NZPA reports that the Government is looking at reviewing its changes to Kiwisaver so that workers who don’t earn enough to get the full $20 tax credit in a revised 2% scheme are not unfairly discriminated against. The changes are expected to cost $700 million over five years.
This is a good measure, and in line with the Council of Trade Unions’ recent suggestions, so credit where credit’s due. But let’s not get carried away. All National are doing is softening some of the worst aspects of a very bad policy. They still plan to gut Kiwisaver by cutting it in half to pay for tax cuts for the wealthy, and no amount of tinkering will change that fundamental fact.