Friday, February 11, 2011

Minimum wage increased again

The minimum wage has been increased from $12.75 an hour to $13. The new rate comes into effect on 1 April 2011.

The National-led Government is working hard to lift the long-term performance of the economy. We’re committed to creating and protecting jobs while ensuring a fair wage. Since being elected, National has raised the minimum wage by $1 – this is $40 a week.

The 25-cent-an-hour increase, along with tax cuts last year, means workers still have the buying power of their wages. Taking a careful and balanced approach has helped prevent workers being priced out of the market.

We want New Zealanders to earn more, but legislation is not a long-term solution. Good economic policy, good infrastructure, good skills, a good tax system, low levels of debt, and an outward facing economy are what will lift people off the minimum wage.

More information: http://www.http://www.beehive.govt.nz/release/minimum-wage-increased-13

Building better results from public services

Building better results from public services

The National-led Government is focused on building better results from public services to improve the lives and wellbeing of New Zealanders.

We are committed to delivering high-quality health care by streamlining bureaucracy, providing better frontline services, and focusing on our health targets. We want an education system that gives New Zealanders the skills they need to participate in the global economy.

We aim to improve results from welfare by addressing long-term benefit dependency, and helping people back into work. We are committed to a strong and effective justice system for a safer New Zealand.

We will scale up what works, get rid of what doesn’t, and move resources to the frontline. We made structural changes in several government agencies in 2010, and are looking at further reforms to streamline and improve the performance of the government bureaucracy.

More information: http://www.beehive.govt.nz/feature/statement-parliament-2011

Building a stronger economy

This year the National-led Government will continue building a brighter future for New Zealand.

Our next steps are to put the Government's finances in a stronger position so we don't need to borrow as much. We will continue to roll out our wider economic programme aimed at building stronger, enduring economic growth that raises New Zealanders' incomes.

We are working on two fronts to lower the cost of living for New Zealanders and their families. Our plan to borrow less will help keep prices and interest rates lower, and our economic programme will help build stronger growth and faster rising incomes.

On average, real after-tax wages have risen considerably faster than prices under this Government. After-tax wages have gone up 16 per cent, due to normal wage growth combined with the effect of the tax cuts, while inflation – the price of goods and services – has increased 6 per cent.

This year we will work to ensure after-tax wage growth continues to outstrip price increases.

More information: http://www.beehive.govt.nz/feature/statement-parliament-2011

Budget on 19 May will focus on savings and investment

Our third Budget will be delivered on 19 May. It will continue our programme to build New Zealand’s national savings, increase investment, create jobs, and lift incomes, as well as reducing the country’s vulnerability to foreign debt.

In Budget 2009 we had to get through the recession in reasonable shape and turn around the appalling forecasts we inherited – never-ending deficits and ever-increasing debt. In Budget 2010 we changed the tax system to reduce the incentive for excessive spending and borrowing, and to encourage savings. We will continue along that line in Budget 2011.

We will ensure the Government plays its part in lifting national savings by returning to budget surplus as soon as possible and by requiring better and smarter services from the public sector.

More information: http://www.beehive.govt.nz/release/budget-19-may-savings-and-investment-focus

Thursday, February 10, 2011

Taking back our Communities

I have huge respect for our Police. They have the unenviable task of keeping our communities safe. That job has become much harder. Some people see the Police as the enemy, fair game when they interrupt them in their illegal endeavours.

The two recent incidents of serious assault on Police in Dunedin are examples of this abhorrent and unacceptable behaviour. This is not a game. The Police go to work each day wanting to make a positive contribution to our community; to feel as though our place is better for their efforts. They do not expect to be routinely abused, spat at, fled from, and assaulted.

I’ve seen some blogs in response to Mayor Dave Cull’s comments on the attacks. They reject his call that the community take responsibility, and suggest that what is needed is politicians to get some backbone, make the hard calls and change the laws to stop such attacks happening. I’ll return to the merits of that view later. But it is worth remembering that no government in recent history has done more to build a safer New Zealand than this National-led Government.

We’ve put more police on the beat. Six hundred extra officers will be on our streets by the end of this year. They now have more tools including expanded DNA collection, and on-the-spot protection orders to combat domestic violence. Parole is harder to get and sentences for our worst repeat offenders will be longer.

We’ve declared war on gangs and P. Police have new powers to intercept gang communications, dismantle drug fortifications, and seize the proceeds of crime.

We’re making progress with the Alcohol Reform Bill. This focuses on minimising alcohol related-harm including crime. It zeros in on where harm is happening – particularly around young people.

But this is also a community responsibility. Governments can pass laws continuously but unless the community is prepared to support those laws with a low threshold for anti-social behaviour, unless we become concerned neighbours again, and above all respect the Police who keep us safe, those laws will be far less effective.

Over to you.

Wednesday, February 9, 2011

Early Childhood Education Funding Sensible, Affordable.

This financial year, the Government will invest $1.4 billion in Early Childhood Education (ECE). That’s an increase of $200 million over the previous financial year. So it is simply not true to say that funding for ECE has been reduced. The per-child funding of ECE is now $7600 per child per year. This compares to an average of $5528 for a primary school student and $6733 for a student at secondary school. Despite Dr Clark’s scaremongering, 20 hours free ECE is still in place.

However, while the goal of the previous Government was to increase participation in ECE, the massive increase in government funding has resulted in just a 1% increase in participation and in some parts of the country up to 40% of pre-school children are missing out on ECE. So we are making sure that funding reaches those children who need it the most. We are investing $91.8 million over the next four years in five intensive community-led participation projects in high priority areas. This will lead to an additional 3,500 places in ECE, targeted at Maori, Pasifika, and children from lower socio-economic areas.

So why all the fuss about ECE? Put simply, this is about the qualifications of the staff into whose care we entrust our children. The previous Labour Government committed to a goal of 80 % qualified ECE teachers by 2010 and 100% by 2012. This unrealistic target would have led to up to a thousand ECE centres having to close. At the moment only 67 % of teachers in the sector are registered. We amended the target to 80% by 2012.

In Budget 2010 we also announced that we would align funding to the 80% goal. Thus, prior to 1 February 2011, in a facility where the mix and age of children required say 5 staff, the Government would fund all five if they were registered teachers. After 1 February funding will be for up to four registered teachers and one unregistered staff member. The unregistered staff member could be an experienced teacher aide or parent of grown children returning to the workforce but without formal qualifications.

The staffing adjustment could be achieved by attrition. ECE centres have had eight months’ notice of this change and with the turnover in the sector of around 20%, there was plenty of opportunity to do so. Furthermore, given the demand for registered teachers, no registered teacher would be out of a job. The likely impact would be an increase in the proportion of registered teachers in those ECE centres that presently have numbers below 80%.

The union that represents ECE teachers, NZEI, cites research that qualified teachers are a key factor in the provision of quality early childhood education that provides the most benefit for children. I agree with this. However, given the care and safety aspects of ECE I have no doubt that an experienced parent or caregiver can make a meaningful contribution to an ECE facility as part of a team led by registered teachers without compromising educational outcomes.

Dunedin’s ECE facilities were faced with choices in response to the Government’s funding change. Disappointingly, some ECE centres have chosen to burden already financially constrained parents with a fee increase based on the ideological belief that the 80% model would materially compromise the quality of ECE. As the parent of a preschool child, I strongly disagree with this view. What is also disappointing is that some ECE centres unilaterally increased fees without asking parents if they would be happy with the staffing model the Government is funding. My child’s ECE facility wrote to parents outlining the four options the centre was considering. The options did not include the 80% model which avoids the need for fee increases. It did not ask parents whether they would be satisfied with a staffing complement that would avoid the need to increase fees.

In affirming Labour’s commitment to restoring the goal of funding 100% registered teachers, Dr Clark makes no attempt to explain how this (and many other hollow Labour promises) will be funded or how much debt a Labour Government would be prepared to burden those same children with repaying in the future.

My Government’s response is sensible in the constrained economic circumstances without compromising the quality of ECE in New Zealand. I believe this as much as a parent as I do as a politician.

Tuesday, February 8, 2011

More money for primary sector innovation

The National-led Government has announced a further $107 million of funding from the Primary Growth Partnership (PGP) for primary sector innovation.

This money will support innovation in the aquaculture, wildfish harvesting, and timber industries. The investment takes the Primary Growth Partnership's spending in our world-leading primary sectors to more than $475 million.

The Ministry of Science and Innovation was launched this week. It will lead our drive to harness scientific and innovative capability across the business, science, and government sectors.

Last month, the Government announced public and private investment of $17.25 million over five years in a wool research consortium, tasked with lifting the economic return of the wool industry. The Ministry of Science and Innovation is contributing $8.6 million.

National is committed to lifting economic growth through primary sector innovation.

http://www.beehive.govt.nz/release/primary-sector-innovation-fund-tops-475-million
http://www.beehive.govt.nz/speech/launch-ministry-science-and-innovation
http://www.beehive.govt.nz/release/1725m-wool-research-consortium-set