Venial behaviour in the New Zealand public sector @JordNZ

One of the things I noticed after coming to New Zealand was the petty veniality in government departments.

I noticed it in the first week when I discovered employers pay for farewells. No chance in Australia. We take them out for lunch, and we have a wipe round to pay for their lunch. If it was a retirement function, such as for a long serving employee, the senior staff would pay for it out of their own pocket. The taxpayer never ever paid.

Then I noticed that public servants would charge lunches with each other to their government credit card. They would buy wine.

It got worse when I noticed who went on overseas trips. When it was a more exotic location, a much more senior manager felt the need to represent his country. I thought most overseas travel was a waste of time so we actively avoided it and never proposed a trip.

Enthusiasm in the minister’s office for going to a rather boring International meeting picked up no end when they discovered it was in Istanbul.

Then to my astonishment, I found that government employees would take holidays at the end of their business travel. If you tried that in Australia, you would be fired. It would never be considered.

If you were on an interstate secondment, you are entitled to take leave equal to the amount of time you accrued while on that secondment.

Clearly, it would give an appearance of bias when you are writing the business case if you could get it business class air ticket to the other side of the world and then take a long holiday on the way back.

New Zealand seems to employ a lot of contractors as policy analysts. I have never heard of such things in Australia. If you could not recruit and retain enough analysts to work through peaks and troughs in the workload, you were not a very good manager. If it was a real crisis, you found someone who was not busy from within the organisation and had them seconded to your team.

In more than a few places, these contractors seemed to be good friends of the manager. These contractors can be hired so quickly and in such number that a new manager has no time to talk to his existing staff about what they do, what they might do or what skill sets they might have.

I was talking to a British colleague once about how he would always refuse any attempts by people to buy him lunch or a beer. Like me, he would be up the back eating his own sandwiches while the senior executives tucked into 3 course lunches provided by various lobby groups.

Until I came to New Zealand, the taxpayer had never bought me lunch, a beer, or an air ticket. I was very careful to refusal offers of hospitality from outsiders. If an offer was made, I thought they were up to something.

What becomes of the not shortlisted @livingwagenz

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How much will Morgan’s capital tax cost you?

  Average house value January 2017

Morgan capital tax 6% return

Morgan capital tax 3.5% return

New Zealand

$631,302

$11,363

$6,629

Main Urban Areas

$754,572

$13,582

$7,923

Auckland Area

$1,047,699

$18,859

$11,001

Wellington Area

$582,322

$10,482

$6,114

Far North District

$389,811

$7,017

$4,093

Whangarei District

$463,319

$8,340

$4,865

Kaipara District

$463,896

$8,350

$4,871

Rodney District

$933,456

$16,802

$9,801

Rodney – Hibiscus Coast

$908,966

$16,361

$9,544

Rodney – North

$961,450

$17,306

$10,095

North Shore City

$1,214,291

$21,857

$12,750

North Shore – Coastal

$1,387,368

$24,973

$14,567

North Shore – Onewa

$971,364

$17,485

$10,199

North Shore – North Harbour

$1,189,924

$21,419

$12,494

Waitakere City

$836,574

$15,058

$8,784

Auckland City

$1,225,096

$22,052

$12,864

Auckland City – Central

$1,065,420

$19,178

$11,187

Auckland_City – East

$1,532,815

$27,591

$16,095

Auckland City – South

$1,107,912

$19,942

$11,633

Auckland City – Islands

$1,036,288

$18,653

$10,881

Manukau City

$901,422

$16,226

$9,465

Manukau – East

$1,158,197

$20,848

$12,161

Manukau – Central

$686,567

$12,358

$7,209

Manukau – North West

$781,110

$14,060

$8,202

Papakura District

$684,172

$12,315

$7,184

Franklin District

$660,557

$11,890

$6,936

Thames-Coromandel District

$645,780

$11,624

$6,781

Hauraki District

$359,520

$6,471

$3,775

Waikato District

$441,525

$7,947

$4,636

Matamata-Piako District

$398,682

$7,176

$4,186

Hamilton City

$531,337

$9,564

$5,579

Hamilton – North East

$678,886

$12,220

$7,128

Hamilton – Central & North West

$489,611

$8,813

$5,141

Hamilton – South East

$482,333

$8,682

$5,064

Hamilton – South West

$466,235

$8,392

$4,895

Waipa District

$490,723

$8,833

$5,153

Otorohanga District

$243,964

$4,391

$2,562

South Waikato District

$188,852

$3,399

$1,983

Waitomo District

$172,405

$3,103

$1,810

Taupo District

$418,130

$7,526

$4,390

Western Bay of Plenty District

$575,089

$10,352

$6,038

Tauranga City

$672,752

$12,110

$7,064

Rotorua District

$379,865

$6,838

$3,989

Whakatane District

$380,691

$6,852

$3,997

Kawerau District

$177,183

$3,189

$1,860

Opotiki District

$248,261

$4,469

$2,607

Gisborne District

$271,632

$4,889

$2,852

Wairoa District

$161,966

$2,915

$1,701

Hastings District

$392,182

$7,059

$4,118

Napier City

$419,099

$7,544

$4,401

Central Hawkes Bay District

$253,787

$4,568

$2,665

New Plymouth District

$415,761

$7,484

$4,365

Stratford District

$234,372

$4,219

$2,461

South Taranaki District

$198,934

$3,581

$2,089

Ruapehu District

$156,971

$2,825

$1,648

Whanganui District

$207,752

$3,740

$2,181

Rangitikei District

$163,111

$2,936

$1,713

Manawatu District

$289,350

$5,208

$3,038

Palmerston North City

$348,581

$6,274

$3,660

Tararua District

$163,877

$2,950

$1,721

Horowhenua District

$258,047

$4,645

$2,709

Kapiti Coast District

$482,723

$8,689

$5,069

Porirua City

$484,164

$8,715

$5,084

Upper Hutt City

$433,538

$7,804

$4,552

Lower Hutt City

$482,632

$8,687

$5,068

Wellington City

$702,081

$12,637

$7,372

Wellington – Central & South

$703,433

$12,662

$7,386

Wellington – East

$753,259

$13,559

$7,909

Wellington – North

$627,791

$11,300

$6,592

Wellington – West

$808,685

$14,556

$8,491

Masterton District

$276,020

$4,968

$2,898

Carterton District

$321,476

$5,787

$3,375

South Wairarapa District

$370,839

$6,675

$3,894

Tasman District

$498,111

$8,966

$5,230

Nelson City

$508,343

$9,150

$5,338

Marlborough District

$423,753

$7,628

$4,449

Kaikoura District

$398,058

$7,165

$4,180

Buller District

$183,573

$3,304

$1,928

Grey District

$211,780

$3,812

$2,224

Westland District

$234,405

$4,219

$2,461

Hurunui District

$378,276

$6,809

$3,972

Waimakariri District

$434,854

$7,827

$4,566

Christchurch City

$497,539

$8,956

$5,224

Christchurch – East

$371,157

$6,681

$3,897

Christchurch – Hills

$667,077

$12,007

$7,004

Christchurch – Central & North

$588,632

$10,595

$6,181

Christchurch – Southwest

$477,247

$8,590

$5,011

Christchurch – Banks Peninsula

$514,403

$9,259

$5,401

Selwyn District

$547,094

$9,848

$5,744

Ashburton District

$348,788

$6,278

$3,662

Timaru District

$335,449

$6,038

$3,522

MacKenzie District

$420,915

$7,576

$4,420

Waimate District

$229,085

$4,124

$2,405

Waitaki District

$260,433

$4,688

$2,735

Central Otago District

$411,111

$7,400

$4,317

Queenstown-Lakes District

$1,032,560

$18,586

$10,842

Dunedin City

$359,055

$6,463

$3,770

Dunedin – Central & North

$372,295

$6,701

$3,909

Dunedin – Peninsular & Coastal

$320,180

$5,763

$3,362

Dunedin – South

$342,080

$6,157

$3,592

Dunedin – Taieri

$375,669

$6,762

$3,945

Clutha District

$190,208

$3,424

$1,997

Southland District

$236,549

$4,258

$2,484

Gore District

$200,826

$3,615

$2,109

Invercargill City

$239,252

$4,307

$2,512

Liability is 6 percent of your capital equity which is then taxed at 30%. The return is assumed to be equal to the long-term bond rate for the last 10 years. That was 6% when Morgan wrote his book in 2011; that average long-term rate is about 3% now. I used his 2011 assumptions.

Just how big is Gareth Morgan’s great big new tax?

Morgan wants to raise an additional $13 billion in taxes, $8 billion from a capital tax and $5 billion from a 30% flat rate tax for a universal basic income of $11,000 per adult. $13 billion is 6.5% of the GDP of $197 billion in 2011. That is his latest numbers. A huge tax increase just after a global financial crisis is not the wisest fiscal policy.

Housing prices since 1996 in New Zealand

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NZ pumps up numbers by equating serious housing deprivation with homelessness

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Source: New OECD Affordable Housing Database – OECD.

Affordability pretty bad for a long time in New Zealand

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The Rise of Populism and the Backlash Against the Elites, Jonathan Haidt

Who would be released if the Trots abolished prisons

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Source: Corrections Department NZ – Prison facts and statistics – June 2016.

Note to the cry-baby left on the Age of Enlightenment

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Sounds familiar

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How we pay for a universal basic income – Whiteboard Wednesday

Inequality is not getting worse and worse @closertogether

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Just what are the scars of 170 years of colonialization?

The weekend newspaper here in Wellington profiled a refugee from each of the 7 countries currently subject to Donald Trump’s travel ban. Each of the 7 found paradise in New Zealand.

These 7 refugees were relatively young and grew up in a chaotic war-torn home country. They spent considerable time in refugee camps under dire conditions. All they needed to make good was to move to a free country.

https://twitter.com/faisalhalabi/status/828071014697361409

An old mate of mine at University was a son of the Ukrainian war refugee. His dad was rounded up by the Nazis during the Second World War to be a factory slave. He came to Australia because that was the first country that would accept him and his Dutch wife.

My old mate’s dad did not want to go back to the Ukraine because it was now Russian rather than Polish territory. All his sons graduated in economics. His daughter is a senator. He worked in a factory in Bernie.

Through the Canberra chess club, I got to know a few Second World War refugees. They all found paradise in Australia.

People recover surprisingly quickly from setbacks if they are in a free country. The story of refugees confirms that again and again.

My great grandparents fled the Irish potato famine. I do not feel that is holding me back in the 21st century. Likewise, my dad was raised to Protestants and a Catholic- Protestant marriage was not so popular back then.

The social safety net failed this homeless tetraplegic young mum

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