Reviews of New Zealand Superannuation and Portability

Shortly after the 1999 elections, senior officials of the International Policy Division of the Ministry of Social Development (MSD) requested and obtained an urgent meeting with the new Cabinet.  The officials informed Cabinet of serious problems associated with NZ Super.  They warned Cabinet the system was unstable and unsustainable; furthermore, the lack of portability was disadvantaging the nation.  In response, the Deputy Prime Minister (Hon Dr Michael Cullen) and then Minister for Social Development (Hon Steve Maharey) asked the MSD officials to prepare a complete Review of Superannuation and Portability.

In reply to questions from the public, Mr Maharey spoke of the review under way and anticipated submitting firm proposals for changes to NZ Super no later than November 2001.  In November 2001 the completed review was submitted to Dr Cullen and Mr Maharey.  No proposals were made to Cabinet; instead, the two Ministers authorized the Ministry to conduct further research and provide a more comprehensive review.

MSD officials worked in consultation with the Treasury, the Ministry of Foreign Affairs, the Ministry of Pacific Island Affairs, the Inland Revenue Department and the Office of the Retirement Commissioner.  The completed review, a 21-page document, was presented to the two Ministers in February 2003.

Information relating to the review was strictly suppressed.  Requests for the document from the public and other political parties (including Opposition Leader Dr Brash) under the Official Information Act were all refused.  Details were not even made available to junior members of the Labour Party.

In March 2005, Mr Maharey’s office accidentally sent a copy of the review to a private citizen. 

Last modified: February 21, 2007