Super, scheme slated

Press, 17 November 1981, Page 27

Super, scheme slated

PA Auckland An Auckland trade union has suggested that the National superannuation scheme be replaced by one applying only to those aged 60 and over who have retired permanently. The executive committee of the Northern Local Government Officers' Union believes that such a step would provide an incentive for older people to retire and would create more job opportunities for the young. The secretary of the union, Mr K. L. Tuxford, has challenged the party that wins the General Election to review the scheme. “Any aspiring politician knows that he risks disappearing into oblivion if he is unwise enough to criticise the scheme,” Mr Tuxiord has said. “But our union has deep and genuine concern for the plight of the unemployed, and in particular the schoolleavers whose prospects of attaining permanent employment are remote. “With the rapid advancement of technological change, job opportunities will continue to diminish.” Mr Tuxford said his union believed that changes to the scheme along the lines it had suggested were important options to be considered when promoting job opportunities. Under the scheme deviseed by his union executive, a

person who retired from the work force would be paid a weekly taxable benefit of 80 per cent of his average ordinary time earnings based on the previous 12 months. The benefit would be paid to a maximum ceiling of $2BB a week. In the event of a person retiring at age 60 whose wife or husband was under 60 and who was not employed, both would qualify for the benefit under the union suggestion.

Mr Tuxford said the scheme would be restricted to those who had retired and to those who were employed for the previous 12 months, except in cases where people had been made redundant or who had stopped work because of illness or accident. The beneficiaries, he said, should be granted free use of public transport, free telephones and television licences, and substantial rate subsidies.