Scheme ‘generous’

Press, 28 July 1989, Page 5

Scheme ‘generous’

PA Auckland The portable pension announced in yesterday’s Budget will encourage many Pacific Islanders to spend their twilight years back in their home villages, representatives said last evening. Niue’s consular officer in Auckland, Mr Ikipa Tongatule, said he was sure the new pension would dislodge some of the elderly Islanders now living in New Zealand. People eligible for the guaranteed retirement income, which next year replaces national superanuation, will be entitled to receive 50 per cent of the benefit if they live outside of New Zealand for more than six months. Those living in countries with which New Zealand has special arrangements are entitled to the full amount. The scheme is likely to be particularly

welcomed in Niue, which since World War II has seen the number of Niueans living in New Zealand grow to more than 10,000, five times those living at home. “I think it is rather generous, although I know some of the elderly folk here were pushing for the full amount to be portable,” Mr Tongatule said. He said the 50 per cent payment should be enough for people to live on without distorting the local economy. The Western Samoan Consul, Mr Afamsaga Toleafoa, said he was sure the scheme would induce “quite a large number” to spend more time in Samoa. “It is already happening with a lot of our elderly folk going back,” he said. “But they have been reluctant to stay for more than six months as they would lose the pension they had earned in New Zealand.”