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Dear Friend,
🔍 Taxpayer Investigation:
Public sector managers growing at double rate of
frontline workers 👩🏻💼👨🏻💼🔺
While the Government has denied for years that Wellington's 'head
offices' are getting bloated, your humble Taxpayers'
Union has exposed that public sector managers
have been growing at nearly twice the rate of frontline workers since
the current Government came to power.
Since 2017, the frontline workforce for social services, health,
and education has increased by 24.6% with nurse numbers up only 18.3%
while doctors are up only 19.2%. In the same period, however,
the number of managers rocketed up by a staggering 43.4%. Who exactly
are these people managing?
In
case you missed it, Mike Hosking highlighted this huge
discrepancy and also grilled
Minister Michael Wood about what is going on.
The Government crows about its significant 'investment' in
social services, health, and education. In reality, the Government is
taxing households more and more to spend on bureaucratic jobs for
Wellington’s managerial class that provide little value for the
taxpayer.
They can't blame the growth in the public sector during COVID for
this one: The trend has been clear since 2017. While the focus on the
exorbitant consultant bill in the past few weeks is welcome,
politicians also need to take a closer look at our bloated public
sector and significantly cut back on unnecessary managerial
positions.
Government puts virtue signalling ahead of reducing net
emissions 🌡️😔
This week the Ministry for the Environment announced a review
into New Zealand's Emissions Trading Scheme (ETS). The review will
consider how the ETS should be changed to reflect the Government's
priority of reducing gross carbon emissions over net emissions.
You will recall that the ETS works by setting a cap on the total
amount of net carbon emissions across New Zealand each year. Emitters,
such as fuel companies, or electricity suppliers, buy 'units' in an
auction that allows them to emit a unit of carbon (or equivalent) and
the amount they pay is reflected in the price you pay for goods and
services. The cap then reduces over time, the market price changes,
and overall emissions are brought down.
We prefer this system over politicians trying to 'pick winners' and
inject subsidies into 'emissions reduction', as the market tends to
find the most efficient and cost effective way for New Zealand to
achieve its international obligations. Those sectors that can reduce
emissions more quickly and cheaply can sell units to those sectors who
might find it more difficult. The system also allows companies to
offset their emissions through activities that take carbon out of the
atmosphere.
Sadly though, politicians cannot help tinkering with the system
because it does not fit with the Government's ideology of how climate
change should be addressed. For example, it wants to see a rapid shift
away from cars to public transport, walking, cycling and electric
cars.
But this approach is illogical and ill-informed. While it might
make the Government look like it's doing something, it
doesn't actually tackle climate change as it doesn't reduce net
emissions – less transport emissions simply means more units are
available under the ETS to make it cheaper for other sectors to emit.
This is called the 'waterbed effect'.
If the Government is really serious about protecting the
planet, it should let the ETS get on and do its job.
NEW REPORT: City Rail Link project throws good money after
bad 🚆🤑
Last week, we
published a new report by our Research Fellow and Wellington
economist, Jim Rose, on Auckland’s City Rail Link. The
City Rail Link: A Great Big Sucking Sound for Taxpayer and Auckland
Ratepayer Dollars is the first in-depth analysis of the bad
decision-making that led to a 61% cost blowout.
The report argues that key decisions made by the Government and
Auckland Council were based on a flawed business case. A combination
of factors such as the increase in costs, the failure to include $6.7
billion in required upgrades to the existing rail network, and the
30-40% drop off in rail passengers post-COVID means that the costs of
this project now significantly outweigh its benefits.
Just a few weeks ago, it was revealed that the project's cost had
gone up by a further $1 billion. We
sent a short briefing paper of the report's key findings to the
Auckland mayor and councillors ahead of their meeting to discuss the
increase in costs. Despite the public interest, and alarming
numbers, the Council decided to hold the meeting behind closed doors
so ratepayers are none the wiser as to what was discussed or
decided.
With the announcement this week of plans to "bring forward" a
second Auckland Harbour crossing, the Government and Auckland Council
need to learn serious lessons from this project's failings – we cannot
afford the same mistakes to be made. The planners at Auckland
Transport who dreamt up the City Rail Link shouldn’t be let anywhere
near the public purse again.
Parker charges ahead as even Greens raise RMA reform
concerns 🏘️💰
This week, Green MP Eugenie Sage who chairs the Environment Select
Committee raised concerns about the Government's plans to railroad
through radical changes to the Resource Management Act before
October's election. She rightly said that the bill will require lots
of changes and that there is too much work to do before the
election.
Despite now losing the support of the Greens, David Parker is still
planning to plough on. He even went as far to say "I trust my own
political instincts here." That's a rather bold statement for the
man who proposed changes to taxation on KiwiSaver fees only to U-turn
within the space of 24 hours.
But Labour still has a majority in Parliament and can ram things
through Parliament if it wants to. That's why it's important that
opposition parties pledge to repeal these bills should they become
law. While ACT
has set out a comprehensive alternative to the RMA, National has hinted that if Labour manages to get
the reforms through before the election, it may seek
to amend rather than repeal the legislation. We say this
isn't good enough.
Stay tuned for the launch of our campaign against these
reforms...
Thank you for your support.
Yours aye,
|
Callum
Purves Campaigns Manager New Zealand
Taxpayers’ Union.
|
Media
coverage:
NZ Herald Cost-of-living moves poorly targeted, says
report
Newstalk ZB Jordan Williams: Taxpayer's Union Executive Director
says Auckland Transport is focusing on the wrong
things
InfraNews Call for independent review into Auckland supercity
amalgamation
Newstalk ZB THE
RE-WRAP: Just the Facts,
Ma'am (09:04)
Newstalk
ZB Pollies: MPs Mark Mitchell and Michael Wood on
National polling, crime and Police (08:26)
Newstalk
ZB RMA war heading towards final
battle
Democracy
Project Bryce Edwards: The Beehive’s revolving door and
corporate mateship
Interest.co.nz Government review of the Emissions Trading Scheme will
look for ways to incentivise more reductions and less carbon
offsets
Newstalk ZB Heather du Plessis-Allan: Auckland Council booting
Local Government NZ is a warning to Kieran McAnulty
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