Labour to honour Govt superannuation changes

Press, 20 June 1984, Page 8

Labour to honour Govt superannuation changes

PA Wellington A Labour government would honour the commitment to change the Government superannuation scheme, two Labour members of Parliament said yesterday. However, Ms Fran Wilde, Labour’s spokesman on State services, and Mr Roger Douglas, the spokesman on finance, said that the new policy was an attempt by the National Party to regain lost votes in marginal Wellington seats.

The Prime Minister, Sir Robert Muldoon, said on Monday that changes to the superannuation scheme for State servants would benefit the Government in marginal Labour-held Wellington Central.

Changes to the policy will make early retirement attractive. In the past, members got only their own contributions back, without interest, if they withdrew before they were entitled to a pension. Interest on contributions will now be payable, or the member will have the op-

tion of collecting a preserved pension later. Benefits if a member dies before retirement have been also improved. Membership of the scheme will be voluntary. Labour would honour the commitment to change the scheme, the Labour members of Parliament said. It was significant that the new policy had been rushed through and announced a few weeks before the General Election, they said, when the Government had been extremely dilatory in reviewing the scheme.