Fenton Darien: Debate on Crown Entities Public Organisations and State Enterprises — In Committee 
Text is incorporated into the Bound Volume 
Fenton Darien: Debate on Crown Entities Public Organisations and State Enterprises — In Committee 
[Sitting date: 26 June 2012. Volume:681;Page:3359. Text is incorporated into the Bound Volume.] 
DARIEN FENTON (Labour) 
: 
 As I was saying last night New Zealand superannuation is important for future generations. We have to act now to ensure that we have universal superannuation for our children and our children’s children. The thing that guides Labour’s debate on this is fairness and sustainability. First of all it must be sustainable so that we can say to our children and grandchildren that there will be a universal superannuation scheme in the future. Quite frankly many young people do not believe there will be. They simply do not believe that superannuation is going to be around when they are older and Labour does not think that is right. We think it is only fair that our kids enjoy the same opportunities that we have available to us. I hope that in the future every member in this House including John Key will be able to look their kids and their children’s children in the eye and say: “We did everything possible to make sure that the principle of universal superannuation was available for all of our kids in the future.” 
The other principle guiding the debate on this is fairness. We want to make sure that people in the future are able to access superannuation when they need to. One of the discussions that Labour has been having is about how you make sure if we have to raise the age manual workers and others who may need to access superannuation earlier actually are able to do that. We believe that by gradually lifting the age over a reasonable period of time— 
John Hayes 
: What to? 75? 
DARIEN FENTON 
: —we can protect and preserve New Zealand superannuation. Well that member would not have long to wait actually if it were 75. If we do not act it will become unaffordable. 
We are very very disappointed in the response from the Government. John Key as usual has wavered all over the place on this. In 2004 he was saying: “Well actually lifting the retirement age is a sensible thing to do. And if we lift it in 20 years’ time will that be a big deal?”. When we propose it now of course he says that there is no need to raise the age of entitlement for New Zealand superannuation. I think he has his head in the sand and I think the Government has its head in the sand. 
Everybody is saying that this superannuation scheme at age 65 is unsustainable. In just 4 years’ time we will be spending the same amount on New Zealand superannuation as we will on education. That is early childhood education primary education secondary education and tertiary education combined—$12.4 billion. You can understand why young people are saying that this is not fair. At the moment we have 5.6 people working to pay taxes to support each superannuitant. In 40 years’ time there will be only 2.4 people to support every superannuitant. The cost of New Zealand superannuation is going to double over the next 40 years as the baby boomers retire. Our life expectancy is increasing. 
This is a conversation we need to have. We are open to considering all good ideas from all parties that will create a fair and sustainable scheme into the future. If we do not tackle this tough issue now on our own terms it will be forced on us later. As I said I do not want to and I am sure John Key does not want to look his children and grandchildren in the eye and say that we did not do everything possible to ensure that they enjoy the same benefits that we will as we retire. In fact I was imagining last night John Key sitting in a rest home some time in the future probably being staffed by— 
Hon Member 
: In Hawaii. 
DARIEN FENTON 
: —in Hawaii—by poor Filipino migrants because the Government refuses to do anything about lifting the standards and the pay for aged-care workers and his grandchildren saying to him: “Grandad grandad why didn’t you do anything? We can’t get superannuation now. Why didn’t you do anything?”. I would be very interested to know what his answer will be. John Key has a responsibility to act on this and to act on it now.