NZ Super and the Asian Community

In August 2004, a major article appeared in the Mandarin Times concerning Asians’ eligibility to receive NZ Super and the restrictions they faced in that regard.  Readers were informed they would not, generally speaking, be subject to the direct deduction policy because Asian nations (except Japan) did not have state pension programs.  However, any Asian with a spouse or partner receiving a state pension from a country outside New Zealand would automatically be subject to the direct deduction policy, the same as everyone else.

The article featured details of the special provisions for Pacific Islanders to receive NZ Super outside New Zealand in return for their contribution to the New Zealand economy, but mentioned that similar provisions had not been made for Asians.  It was pointed out that these policies should not be construed as discriminatory towards Asians.  Rather, that the interests of Asian people had simply been ignored by New Zealand’s politicians.

The article, in conclusion, mentioned that the nation’s principle advisors had urged the government to enact legislative changes to make the system fairer for everyone, but that the present government had rejected the advice of its officials.

National MP Pansy Wong promptly called a meeting with Asian business leaders to discuss the article.  There was a different reaction from then Minister of Social Development, Mr Maharey, who replied (not to the publisher but to the author) advising that most Asian countries do in fact operate state pension programs.  He accused the Mandarin Times article of unfairness in alleging Asian interests had been ignored.  The Minister explained that MSD officials had recently visited every Asian nation operating state pension programs to discuss with local authorities the portability of NZ Super.  MSD officials had also visited Singapore and Malaysia for similar discussions.

Subsequent to the Minister’s correspondence, inquiries were directed to the Ministry of Social Development.  MSD confirmed the following: the Chief Executive has determined that South Korea, Japan, The Philippines, Laos, Vietnam, Thailand and China (including Hong Kong) operate state pension programs that are analogous to, or have like contingencies with, NZ Super.  The Chief Executive has determined therefore that all immigrants from those countries, on reaching 65, must declare state pension entitlements from those countries to WINZ.  These pensions will then be deducted from NZ Super under Section 70 of the NZ Social Security Act.

It is not a convincing argument for the government to claim it is caring for the interests of its Asian population by sending MSD officials abroad to meet with their Asian counterparts.  The portability of NZ Super has nothing to do with Asian authorities.  It is entirely up to the Parliament of New Zealand.

Last modified: February 21, 2007