Laban Luamanuvao Winnie: Debate on Prime Minister’s Statement 
Laban Luamanuvao Winnie: Debate on Prime Minister’s Statement 
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Hon LUAMANUVAO WINNIE LABAN (Labour—Mana) 
: 
 Kia ora talofa lava and warm Pacific greetings. This will not be a happy New Year for many New Zealanders as they face the prospect of an increase in GST. In that regard I am particularly concerned for two groups: the elderly on fixed incomes and Pacific Island people. My electorate of Mana has a large proportion of elderly people on fixed incomes and a large number of Pacific people. Those are not the only groups who will not be looking forward to a brighter future. This year will be very gloomy for many New Zealanders. In my contribution to this debate and as Labour’s associate spokesperson on health—specifically aged care—and spokesperson on Pacific Island affairs I will focus on the elderly and on Pacific people who were largely absent from the Prime Minister’s address. 
During the Prime Minister’s speech I noticed no reference to the health and care of elderly people in New Zealand. This is very distressing because it shows that as this Government looks to the future it could not care less about the fate of older New Zealanders. During the 2020s the number of over 65-year-olds will reach over 1 million; we need to get aged care working properly now. I noticed that National’s pre-election discussion paper on aged care  
Choice Not Chance for Older New Zealanders 
 includes a measure to simplify and provide improved flexibility for home-based care yet home-based care is being cut. Elderly people across the country are receiving phone calls from their district health boards. Unbeknownst to them they are being assessed for the hours of home support they receive and in many instances those hours are cut. In a recent example on the Kapiti coast a woman in her 80s was told that her home help hours would be cut by 75 percent. Canterbury District Health Board has cut the home help services of more than 1200 clients. 
Home-based care is a vital part of the aged-care sector. Home-based care gives elderly people the choice of staying in their own homes and helps them to stay independent. A few hours of home-based support can spell the difference between an elderly person having some independence and dignity through living at home and moving into a much more expensive rest home. Reducing home-based care does not make sense socially and it does not make sense economically. The demise of home-based care will see thousands more elderly people needing to enter rest homes. 
This is dark news for older New Zealanders but it is made even worse by the Prime Minister’s statement which signals a rise in GST to 15 percent. Most older New Zealanders survive on limited fixed incomes. They will receive no tax cuts and will be greatly harmed by a rise in GST. In effect a rise in GST to 15 percent will represent a 2.5 percent increase in the cost of living for the elderly on fixed incomes. Older people are some of the most vulnerable people in New Zealand. The Prime Minister’s statement ignored the elderly. One test of the quality of a nation is the manner in which it treats its elderly citizens; the Prime Minister’s statement did not pass that test. It does nothing to give the elderly hope for a brighter future. The future looks distinctly gloomy for the elderly under this National regime. 
I now turn to another group of vulnerable citizens and to see whether the Prime Minister’s statement gives them any hope for a bright future. Another group who were largely absent from the Prime Minister’s statement was Pacific Island people. The Prime Minister’s statement takes three strikes against Pacific Island people. Strike one is an increase in GST. It is obvious to the casual observer of such a move that lower-income people will be hit hard by any increase in GST. It is a tax on consumption so those who must commit a greater percentage of their income towards buying goods and services food to the feed the family clothes to keep them warm and power to run a household—the basics—will be paying a greater percentage of their income in GST. An increase in GST targets the poor. For Pacific Island families most of whom survive on a much lower income than the average New Zealand family it simply means higher grocery bills a greater cost for day-to-day items and fewer savings. It is a greater burden on the people who can afford it less and that includes most Pacific Island families. It is not so bad for those of us on higher incomes. A slightly higher grocery bill will not dent our budget too much. We have a bit of room to move and to absorb the costs. But for those Pacific people and others on much lower incomes the ability to save may well dry up along with their future prospects. Many people even now are borrowing just to stay afloat. What happens to these people? 
Strike two is tax cuts. Pacific Island people already disadvantaged by the rise in GST will get absolutely nothing from John Key’s tax cuts. These cuts aimed at those with higher incomes will be of no good to anyone earning under the average wage of $48000. This includes the vast majority of Pacific Island people whose average wage is below the national average; Pacific Island people’s average income is closer to $35000. With no help from the tax cuts and a rise in GST Pacific people will be paying more in tax than before. This is of course consistent with National’s plan for Pacific New Zealanders which includes ongoing personal tax cuts. It is in their 2008 policy paper. It is written there as part of National’s plan for improving Pacific New Zealanders’ education health and employment. 
Strike three is unemployment. There is no plan in the Prime Minister’s statement for increasing employment. Unemployment is the biggest problem facing Pacific Islanders in New Zealand. Recent figures show that unemployment amongst Pacific Islanders has reached 14 percent; this is double the national rate. It is close to the 15 percent Pacific Island unemployment that we faced when Labour came into Government in 1999. It took us years to get Pacific and Maori unemployment down to low single figures. But under National Pacific unemployment has shot up again. In the past year 5000 Pacific people have lost their jobs. It is shameful that National has no clear plan in place to deal with the rapid growth in Pacific unemployment. 
“Three strikes and you’re out”—Pacific Island New Zealanders have been struck out by this Government. The Prime Minister’s statement was silent on Pacific people and the Minister of Pacific Island Affairs was nowhere to be seen. Where was her advocacy for Pacific people? Labour will not be silent. We will advocate for Pacific people we will advocate for jobs and policies that support the economic development of our people in this their mother region—the Pacific—and we will advocate for the elderly so that they may live lives with dignity and have respect for their hard work and sacrifices for our generation of New Zealanders. We owe them that. 
The Prime Minister’s statement gave no help for elderly New Zealanders. It gave no hope for Pacific Island New Zealanders. The Prime Minister’s speech had no details no substance no specifics and above all no conscience. The Prime Minister’s statement has bought him some time but time is running out for him. He cannot keep playing the nice guy; he will have to make some tough calls. Perhaps he is leaving that to his deputy.