Wednesday, March 11, 2009

How's the Maori Party doing?

As the inevitable deterioration of the economy begins to bite in real flesh and blood ways, I'm wondering how much longer the Maori Party (and its supporters) are going to support the National / ACT government. Recent changes to employment laws have seen the working conditions and protections for all workers reduced, but especially for Maori workers, who tend to work in the more vulnerable low-skilled parts of the economy.

It was interesting reading Rahui Katene, MP for Te Tai Tonga, having a bit of waffle about ACC on the 10th of March. Firmly on-side with National:
"I am somewhat bemused at the reaction to the announcement from the Minister that ACC needed a fresh start to face up to its funding issues. What is so wrong with a fresh start?"
Nothing, really, if it is necessary. But is it necessary in the case of ACC? ACC is in the crap because they invested their reserves and the downturn has meant they have lost a mountain of money - along with all their private counterparts and many of those lost a LOT more. AIG, anyone? US$130 billion and counting.

Sacked ACC boss, Ross Wilson, had nothing to do with the credit crash, but he might get in the way of National's plans to privatise ACC and hand it over to multi-national insurance companies. I hope no one thinks Kiwis are gong to end up owning it!

How is privatising ACC going to fix any of this? It merely means changing ACC into the very sort of operation - like AIG - that played a major role in causing the crash in the first place. Less accountable, ultimately vastly more expensive.

Is someone going to hold AMP to account for seeing my super fund decline in value by 50% over the past 18 months? I'm assuming it's 50% - at least - though they haven't had the guts to send me the latest statement....and the one before it showed a substantial loss...and that was before the crash. Good thing I realised a decade ago the share market was a con and stopped puting money into it anyway. My point here is that even when ACC does much BETTER than the private sector equivalents, they still get punished...and that's because it isn't really about accountability. It's REALLY about handing over ACC to the global insurance industry backers of the National Party. Just as privatising prisons is about handing them over to foreign prison operators. Geo used to be Wackenhut until that company disgraced itself by running private prisons so badly.

There isn't anything much in any of this for Kiwis. But that's been how the neo-liberal, post-Muldoon version of the National Party rolls.

As for privatising ACC, (once again), National's "solution" to the problem is akin to: having lost one leg, you fix it by cutting the other one off.

The Maori Party won't have much of a future signing up for dodgy thinking like that.

But so far, they seem to be into it boots and all. I wonder how Associate Corrections Minister, Pita Sharples, is getting along with Minister Judith Collins. Fully consulted is he? I can imagine Health Minister Tony Ryall speed-dialing Associate Health Minister, Tariana Turia, for her views on his next round of grandstanding in the Health portfolio. Maybe they are all getting on like a House on fire.

I guess we'll find out.

3 comments:

  1. I agree, the "ACC blowout" is in fact an ACC beatup. Everybody should understand that apart from the losses of the investments of ACC, the increased entitlements can be attributed to our ageing population.

    I'm just concerned about a fire-sale and the juiciest, most profitable part of ACC (the earners account) being open for competition. Private insurers will cherry pick the very best accounts; the ones that require the least payout.

    Everything else will be left for the state to cover. Privatise the profits, socialise the losses.

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  2. Also, the Greens seem to be under the impression that Sharples is being gagged by National. Which is the same conclusion I came to after watching question time

    Interesting development.

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  3. The problem National has this time around is many more people are well aware of the tricks used to undermine public services in order to build a case for pillaging by cronies than was the case in the early 90's.

    Back then, we didn't want to believe it was really happening. Surely they wouldn't be so irresponsible as to pillage the state for private gain.

    They were.

    Now we expected them to do it - even dared them to show what they REALLY are...and they are making the case beautifully. There will be no doubt after this term what National really stands for.....

    The Maori Party may run aground if they endorse all this.

    I share your concern about ACC. This government clearly can't be trusted with any public property. They have already shown they don't understand the role of rail.

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