs or poor English from the results – precisely the children who needed the most attention.

In the US and Britain teachers became less innovative and spent far more time preparing children to sit tests. US schools cut back on other subjects such as social studies, science and art to concentrate on the literacy and numeracy tests.

For instance, good writing is highly subjective but teachers do not have an agreed national marking schedule, let alone training in how to use it. One teacher could decide a child’s work meets the standard, while another teacher in a neighbouring school (or even a neighbouring classroom) could decide it does not.

It will be interesting to see what Kiwiblog and Key say now.