Connell Brian: KiwiSaver Bill — In Committee 
Connell Brian: KiwiSaver Bill — In Committee 
[Volume:633;Page:4940] 
BRIAN CONNELL (National—Rakaia) 
: 
 I shall start by making a number of observations. The first one is that only one Minister—in fact only one member of the Government—has stood up and taken a call in support of what the Minister of Finance and Prime Minister are trumpeting as an outstanding scheme. I see that Mr Jones has just walked in and I know he is a man of integrity. He will stand up and tell the Committee precisely what he thinks but I would be surprised if an independent and clear thinker like him would be supporting this scheme. But at least he will stand up and take a call. I repeat that other than one Minister not one member of the Government has stood up and taken a call in support of this legislation. 
The second observation is that Part 4 has 64 pages. They deal with process but very little effort has gone into making sure the scheme per se will achieve its objective. My colleague Katherine Rich correctly drew the Committee’s attention to the compliance costs hidden in the scheme the way it is constructed now. I think Mr Woolerton acknowledges his assent because he knows that is right. 
While I am mentioning Mr Woolerton I want to put right for the record a conversation that he and Mr Foss had earlier. Mr Foss tells me that the way Mr Woolerton has portrayed it is not exactly accurate. Mr Foss went across to Mr Woolerton and said: “You’ve just made a very telling speech demonstrating that you’re in touch with poorly paid New Zealanders and here’s a chance for you to put your money where your mouth is. I suggest that you live by your convictions and vote in support of Jeanette Fitzsimon’s amendment.” Mr Woolerton said to Mr Foss: “You really think I should do that?” and Mr Foss said: “I think you should because that’s what you believe isn’t it?”. Mr Woolerton said: “Yes it is but I’m not sure the boss would agree with me.” The way Mr Foss tells it he said: “Well if you want to be leader you’ve actually got to be more decisive. You have to take a risk and do what you think is right then others will follow.” Unfortunately Mr Woolerton failed at the first hurdle because despite his conscience telling him that he should look after poorly paid New Zealanders he let that opportunity slip. So I am just putting that right for the record. 
Let me turn my attention to the default providers. Yes providers are flocking to the scheme because they sense opportunity and they sense compulsion. That fact should not be confused with them thinking the scheme is sound. In private conversations with some of the providers that I know on a personal basis I have been told that they think it is not sound. Mr Key and other speakers have already alerted the Committee that there will be changes to the scheme before the next election. 
One has to ask why we are rushing this. What sense does it make for default providers to apply before they see the terms of reference? I see Mr Copeland over there with his head down. He was very keen—behind closed doors and outside the select committee process—to do a deal with Michael Cullen. Maybe he will seek a call and explain why the terms of reference were not made available until after the close date. That does not make a lot of sense to me. Why are these default providers rushing in? As I have said it is because they see this scheme as being compulsory.