Thursday 26th May 2011 2 Comments |
Text too small? |
The Government is making a mockery of its promise to seek an election day mandate on KiwiSaver changes, the Labour Party says.
Following last week's budget, Parliament passed legislation under urgency that would cut annual government contributions from $1042.86 to $521.43 starting in July this year, though the payment would be paid in 2012.
While the Government halved its payments, employee and employer contributions would increase from 2 percent to 3 percent.
Prime Minister John Key said KiwiSaver cuts would not impact New Zealanders until after the election and people would be able to vote on the changes.
But Labour finance spokesman David Cunliffe said the Government lied about seeking a mandate as it has passed legislation that effects people starting July.
"The Government has already budgeted on a 50 percent reduction in its contribution before it goes to the electorate for a mandate."
Key maintained that the changes would not kick in until after the election and a new government could reverse the changes.
"In July there is a new formula, but effectively what happens is that's not paid until an annual basis," he told reporters.
"So if there was change of government on November 26, and the incoming government decided they could afford to and wanted to make a change it could do so."
Kiwi Property FY24 annual results announcement date
MFB - FY24 Results Announcement Date and Briefing Details
AIA - Announces books closed for retail bond offer
May 8th Morning Report
NZ-UAE free trade on the table
ANZ - 2024 Half Year Results Documents
FWL - Foley Wines Limited 2024 Harvest
IKE Closes Major Multi-Year Subscription Deals
AIA - 2024 Macquarie Australia Conference Overview of AIA
Devon Funds Morning Note - 06 May 2024