Archive for September, 2010

The Tax Switch/Swindle

September 26th, 2010

The last few days in the electorate have been marked by an increasing number of people, of all political persuasions working out that the tax switch is going to see them no better off, and in many cases worse off. The GST increase, and the associated price increases are top of mind. In Wellington 6% increases in power bills and the increasing costs of bus travel will wipe out the meagre tax cut benefits for those on low to middle incomes. Everything from the increased cost of rates, rents, stamps and food have also been raised with me.

The NZ Herald had a feature story on this yesterday as well, and the experience of the family who have had the benefit of tax cuts wiped out by the government’s funding cut to early childhood education is another commonly raised issue.

The Sunday Star Times story today, though, makes clear the real problem with the tax switch

The real winners from the cuts are people earning more than $70,000 a year. Anyone earning $100,000, for instance, can expect nearly $70 more in their pay, making them $42 better off after paying that extra GST. For low income earners, the impact is marginal. Someone on $20,000 will be nearly $3 better off, while someone on $30,000 will be $6 richer.

No wonder John Key has instructed his MPs to try to sell the tax switch. The problem is people know their own budgets and costs, and no amount of spin will change that.

John Key and MMP

September 26th, 2010

An interesting story in the Sunday Star Times today

THE PRIME Minister’s chief of staff told anti-MMP campaigner Peter Shirtcliffe last year that John Key supported moving to a Supplementary Member system, and that there were no “impediments to progress” in caucus, minutes leaked to the Sunday Star-Times show.

This is interesting in light of John Key’s comments last week that he thought the ACT party’s meltdown was likely to see people vote MMP out. This was of course a classic tactic to divert the debate away from the actual issue (the fact he is supporting Rodney Hide who covered up David Garrett’s actions) to try to make it about MMP.

In what we now know as business as usual for Key he has played every side of the argument with MMP, and we have heard lots of platitudes about him not taking a strong stance. Many people have had suspicions for some time what he really thinks. Its time for him to front up to the public about where he stands.

(For the record I support MMP, though I would like to see a couple of changes, in particular the electorate lifeboat, that, for example saw ACT get 5 MPs despite failing to get to the 5% threshold because Rodney won Epsom).

David Clark for Dunedin North

September 26th, 2010

Delighted to say that David Clark has been selected as the Labour candidate for Dunedin North.  David will be an excellent candidate to take over from Pete Hodgson.  He has a varied background, originally training and serving as a Presbyterian Minister, getting a PhD and then working as a Treasury analyst, advisor  for Climate Change Minister David Parker, and currently working as the Warden of one of the oldest university residential colleges (we used to call them Halls of Residence) Selwyn College, and serving on a variety of community bodies, including the Otago Community Trust.If David wins Dunedin North, he will be a significant addition to the Labour caucus.  He has a heart of gold and a very sharp mind to back it up. Congrats David!

ACT tail wags National dog

September 24th, 2010

Heather Roy’s voluntary student association membership bill has been reported back from the Education and Science Select Committee.  It recommends, with a few minor changes, that the bill proceed.  This is bad.

In the Select Committee we heard from individual students whose ability to stay at university or polytechnic was the result of advocacy and representation from student associations.  Like the guy in Hamilton whose flat burned down and was about to be left with nothing because his insurance company gave him the run around, until the student association stepped in.

We also heard from tertiary institutions who do not support the Bill.  They appreciate the representation role played by student associations, and they know that they can not provide services in a cost effective way that associations with large amounts of voluntary labour can.

We heard from Australia how their version of voluntary membership destroyed the vast majority of the services and programmes that student associations ran.

The bizarre thing about this Bill is it actually takes away a choice for students.  The current law, which National put in place, allows students to decide by referenda if they will have a voluntary or universal association.  That is gone.

One curious thing, is Heather Roy’s media statement on this Bill focuses on calling for National to support her bill. She says

“I call on the National Party – indeed, all Parties of this House – to support my Bill and the right to freedom of association for students throughout New Zealand,” Mrs Roy said.

Why ever would she be worried about National’s support? Didn’t they just vote it through the Select Committee? How curious.

Rodney Hide too distracted to be a Minister

September 24th, 2010

As previously noted the last time I asked Rodney Hide where the review of special education was I got a very short shrift.  The review was all but done when Heather Roy was unceremoniously dumped.  Parents, schools and families are anxiously awaiting the outcome.  They appreciated the work Heather Roy had done, but are worried the review seems to have disappeared. It is now a month since Rodney Hide became the Minister responsible for special education and we have not heard a peep from him on the subject.

I am strongly of the view Rodney Hide is not appropriate to be a Minister, and John Key’s continued defence of him is disturbing.  In addition he is clearly far too distracted to actually follow through on the important tasks of being a Minister.  For the good of all those involved in Special Education John Key needs to do the right thing and relieve Rodney Hide of his portfolios.




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